Planning for Success
As outlined above, there are many factors that determine the best shop size for a given CNC fabrication company. However, and this cannot be emphasized enough, each factor is predicated on the presumption of solid business planning. Therefore, before committing to any shop it is vital that you have assessed and identified these factors, so that you can apply this knowledge to your specific business plan.
Know Your Market: What is the potential for growth in your chosen market? What is your competition? What are your production costs? What are your production timelines? What do you need to deliver to be competitive?
Know Your Goals: What are your production goals for this year, next year and the next five years? What are realistic profit goals and how much space do you need to achieve this? What are your staffing needs?
Know The Pitfalls: What are the carrying costs of a large shop compared to a small shop? What is the likelihood of running out of shop space versus having too much space? What are the repercussions of having to move shop if you have miscalculated your space needs?
Once you have a good handle on these variables you will be able to choose a shop that maximizes production potential, supports business growth and minimizes unforeseen costs and problems. Even better, you will have a business plan that has assessments of a whole range of possible events, so that you know that you have chosen the very best shop size to handle a range of eventualities with your business.