|About Us||Products||News||Resource Center||Customer Service||Contact Us||Register/Log In|
You should invest in products that provide fast Return on Investment (ROI). In order to determine ROI for anything you buy, you must first know what your costs are prior to the investment. Here’s an example:
How much do wrinkles cost your operation? $100 per day, $1,000 or $10,000 a day or more? When you consider how much they cost, you have to figure in wasted materials, wasted energy and wasted man hours at your fixed overhead. But for this example let's just say those pesky wrinkles cost you a total out of pocket expense of $100 per day. And that anti-wrinkle roll will cost you $4,000. And let's say for this example that the anti-wrinkle roll only eliminates 50% of the wrinkles. $4,000 divided by $50 savings per day ($50 is 50% of your total $100 per day loss due to wrinkles) equals ROI in just 80 days.
Generally, any investment should provide ROI in one year. The example above is a no-brainer - BUY IT, don't hesitate, any hesitation is literally money out of your pocket. If you do not buy the anti-wrinkle roll in the example, your out of pocket costs will be at least $12,500 per year based on 250 days worked per year.
Your equipment vendor should be able to prove ROI to you for any product you purchase. But keep in mind you need to tell him your costs in order to calculate ROI.
**DISCLAIMER - A great deal of time has been invested in the development of our weekly tech tips. To the best of our knowledge, they are accurate. It is up to the user to verify all results.|
THE AUTHOR ASSUMES NO LIABILITY CONNECTED WITH THE USE OF THIS INFORMATION OR THE RESULTS OBTAINED FROM IT.
201 Alpha Road
PO Box 188
Wind Gap PA 18091-0188
Phone (800) 433-2413 -(610) 863-6008
Fax (800) 709-1007 - 610) 863-7818
What is Web Handling?
Web Handling is the science, engineering and equipment necessary to successfully transport a continuous flexible material through various processes without defect. Enhancing Web Handling with proper equipment will ensure materials are processed at their maximum efficiency, allowing the process to generate maximum profits.
|**Click here for CAC's terms and conditions**|
RETURN TO TOP