MTI Systems Updates Free Download of Their Shop Rate Calculator Tool
West Springfield, Massachusetts October 17, 2013 Business News(PRLEAP.COM) (West Springfield, MA) MTI Systems, Inc (www.mitsystems.com) recently announced the re-launch of their Shop Rate Calculator (SRC). This software utility combines labor rates as reported on W-2 forms by the Bureau of Labor & Statistics. The calculator tool was recently updated with a new look and feel and it has several default factors that identify supplier shop rates manufacturers who do machining, fabrication, and mechanical assembly.
"Heading forward, SRC remains a critical tool used by OEMs (original equipment manufacturers)," said David LaJoie, VP of Sales & Marketing for MTI Systems. "Ultimately, it enables OEMs the ability to quickly estimate their suppliers' shop rates, helping them determine who can make the part for the least cost."
The Shop Rate Calculator program is used to identify labor rates across the U.S. as well as continental Europe and Worldwide markets. When combining shop rates with manufacturing times – OEMs have the information they need to determine costs and negotiate the most favorable price possible. In some cases, these cost estimates can save companies as much as 50% of purchased part costs.
"SRC is a prime example of how our company listens to our customers," continued LaJoie. "Many of our larger OEM customers wanted the most efficient and accurate way to estimate supplier shop rates. So we followed through and executed a framework. With their input, we were able to effectively fill in the blanks and provide a module that's beyond anything we've done before in terms of accuracy."
Costimator utilizes this separate utility to assist estimators, buyers and negotiators their with cost estimating process. This software tool for manufacturing is used to calculate shop rates based on the inputs of machine price, number of employees, direct labor and Gross Sales combined with eleven default factors, including overhead costs and SG&A.
Costimator cost estimating, quoting and process planning software began development in 1982. Originally designed for suppliers, it reduces estimating time, while not compromising accuracy or consistency for manufacturers who do machining, fabrication and mechanical assembly. The cost estimating software system calculates cycle times and the cost of manufacturing a part or assembly based on the capabilities of the suppliers' equipment and their shop rates.
In recent years, many more manufacturing processes have been added to Costimator helping to meet the needs of new technology suppliers and OEMs in industries such as, aerospace, agriculture, defense, electronics, medical, heavy truck, energy, transportation, and construction manufacturers.
About MTI Systems, Inc.
MTI Systems provides cost estimating software and estimation services for the manufacturing industry, serving both suppliers and OEMs. For more details: contact MTI Systems, 59 Interstate Drive, West Springfield, MA 01089, Phone 800-644-4318/ 413-733-1972, www.mtisystems.com.