Fusion introduces open-book pricing to clients
June 24, 2010
FUSION INTRODUCES OPEN BOOK PRICING TO CLIENTS
Fusion Systems Inc. is formally introducing its Open Book Pricing Program, offering clients full disclosure of Fusion's costs and margins which allows clients to fully understand the true associated realized costs of their products.
The Open Book Pricing Program is an innovative strategy in which Fusion provides all costs and margins in a comprehensive pricing report for the client. When approaching a project, whether it be cost reduction on an existing product, prototyping a new product, or a production order for an established product, Fusion compiles the projected engineering costs, purchased and fabricated components, labor, overhead costs, and profits into an itemized and in-depth quotation for the client. Fusion operates on a 25% gross margin, consisting of overhead and profit, which is on average at least 6% lower than any other U.S. manufacturing companies can offer. With all components and labor detailed, and Fusion's 25% margin clearly noted upfront, the client is able to truly understand all of the associated costs of a product, enabling them to make better informed decisions about the direction of future development and production.
After three years of beta testing the Open Book Pricing Program with dozens of widely varying products, Fusion has found the Program to be essential to the successful business relationships it maintains with its clients. Fusion has found that the transparency associated with Open Book Pricing immediately breaks down barriers usually associated with pricing and quoting, opening communication between both parties. Because both parties know exactly where the costs of a product are stemming from, any issues or concerns can be openly and quickly addressed, which helps eliminate future setbacks and speeds up project timelines.Click here to get in touch with Fusion OEM