CNC machining costs: Why can’t the hourly price be the final quote?

In the manufacturing industry, CNC machining is a key technology, and for many companies, determining reasonable processing costs is crucial. However, although customers often ask for an hourly machining price, this figure often cannot be the sole basis for a final quote. Let’s explore the reasons why the hourly price cannot be the final quote.

Comprehensive consideration

First of all, the price of a CNC machining project not only depends on the machining time, but is also affected by a variety of factors, including but not limited to material cost, processing difficulty, equipment depreciation costs, labor costs, and management costs. Therefore, basing your quote purely on hourly prices ignores these other important factors, causing the final price to be inconsistent with reality.

Processing difficulty and complexity

Every CNC machining project has its own unique machining difficulty and complexity. Some parts may require more machining time and skill, while others are relatively simple. Therefore, even if the processing time of two items is the same, their final price will be different due to the different difficulty of processing.

Material cost changes

Material cost is one of the important factors affecting the price of CNC machining. However, material prices may change due to market supply and demand, raw material price fluctuations and other factors. Therefore, determining a quote solely based on hourly prices will ignore changes in material costs, causing the final price to be inconsistent with actual conditions.

Customer needs and customization requirements

Many times, customers' requirements for customized machining of products will have a significant impact on the final price. Some customers may require special processing techniques or materials, which will increase processing costs. Therefore, the final quote must be adjusted according to the specific needs of the customer and cannot simply be based on hourly price as the only criterion.

In summary

Although price per hour is one of the important indicators for evaluating the cost of a CNC machining project, it cannot be the only basis for the final quotation. When determining the final quotation, a variety of factors must be considered comprehensively and flexibly adjusted according to the specific circumstances of the project to ensure that the final price is reasonable and accurately reflects the actual cost of the project and the needs of the customer. Only in this way can both parties be satisfied and a long-term and stable cooperative relationship established.