Do You Labor Over Creating Quotes to Customer RFQs?
Historically, we have found that many companies labor over creating a quote in response to an RFQ from a customer. Picture a dimly lit room, filled with engineering drawings, a computer with a customized spreadsheet, lots of coffee and a team of cost estimators, design engineers, and business development managers arguing over whether the draft quote price is too high or too low? If they put too much “padding” into the final figure, they may not win the deal. If they quote too aggressively, and they run into a hard-nosed purchasing agent that negotiates hard on the final price, there may be no margin on the deal. Many of the companies we’ve talked to face this type of reality every day. They also find that their ability to respond quickly to RFQs is next to impossible; it often takes weeks for them to reply. Other companies we talk with wrestle with problems of inconsistency among their own cost estimating team.
According to Aberdeen Group research:
- 37% of manufacturers find accurately quoting orders a challenge
- 56% of manufacturers are not converting enough leads to sales
The same research found that Best-in-Class manufacturers:
- turnaround quotes 3X faster than competitors
- 37% more likely to meet revenue targets
- 49% more likely to meet operational cost targets
- 47% more likely to accurately predict costs
To watch the webinar video where Michelle Boucher, Research Analyst in the Product Innovation and Engineering practice describes this study in more detail, watch this Video.
Many of the findings from Michelle’s research can also be viewed in this Infographic you can download.
aPriori’s Enterprise Product Cost Management platform helps customer overcome the types of challenges Michelle discovered in her research study, and provides customers with the following benefits:
- respond to more RFQs with more detail in less time
- generate more consistent and accurate estimates
- improve win rate
- increase revenues and margins
But don’t take our word for it. Listen to aPriori Customer Mark Kunitz, Director of Program Engineering at Roush Global Tooling talk about how they implemented aPriori’s Automated Quote Generation technology, and dramatically improved their ability to drive new business. (The ROUSH name and marks are used under license from Roush Enterprises, Inc., Livonia, Michigan).
If you want to learn more about how you can implement an aPriori Automated Quote Generation solution, email us at: Product Cost@apriori.com or call us at: +01-978-451-7675.