Metal Parts Products Manufacturers at China

Metal Parts Products —Stamping & CNC Machining Manufacturers

Analysis of mold characteristics and uncertainty of its price

Mold is an important process equipment for industrial production, and it is a special tool used to form metal or non-metal materials into products. So what are its characteristics?
The first feature of mold production: It is also the biggest and most basic feature, which is the dependence of the mold on specific users and the single-piece production method for specific requirements. This feature makes the mold very different from other molding equipment.

The second important feature of the mold. According to national standards, mold products are divided into 10 categories and 46 categories. Each type of mold has different characteristics and requirements. Even the same type of stamping dies have different sizes and different requirements.
The weight of a large stamping die is in tons, and a single set weighs dozens of tons; Small molding dies are only calculated in kilograms, and some single sets weigh less than one kilogram. In addition to the difference in size, due to the different mold materials, structures, shapes, accuracy, life and conditions of use, the processing technology of different molds is very different. This makes the design of molds, process arrangements, process management and even the operation of the entire enterprise very complicated and difficult.

The third characteristic of mold manufacturing is its technological advancement and its reliance on skilled skills. Moulds are technology-, labor-, and capital-intensive products. Mold production technology has concentrated many high and new technologies in machinery, electronics, optics, chemistry, and some fringe sciences. Numerical control, information, and networking are the development directions. Nonetheless, the reliance of molds on skilled skills is much greater than that of other electromechanical products. Processing of complex shapes, final finishing and finishing, assembly and commissioning, etc. All must rely on skilled workers with rich skills and experience. Senior technicians are especially important to the mold industry.

The scale, level, conditions and different regions of the mold enterprise and the personal factors of the quotation personnel. Therefore, there are many uncertain factors in the price of manufacturing molds, and it is very difficult to accurately determine them. Because of this, in the same set of mold manufacturing in China, the quotations between different companies can be much different, or even 2 to 3 times. This is in line with the survey conducted by the International Mold Association on mold quotations in different countries and enterprises.

In recent years, China's mold industry has developed rapidly, but there are indeed some unhealthy and hindering development phenomena, and abnormally low mold prices are one of them. Although there are many factors that affect the price of molds, there are many uncertainties and it is difficult to achieve accuracy. However, users require mold manufacturers to make quotations quickly, so there are many ways to quickly calculate prices. The following are currently more popular:

Empirical method based on key parameters
This method often takes the material required for the mold as a key parameter, and multiplying the material cost by a certain multiple is the mold price. How many times is determined by experience based on the complexity of the mold and its requirements. Some also take the man-hours required by the mold as the key parameter, and multiply the man-hour cost by a certain multiple to obtain the price of the mold. As for the number of working hours and multiples, it is also mainly determined by the experience of the quotation staff. Although it is more complicated to quote materials and working hours as key parameters, the accuracy of pricing will be improved, so many people also use it.

Analytical method based on historical data
This pricing method is mainly based on the prices of similar molds that have been completed in the past that have proven to be accurate.
The analysis is based on the differences between the mold manufacturing that needs to be quoted and the mold used as a reference.
Multiplying the price of the mold manufacturing as a reference by a certain factor is the price of the mold. The determination of this coefficient is mainly based on the analytical ability and experience of the bidder.

Cost prediction based quotation method
This pricing method is by listing as much as possible the various costs of mold processing. Add the appropriate proportion of profits and related expenses to get the price of the processing mold. This quotation method is more persuasive and easy for users to accept. It is often required by some users, especially foreign-funded enterprises and overseas users. The disadvantage of this method is that the quotation workload is large and slow.

Basic stage estimation

Mold production is divided into stages of development, design, processing, finishing and assembly, measurement and test, and after-sales service. Estimate the approximate cost of each stage separately and add other costs to get a quote.

Intuitive quote
This method relies entirely on the experience of the bidder. Although the bidder may also consider the four methods mentioned above, they are basically determined without calculation.

Computer System Quotation
In today's computer world, in order to be fast, convenient, accurate and more convincing. The bidder often enters many parameters that affect the price, various coefficients and formulas determined by his own experience into the computer in advance, and stores the calculation program. When quoting, as long as you enter data about the parameters, the computer will quickly display the results. The bidder will quote accordingly. This quotation method can improve the accuracy of quotation, but its limitations are large, and it is difficult to have programs, formulas and related parameters suitable for various molds. Therefore, this method is often specialized and only suitable for a certain type of mold. Different types of molds should have different parameters, coefficients, calculation formulas and procedures. The quotation system can be made into software. In order to make phased decisions for users, such quotes are often divided into initial preliminary quotes and subsequent detailed quotes. Only when the user has accepted the initial preliminary quotation, the quoting talent will give its subsequent detailed quotation at the user's request.

General formula of mold price and related influencing factors.
Mold price = technical preparation fee + raw material fee + processing fee + assembly and commissioning fee + technical risk fee + packaging and transportation fee + profit + tax + other fees

This is a common formula for the reasonable mold price in the mold industry. The technical preparation fee includes the product modeling, shape, process analysis and mold design according to the prototype. Raw material costs include various raw materials and standard parts, as well as purchased non-standard parts and components, and semi-finished products. The technical risk fee is mainly determined according to the technical difficulty of the mold. Other costs mainly include special tool costs, testing costs for molds and their parts, insurance costs, marketing costs, etc. From the above formula and description, we can see the main influencing factors of mold price. Of course, the listed items are not necessary for every mold. However, different companies can have very large differences in one of these factors. For example, the design methods and processing equipment of enterprises can be very different, and the salary costs of employees can also be quite different. It can be seen that there are indeed many factors influencing the price of molds. Because of this, it is quite normal for the same set of molds to have different quotations in different enterprises (or even different bidders within the same enterprise). Not surprisingly, even the differences are large.

In summary, I would like to remind everyone to take resistance measures to make the price of mold manufacturing more and more reasonable. And with reasonable prices to jointly foster the healthy development of the mold industry.
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