Speaking of ratings, I think you made a typo in your 2.88/10.0 rating of MM.

Well, *I* am a potential customer, and I was actively enquiring about an MMR just a few weeks ago, but I will *not* purchase from a company with closed communication policies (e.g., PPS, Skit-B).

The Law of Information Flow

"Information, like electricity, WILL flow, and it will ALWAYS take the path of least resistance."

If you don't communicate with stakeholders, the grapevine will thrive. If you communicate with stakeholders, you can keep the grapevine in check.

Wow, mirror paste! Lloyd's whipping out the big guns!

Does Stern only operate with a single shift per day, or do they also have the capability and manpower to run double or triple shifts? Multiple shifts could put a serious dent into the production target, while keeping labor costs controlled.

In a contract manufacturing scenario, I doubt either party (buyer or manufacturer) would be willing to eat overtime costs. Normal OT (time & a half) chews up profits quickly. Holiday OT (double time) is practically unthinkable outside of hard deadlines with liquidated damages attached.

Also, what is Stern's normal practice for physical inventories? Even if they have a perpetual inventory system in place, their audit &/or lender requirements may also dictate that a year-end physical inventory take place.

For manufacturing companies with a fiscal and calendar year in sync (i.e., both ending on 12/31), many choose to conduct physical inventories in December because the manufacturing schedule during the Christmas holidays is often slow anyway, and physical inventories require that manufacturing shut down for a period of time to ensure accurate item counts for all Stock Keeping Units (SKUs). Obviously, if they have to halt manufacturing for a period of time to complete a physical inventory, that would lower the amount of finished goods that could be produced in the period.

Maybe if it said labnip, they'd give you a discount?

We all know that "making pinball machines is hard." (Thanks, Nate!)

But let's be realistic here. It's not exactly rocket science.

Oh wait!

Which is probably appropriate in this situation, assuming the manufacturing was contracted on a lump sum basis (fixed $ per machine). If it was contracted on a time & materials basis, and Stern's labor gets paid whether they are actively manufacturing machines or waiting for parts, then Stern could be more lax about supply disruptions.

Stern obviously doesn't want to eat unnecessary costs for re-scheduling/overtime due to poor supply management upstream of their plant. Hopefully, they have terms in the contract regarding change orders to cover deviations from plan, and those change orders would be priced on a T&M basis. Hopefully, they also have a liquidated damages clause to cover opportunity costs due to a significant business interruption. Those terms would give them more manufacturing flexibility in light of scheduling uncertainties.

Regardless, an unexpected just-in-time inventory supply scenario is not going to work for a contract manufacturer with relatively few economies of scale compared to some other huge manufacturing plants. This isn't a world-class automotive manufacturing plant churning out 500,000 units per year.

_{Post edited by Razorbak86: Changed 500,000 units a month to 500,000 units "per year."}

Sorry, that was a typo. I meant 500,000 units a year, and I was thinking of Nissan's plant in Smyrna, TN, because I had referenced that plant about a month ago on another thread.

http://www.tennessean.com/story/money/cars/2014/06/04/nissans-smyrna-plant-become-worlds-largest/9955033/

Prior post has been corrected.

I wasn't knocking Stern's plant. It's the best in the pinball manufacturing industry, and it has proven itself over many decades. Nevertheless, compared to other huge manufacturing plants which are highly automated, Stern's plant is much lower volume (i.e., ~20,000 units/year +/-?, or 4% of Smyrna's annual output) and still fairly labor intensive. Therefore, production delays due to inventory shortages have a disproportionate impact on total manufacturing costs because of the higher labor content.

Merry Christmas, Lloyd. The pinball hobby is lucky to have you!

It could be fixed pretty easily, if it's mainly a contractual problem due to weak contracts between PPS acting as the Licensor and General Contractor and CGC and Stern acting as Sub-contractor and Manufacturer. If the existing contracts for Game #1 are weak, write a stronger contract with real teeth for Game #2. For example, you can include progress billings tied to rigid milestones (i.e., 10% at prototype complete, 10% for participation in Expo, 10% for sample games on location, 20% at final testing complete w/ inspection sign-off, 25% at production start, and 25% at production complete). You can also include penalty clauses for schedule slippage, project management reporting requirements, onsite inspection requirements during production and testing, and liquidated damages for non-performance.

But if the contracts are pretty tight already, and the GC is just frustrated because of non-performance by the sub, then that's a lot harder to fix going forward, because it probably requires going with a different sub altogether.

Unfortunately, the manufacturing floor space isn't the real problem. I doubt anyone would purchase equipment (new or used), install it, test it, and then go out and recruit, hire, and train a labor force required to run it for just for one spec game (e.g., Game #2), much less just to build/finish the current game (MMr). The return on investment just isn't there.

Besides, I doubt the problem here is with the manufacturer (Stern). It sounds like its predominantly with the sub (CGC).

Time will tell, eventually, and the information WILL flow, taking the path of least resistance (i.e., either through official dissemination, or through the grapevine), as it always does.

Yeah, who needs official updates, when we'll eventually find out through the grapevine anyway, with all of its accompanying noise and drama.

So you don't have an actual written contract to provide support for either party?

This is an example of screen tearing... image.jpg

Yes, you've been consistent in saying that, and you clearly have the skill set to provide assistance. I'm shocked that Rick has not yet contacted you for help.

Well, the good news is that Rick has been on Pinside a LOT in the last 24 hours, posting information, interacting with customers, answering questions, doing all the right things that people who excel in customer service are known for.

https://pinside.com/pinball/forum/topic/ann-playfield-overlays-using-original-wms-art-cleared-by-wms-for-pps?tq&tu=PPS

So I would encourage you to engage in conversation with him, since he has available time and is, as always, focused on exceeding his customers expectations.

Clearly licensing.

You should probably visit the PPS forum, 'cause that's where all the REAL information is flowing.

Because he ordered the gold trim. Duh!

He's not upset. That's his happy face.

More like Cassandra.

No kidding. You should check out the dedicated forum on the Spooky Pinball website.

http://www.spookypinball.com/dedicated_forum

Without that dedicated forum to channel the sea of insanity, there would be Spooky Pinball "drama" all over Pinside.

Absolutely, and the way you handle "service recoveries" can build fierce loyalty amongst your customer base.

I agree with you regarding liability management, clean handoff for invoicing, and maintaining proprietary customer lists.

Having said that, it makes no sense to do final QC/inspection at anyplace other than Stern. Either Stern needs to be contractually responsible for final inspection, or CGC needs to have onsite personnel at Stern's plant performing final inspection before the machines are shipped anywhere. Waiting to do final inspection at CGC is just a nightmare waiting to happen.

Most importantly, if you find problems that need to be corrected, the machines are already at the factory and within feet of the production line, tooling, fixtures, and skilled labor who are best able to correct any deficiencies immediately.

Wow! I'm not surprised that you think that, but I'm surprised that you actually wrote it on a public forum. You really don't have an internal filter when it comes to public relations, do you?

Gabe Newell at Valve. Goes by the userID "gaben". He's just a billionaire, though, so perhaps he doesn't meet your criteria?

ROFLMAO! Thanks. That made my day.

There were at one one time, at least.

It's been moved to the "!" symbol in the bottom right hand corner of attached photos. Looks like you can no longer "tilt" entire posts, but you can still "tilt" photos.

So why do you keep complaining about the complainers?

All the REAL information gets posted on the private PPS forum. PLENTY of info over there. Or you could just call Rick.

Maybe you should cancel your order... Then you wouldn't have to waste time on the Internet complaining about the complainers.

Nice PhotoShop. Everyone knows there is no prop on the 787!