Auto Manufacturers will Save Cost from Engine Valve Production Line

Cost is an important factor for any business to consider, Some data show that about 70% of the total cost of a car comes from the purchase of auto parts. If the purchase cost is reduced by 1%, the profit will be increased by 5% -10%, while the increase of 1% of sales will only increase the profit by 1% Obviously, by reducing procurement costs more easily increase profits and enhance competitive advantage.

Engine valve is one of important component in auto manufacturing, the pruchase cost is also large, European and American car manufacturers demand for auto parts are more dependent on the external independent parts suppliers plant. nowadays, Parts manufacturers are no longer the traditional processing, but to take full responsibility for product design, manufacturing, testing, quality assurance, timely delivery and market services. At the same time, automobile manufacturers gradually reduced their direct supply sources and minimized the number of directly-traded auxiliary plants, forming a 'pagoda' -shaped supply system.

The overall goal of enterprise procurement is to achieve timely and accurate procurement, to meet the needs of business, reduce procurement costs, improve economic efficiency. Therefore, the comparison of parts purchase price and selection and cost control are the key elements in purchasing.

There are some other auto manufacturers choose self-producing engine valve so that the communicating cost be saved, especially, for famous Auto manufacturers, they need to ensure the product quality as well as the ever even better, the own automatic engine valve production line will give chance of saving cost, there are below advantages:

1, Precision of the engine valve guaranteed. most Auto manufacturers will invest much effort in engine valve  precision and customized. own engine valve manufacturing team can make the precision as requested. the precision and customized can be controlled.

2, Communicating cost be saved. if the purchase the engine valve from other auto spare parts suppliers, the auto manufacturer need to purchase the engine valve from different suppliers to compare the quality, and the suppliers fabricating quality must have safeguard.

3,  Automatic engine valve machine line will save the human cost. stable own engine valve manufacturing department will give you accurate date of the finishing, and the all machines are the automatic, then few people will do this job perfectly.