MCG Portugal Case Study

Cost Estimating Software, Costimator, Gives Metal Industry Giant MCG-Portugal a Shot in the Arm

The Client

Portugal-based MCG Mind for Metal is a 60-year veteran of the metallic component manufacturing industry with a laser-focus on ethics and sustainability. MCG expertise includes production of metallic parts and assembles, tooling production, and prototyping and rapid manufacturing. The machining, fabricating and assembly company fuses cutting-edge technologies, a robust engineering department and forward-thinking research and development processes dedicated to making waves in the automotive, solar, laser and tooling markets. However, when traditional cost estimating practices on archaic spreadsheets consumed vast amounts of financial and human resources, MCG knew it was time for a change.

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The Challenge: Resources Spread Sheet Metal Thin

In this market, a smart allocation of resources means everything. MCG-Portugal principals found they were doing double the effort to create sound cost estimating proposals for new clients. And while costing experience and judgment may have worked in the past, the company was desperate for a way to conserve time and energy while producing synchronized estimations that not only landed them new contracts, but built client confidence in their brand, as well.

Explains MCG-Portugal Sales and Marketing Director Pedro Sousa, "Prior to implementing Costimator every estimator used their own spreadsheet which lead to quotes that were drastically inconsistent, resulting in lost business."

The company's quoting process was severely hindered by having its costing data dispersed over thousands of spreadsheets. The lack of cycle time and cost standardization lead to severe delays in RFQ response time and inconsistent cost estimates. In short, MCG-Portugal was spinning its wheels and losing ground to its competitors.

The Outcome: Costimator Builds the Brand

Fast forward to the present. Since the implementation of Costimator, MCG Mind for Metal has reaped the following benefits:

• Greater costing consistency – through the use of a centralized costing database shared amongst estimators
• Faster RFQ response time -- by a reduction of cost estimating lead-time through process simplification
• Increased sales – by attaining a higher bid-to-award ratio
• Great customer loyalty -- by producing consistent quotes that customers have confidence in
• Quick Implementation – up and running in 3 days

What's more, as MCG's diversification strategy introduces innovative processes, advanced machines and a host of new products, Costimator cost estimating software will provide a common costing framework that company principals are well accustomed to. The result? A superior flexibility to expand the system and implement changes on the fly--two extremely critical components to MCG's success.

According to Carlos Saraiva, MCG Engineering Director, "After implementing Costimator we have been able to deliver our quotes to the customer much faster, which has resulted in a drastic increase in our bid-to-award ratio and overall competitiveness in the marketplace."

Carlos Saraiva, MCG-Portugal

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About MTI Systems, Inc.

Established in 1982, MTI Systems is a leading provider of cost estimating software solutions for the manufacturing industry, serving over 2,000 suppliers, OEMs and engineering firms worldwide. The company is headquartered at 1111 Elm Street, Suite 6, West Springfield, MA 01089.