Dec 27, 2007

Cost savings

The last couple months we managed to cut about 50% of the projected cost of our disposable medical device. How did we manage to do that? We have a very labor intensive device to manufacture, or at least we thought we did, we hadn't spent much time refining production.

Then we hired a part time temp and paid her less than 1/2 the rate of the two full time guys and she was able to out produce them both while working part time with a higher quality of work. Plus she actually read drawings and followed procedures so she discovered some engineering and QC problems with the product which were fixed. I don't know how you consistently hire people like that though.

4 comments:

Isabelle said...

How to consistently hire people like that? Move to China or India.

CresceNet said...

Gostei muito desse post e seu blog é muito interessante, vou passar por aqui sempre =) Depois dá uma passada lá no meu site, que é sobre o CresceNet, espero que goste. O endereço dele é http://www.provedorcrescenet.com . Um abraço.

Shreya said...

Interesting blog.. I am interested in designing medical devices as well. I am going to put you on my blogroll. :)

Jack said...

That's great that you were able to cut cost.