It’s a question every company wants to know the answer, or at least should know; how does their company compare to their industry as a whole? In the spring manufacturing industry, The Spring Manufacturer’s Institute periodically publishes spring industry information so that spring manufacturers can compare their numbers to see how they are performing vs. the spring industry as a whole. It’s good for spring manufacturers to know how they compare, so that they can potentially identify areas that can be improved. The spring industry numbers can serve as a benchmark for spring manufacturers to have something to gage their performance. The comparisons can also be helpful information for spring customers and potential spring customers in deciding on a spring manufacturing vendor. For example, the comparison below shows how Katy Spring’s numbers compared to the spring industry’s numbers, using statistics from the year 2000 vs. 2005.
Category Spring Industry Katy Spring What does it mean?
Net Sales 12% increase 378% increase Greater customer satisfaction
Raw Material 3.4 % increase 2% increase Better at purchasing/inventory
% of Cost Management
Direct Labor .3% increase 4% increase Better at Attracting & Retaining
Factory Cost .5 % increase 2% increase Better at Managing Production
Total C.O.G.S. .8 % increase 4.9% decrease Better at Managing Over-All
Admin. Fees .6 % increase .00006 increase Virtually no change
Profits 1.4 % decrease 5.2% increase A Better Spring Company
The percentages are taken as a percentage of total sales and revenue.