Overhead and the Future

From: <Hawco>
Date: Thu Sep 08 2005 - 10:24:00 EDT

Paul,

I am always puzzled by the reluctance for management to support the tools and the people needed to run these tools. If you think about it - the whole revenue generating process is about successfully completing projects. The engineering\design staff on these projects are ultimately responsible for supporting the overhead costs of the entire company - the president, v.p's, office admin, HR, Accounting, IT, sales, travel, leasing ... I have recommended very good people only to have them rejected because they cost $5/hr more than "Joe Average".

In my mind most companies have too many people (and thus too much overhead) in the mix - this blurb is about some of the issues we face and where I think the future is going.

Plant Design SW Pitfalls

High-End SW Advantages

What does Higher-End Software (increased capabilities and automation) get you?

How to leverage High-End Software

Paul Hawco
Mechanical Engineer
Neill & Gunter (Nova Scotia) Limited
http://www.neillandgunter.com <http://www.neillandgunter.com/>

130 Eileen Stubbs Ave, Suite 1 South
Dartmouth, NS, Canada B3B 2C4
Phone 902-434-7331 x1296
Fax 902-462-1660


From: PipingDesign@yahoogroups.com [mailto:PipingDesign@yahoogroups.com] On Behalf Of Paul Bowers
Sent: Wednesday, September 07, 2005 9:09 PM To: PipingDesign@yahoogroups.com
Subject: Re: [PipingDesign] Re: simple taskes turned complicated

aluser2 wrote:

> geez geoff I'm sure releived to hear someone saying this. I thought i was
> going nuts.
> I cant tell you the number of screw ups ive had to fix after huge money was
> wasted and
> work was paid for that was c...p ... and then they want an even cheaper fix
> and the money is gone. Everybody is behind the eight ball , time, money,
> schedule, and the fixes suddenly have all sorts of impacts.. cant do this,
> cant do that. Youre quickly the bad guy then asking for what should have

> been done in the first place and the cost is now WAY higher....
>
> ..but hey in accounting terms you can have three newbies for the price
of
> one. >>>3x more profitable right. Unfortunately the bullies dont disappear.

There seems to be a lot of overhead to be paid for these days (IT departments, hardware, software, etc.), leaving proportionately less available for design work.

Work expands to fill the budgetted hours allocated. Once the 3D models are completed and isos generated, the work is done.

Paul

[Non-text portions of this message have been removed] Received on Thu Sep 08 10:24:00 2005

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