A real transformation case (customer authorized sharing, details anonymized). Payback in 6 months, output up 4×.
1. Customer Background
| Item | Details |
|---|---|
| Industry | Hardware fittings (construction fasteners) |
| Location | Zhejiang (about 2 hours from Yiwu) |
| Scale | 30-person factory |
| Product | Stainless steel pins, 3mm diameter, 12-25mm length |
| Monthly output | ~4 million pcs |
2. Problems Before
Problem 1: Low Manual Efficiency
- 4 workers cutting manually, ~150,000 pcs/day
- Workers need 2-3 months training to be proficient
- High turnover of skilled workers (40% annually)
Problem 2: Unstable Quality
- Length tolerance ±0.15mm (barely passing)
- Defect rate 3-4% (frequent complaints)
- Burrs on end faces requiring secondary processing
Problem 3: Can't Take Large Orders
- Capacity maxed out — afraid to accept large orders
- Long lead time (15 days)
- Margins squeezed (competing on price only)
Problem 4: Safety Incidents
- Manual cutting easily injures hands
- 2 minor injuries in one year
3. The Solution
Selection Process
The customer initially wanted the cheapest VFD model (CNY 30,000). We recommended servo instead:
| Item | VFD | Servo (recommended) |
|---|---|---|
| Precision | ±0.1mm | ±0.03mm |
| Customer requirement | ±0.08mm | |
| Margin | None (critical) | Ample |
| Defect rate | 2-3% | 0.5% |
| Price | 30,000 | 48,000 |
The customer accepted and purchased the S-02 Medium Servo Wire Cutting Machine.
Configuration
- S-02 main unit × 1 (CNY 48,000)
- Spare tungsten blades × 2 sets (CNY 2,000)
- Automatic collector × 1 (CNY 5,000)
- Total investment: CNY 55,000
4. Results After
4.1 Output Greatly Increased
| Metric | Before | After | Improvement |
|---|---|---|---|
| Daily output | 150,000 | 600,000 | 4× |
| Monthly output | 4M | 16M | 4× |
| Machines | 4 manual machines | 1 automatic machine | — |
4.2 Quality Significantly Improved
| Metric | Before | After |
|---|---|---|
| Length tolerance | ±0.15mm | ±0.03mm |
| Defect rate | 3.5% | 0.5% |
| End face | Burrs, secondary processing | Smooth, no processing |
4.3 Labor Cost Down
| Item | Before | After |
|---|---|---|
| Operators | 4 full-time | 0.5 part-time |
| Annual labor cost | CNY 264,000 | CNY 33,000 |
| Annual saving | CNY 231,000 | |
4.4 Safety and Stability
- ✅ Fully automatic — no manual contact with blades
- ✅ Zero safety incidents in 18 months after the upgrade
- ✅ Fixed parameters — quality independent of operator
5. Return on Investment
Investment: CNY 55,000 Annual labor saving: CNY 231,000 Annual scrap reduction: ~CNY 12,000 (defects 3.5%→0.5%) Total annual benefit: CNY 243,000 Payback = 55,000 / 243,000 ≈ 2.7 months ★
6. Additional Gains
"We used to be afraid to take large orders; now we have 2 long-term customers. The biggest relief is no longer worrying about hiring — every year after Spring Festival we feared workers wouldn't return. Machines don't resign."
7. Advice for Similar Factories
- Do the math before buying: calculate benefits across labor, scrap and capacity
- Leave precision margin: machine 30% better than customer requirement
- Leave capacity margin: select for 1.5-2× current output
- Choose a supplier with after-sales: parts supply and response speed matter
- Validate at small scale: buy one machine first, add more if it works
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