Tuesday, 27 October 2015 20:35

5 Reasons to Buy Hardwood Rips

Successful manufacturers understand that they do not have to always conduct every step of the production process themselves.  For decades the concept of outsourcing manufacturing functions has increased in acceptance and popularity.  For many the concept of outsourcing started as a way to reduce operational costs. 

ripsaw overviewHowever, today successful companies are utilizing the concept of selective outsourcing as a way to gain a competitive advantage in the marketplace.  We believe this concept also holds true when it comes to hardwoods.  Here are 5 reasons we believe companies might want to consider outsourcing their rip production.

Lower operational costs

When it comes to hardwood lumber usage improving one’s utilization yield by as little as 3% can make a difference.  By ordering in the exact widths required for your manufacturing process you can capitalize on the precision of your suppliers equipment, the experience of their operators, as well as gain efficiencies from larger cut bills to produce the specific widths you might require.

In addition, when you order in the exact blanks you need you reduce your overall lumber waste and can reduce your waste disposal costs accordingly.

Variable Costs vs. Fixed Costs

Oh, the guesswork!  There are good loads of lumber that yield well, and there are poor loads of lumber that don’t.  Estimating how a load of lumber will work through your production process can be tricky.  Buying a ripped to width blank takes a lot of guessing out of your estimating process.  When you have a firm handle on your internal costs, you can be more competitive, and take more business from your competitors.

Improved Efficiencies

Manufacturers can improve their overall production efficiency by outsourcing their hardwood blank process.  Companies frequently find ways to reduce or even redeploy labor resources to other higher revenue generating aspects of the business. 

Efficiencies are also gained when companies do not have to store unusable inventory created in the ripping process in their warehouses helping drive warehouse operating efficiencies as well.

The ability to scale

When business is good and production has to increase a manufacturing plant can only do so much.  Double shifts, employee overtime, expedited raw material orders and increased maintenance intervals can bring additional challenges.  By ordering in hardwood blanks a manufacturer can potentially increase production by bypassing the random width conversion process and feed fiber directly into the next phase of production.  This can increase production and overall manufacturing throughput in many instances.

Defer the decision to purchase new equipment

Many times competitive advantages can be derived from enhanced machinery. Maintenance issues, break downs, or even the need for new technologies all factor into decisions to purchase new equipment.  When this line of thinking arises in the ripsaw category customers often consider outsourcing hardwood rip manufacturing instead of new equipment purchasing.  Hardwood rips can be easily and consistently sourced, and it frees up capital to be spend in other areas of the business.

If you have not already, consider ordering SLR2E hardwood moulder blanks for your business. Or consider supplementing your own production with ordered blanks when you need to expand production.  If you would like to discuss further we would welcome the chance to talk.

Bob Uglow
Baillie Lumber Co.
Hardwood Ripping Division
Hamburg, New York 14075
Cell: 407-496-4146
Office: 800-950-2850
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