Here are 6 tools that PMPA members use to calibrate their business to the industry and markets.

Calibration assures our values are correct and consistent...

Every precision machining shop has a calibration system to assure that their products are dimensionally compliant and meet the expectations of their customers. Calibration systems assure that when they say “0.0001 inch,”- that it is in fact 0.0001 of an inch.

How do you calibrate the business of your business? How do you know that you are getting the same share of sales into a market as your peers? How do you know that you are paying the wages that the talent you have deployed are worth? How do you know that what you are seeing for material prices are in fact the trend in the market and not an anomaly?

PMPA members calibrate their businesses by participating in PMPA surveys and reports:

  • Monthly Business Trends: Sales / Shipments/ Hours scheduled/Overtime/Prospects for Sales, Lead times, Employment, Profitability
  • Annual Shop Hourly Wage Survey and Report
  • Administrative and Clerical Wage Survey and Report
  • Executive Compensation Survey and Report
  • Material Impacts Report
  • Annual Business Forecast Survey and Report

Our Business Trends Index correlates well with the markets that determine industry’s shipments. Data and inferences from it have  been reblogged on Wall Street Journal online.

How do you know if the wages you are paying are competitive and sustainable? Participants in PMPA’s various wage surveys know because they are calibrated with precision machining shops just like theirs.

Our Annual Business Forecast Survey and Report

looks at participants reports and forecast of sales in various market segments served by our industry. This report includes a longitudinal view as many participants provide data each year so that the trend over time, not just point in time is apparent.

How do you calibrate your business?

Gage Blocks

Up substantially over same month last year.

All of the crucial raw materials that we track are up double and triple digits compared to same month last year. Material cost component of our manufactured products is up, and holding in the short term, but subject to variability of global forces as well as local and market demands.
See the full report here.

Of course prices have risen.

Information tool you can use.
Information tool you can use.

We finally are back to manufacturing expansion following 18 months of  contraction in the manufacturing sector.  Supply chain pretty much destocked. Low inventories. Domestic mills operating at 47% of capacity. Global influences on scrap and raw materials. You need a program to follow this game. We’re providing you one with this edition of PMPA’s Material Impacts Report.
The prices of the raw materials that we track have continued to rise with double digit percentage gains over January with one exception: China Coke. Year over year, all prices are still down significantly. 

  • Aluminum: Up 18.65% from January
  • Copper: Up 86.67% from January.
  • Nickel: Up 27% from May, up 4.44 % since January.
  • Steel Busheling: Up 26.67% from January.
  • China Coke: Down 2.73% from January. 

We have seen price increase announcements in addition to surcharge increases since our last report. 
Details in PMPA’s Material Impacts Report.