It’s no secret that business ownership is difficult, especially for industrial-based companies. However, understanding challenges prepares you for the road ahead. Keep reading to discover the common challenges of owning a metal fabrication shop.
Increasing Client Demands
Clients want their products as soon as possible. Thus, making metal fabrication shops work hard to fulfill orders. When your company produces good work, people will use your service. Of course, more profits are a great outcome. However, you may encounter increased client demands. This increase can lead to hours of overtime to complete orders.
Another challenge of owning a metal fabrication shop is labor shortages. Within the industry, it’s difficult to find skilled assemblers, welders, and finishers. When you do find a qualified worker, it’s important to keep them! Since labor shortages are prevalent in metal fabrication, many companies undergo extensive in-house training to prepare employees for projects and tasks. Additionally, businesses offer employee benefits to retain workers.
Robotics and metal automation use machines to speed up production and reduce human errors. Technology is a great tool for fabrication shops as it can handle large pieces of material. The challenging aspect of this tool is cost. If you own a small operation, the budget for technology may be low compared to larger companies. The dilemma of “do I cut back on employees to afford technology or do I skip technology integration” comes into play.
Metal fabrication shops rely on equipment like band saws, welding carts, and power shears to manipulate metals. Equipment and tools are important assets. That’s why maintenance is critical to every day operations. Some fabrication shops struggle to care for material and overwork tools.
Following good maintenance practices reduces equipment breakdowns or inaccurate projects. For instance, you can preserve the life of your band saw blades by checking blade tension to ensure stable cutting. Without stable cutting, you risk uneven metal slices.
Consistent Material Prices
Acquiring raw materials like steel and metal is challenging, especially when you outsource items. Ideally, you want affordable material. But suppliers change prices depending on their economic standing. This inconsistency alters the budget for material. Budget alterations can affect other components like worker wages.