6 Ways Our Precision Machine Shop Beats Big OEMs

Three years in, manufacturers are still reeling from the impact of COVID-19. Supply chain disruptions and labor shortages have created massive delays in our industry. Painfully long lead times of 6-8 months are the new normal for original equipment manufacturers (OEMs), and these delays are costly for customers.

The good news? We’re here to help. Not only are precision machine shops like Area Tool & Manufacturing, Inc. filling the gaps left by OEMs, but we’re also setting new production standards for manufacturing customers who need priority service.

How Our Precision Machine Shop Stays Fast and Affordable 

Here are six ways our precision machine shop stays fast and affordable to win over big OEMs: 

1. Low-volume capabilities 

OEMs are incredibly busy building new products from the ground up. So when a customer using one of their existing products comes to them in need of a new part—to optimize performance or replace a part that has worn out—it’s not uncommon for the OEM to turn them down. It’s the nature of their business models; they have bigger fish to fry. 

At Area Tool & Manufacturing, machining low-volume parts is our bread and butter. We know that product and equipment outages can cost your business thousands of dollars. We have the flexibility and capacity to make your replacement parts and get them to you quickly, so you don’t have to worry about costly downtime. 

2. Easy access to raw materials 

We work exclusively on low-volume parts, which means we often need small quantities of raw materials, which are easier to come by than the large volumes needed by OEMs. 

But because of order minimums, we still often end up with more material than a single job actually requires. This leftover material benefits our customers in one unexpected way: access to inventory. 

Any leftover material goes on our shelves for future use. Even very small amounts of these materials can save the day if you’re crunched for time and in desperate need of a part. 

3. Minimally impacted by labor shortages 

Nearly every industry is facing labor shortages right now, but the impact on our shop has been minimal.

While one local OEM recently admitted to 40 vacancies in their company, we’ve never had more than one spot to fill at any given time. Our size enables us to offset labor shortages, and that means business as usual for our customers.

4. Unmatched lead times 

Every minute equals money lost or gained for a customer. We recognize that turnaround time is everything in our business—and yours.

Large OEMs are pushing projects out as far as eight months, but we can deliver parts in 4-6 weeks. We’ve even been known to achieve same-day turnaround for mill-only parts that don’t require heat-treating or plating. 

5. Personal touch

When customers work with an OEM, they’re at the mercy of a huge company that likely views them as a low priority. At our shop, we view every customer as important. 

Want an example? One of our customers had a part scheduled to ship overnight, but they needed it sooner, so they asked, “Could you get someone on a flight tonight?”

That same evening, an Area Tool & Manufacturing, Inc. team member flew to Boston and hand-delivered the part to the customer. 

Requests like this one aren’t feasible for OEMs. But because of our size, we can tailor our services to customers’ unique needs. 

6. Competitive prices and no markups 

OEMs charge high prices for parts stamped with their brand name. It’s a common practice at big companies—one that you’ll never have to worry about when you work with us. 

We have fewer expenses than a large OEM. We’re a low-overhead company where everyone works collaboratively to get the job done.

Precisely because of our strategic business model, we are more profitable—and more price competitive—than the majority of OEMs.

Area Tool & Manufacturing Is Your Go-To Shop for OEM Parts 

Most of the OEM parts we make are for automation machines in the medical, telecommunications, and aerospace industries. In addition to machining replacement parts, we help companies quickly turn new design concepts into working, testable prototypes that they can take to their preferred OEM for production.

Got an OEM part to send our way? We joke that Area Tool & Manufacturing, Inc. does the work that other shops don’t want to touch! In fact, we love opportunities to deliver impeccable parts quickly and at a fair market price. 

It’s the kind of service that makes us feel good, and our customers feel even better. Request a quote today to work with us.