Case Study – A fabricator should ask these questions before purchasing a beamline/coping robot to compare the workshop footprint ROI from loss of fabrication vs benefits of internal processing



Many fabricators consider investing in a beamline to bring processing in the house instead of purchasing this cost-sensitive processing from the national steel service centres that have competitive steel prices and the capability to supply.

If your workshop is motivated to invest in the best beamline for your workshop to meet the gap in the market and provide competitive tension. We suggest you review the following carefully. SMS has a deep insight into how fabricators have made several mistakes investing in the incorrect beamline that they have ultimately paid the price for and that workshop has gone into administration. Not ONE client of SMS has ever sold a beamline that SMS has been the exclusive agent for. Not ONE client of SMS has ever gone into administration and our natural competitors have many testimonies of their clients calling in the auctioneers to sell the machines that never provided a competitive advantage.

If your workshop only motivation is to have steel available to fabricate faster than the business can be purchased from a steel service this philosophy is dangerous and needs to be challenged.

A fabricator is going to have to give up to a budget footprint of 50mx10m where 5 fitter/boilermakers can earn $1m revenue of fabrication per shift. Then the fabricator has a $20K lease repayment to meet every month with reduced revenue from the footprint that used to be available prior to commissioning the beamline.

If the steel service centre is charging $300/tonne to process steel and depending on the steel being processed through the fabricator's internal beamline at 2 tonnes per hour that is $1,200,000 per year per shift. Then there are other advantages the fabricator receives with improved schedules and redeploying 40% of labour from the fitter's bench when investing in the correct beamline for a fabricator and not the same as a steel service centre would purchase so the same savings from the workshop bench are not available. Refer to other case studies.

Who is challenging the status quo in your business? Select your machinery supplier carefully and invite Specialist Machinery Sales to work in partnership with your evaluation committee to ensure the buying process is robust and the beamline specification will meet the performance outcome and earn an ROI within 2 years.

Every client of SMS has excelled in their niche after investing in a beamline, coping robot or steel beam assembly machine. Clients of SMS are recognised now as the leader in their state in the space they operate and their competitors have witnessed incredible growth and many competitors of SMS clients move into different areas of fabrication after SMS clients have dominated that space where our clients' competitors can no longer be competitive due to the competitive advantage designed into every machine that SMS suppliers our clients.

Natural competitors of SMS can not even identify how the machine they are supplying will drive efficiency and optimisation into their client’s workshops so it’s difficult to understand why a workshop would select that type of machine tool agent or machinery builder?


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Contact Specialist Machinery Sales today to discuss a superior machinery strategy for your business.

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