Thus far the year 2009 has been very dry for moldmakers, as industry experts and economists have predicted. With little in the pipeline, bankruptcies are expected to rise by 50 percent to 70 percent this year and the ripple effect will be felt for quite some time. This unfortunate situation—with all of its chaos and calamity—will put significant pressure on OEMs and Tiered suppliers to transfer existing tooling to safer ground.
Automotive industry specialists, Harbour-Felax Group, have stated that tooling transfers are expected be massive right now. The critical component will be how efficient suppliers can be in managing transfers in a relatively hostile climate. OEMs and tiered suppliers have pared down staffing and are cutting resources to the bone. They don’t have the structure and project management support to effectively manage transferring the mass that is projected.
Opportunity is Knocking
Moldmakers and molders who have developed a clear-cut process to control tooling transfers will have the most calculated opportunity to capture business in a spiraling economy. Moldmakers and molders need to invest in the art and practice of project management if they want to add value to tooling transfers through a closely knit full service tooling and production environment.
You need to develop a detailed process of coordinating transfer tooling and controlling the supply of the parts, on-time, within the quoted pricing and cycle times. The most influential factor for success is highly efficient project management and constant communication. In addition to experienced mold design engineers, toolmakers and process engineers in one location that are able to act quickly to tooling conditions.
The transfer process is rarely without challenges and carries a high level of risk for the customer and for those receiving the tools. Effective project management remains the most successful weapon against getting burned and meeting deliverables. Be prepared to sit down with your customer or supplier if you’re moving tools and walk through the coordinated effort. Don’t get caught up in the game of working “it” out later. Molds will arrive on your doorstep in surprising condition due to wear, age, lack of preventative maintenance or even outright abuse. It’s best to identify these conditions up front and know how you plan to resolve them sooner rather than later. |
Controlling the Variables
Calculating the level of business opportunity involved with transfers depends highly on efficiency and due diligence of the process. Traditional variables include expectations for; PPAP/Quality, accounting/receivables, timing and scope of the molding/maintenance, raw materials, costing, shipping/receiving, purchasing/production control, mold assembly and mold set-up, tool design and engineering, and most importantly the role of project management. Transfer tooling requires you to expect the unexpected.
Responsive moldmakers and molders have identified a clearly defined path that receiving transfers will take. Some short-term thinking companies will strategically rush the process to get a supplier to commit to delivery and final pricing before all of the skeletons are out of the closet. This is a dangerous situation that only assures that the molds will be moved again soon. Most tooling transfers will occur in response to a dire situation and present the need to quickly move assets to a more stable supply system. This is where responsive customer service and opportunity can fill the pipeline.
Action plans start long before the molds begin arriving at the dock and constant communication is in place. The following list is not all-inclusive but provides for a foundation of success. Flowcharting your process before you consider taking on transfer tooling and defining the specific communication requirements for each stage of progress is recommended.
The variables are endless. Volumes tend to be much lower or nonexistent than estimated. Resin procurement then becomes a key issue for minimum order quantities, delivery schedules, mold maintenance and storage and more importantly—profitability.
Progress reports serve as a good resource in managing each tool as a project with the project manager controlling proactive handling of paperwork, runners, sample parts, part prints, tooling prints and communication. Approximately 30 percent or less of transfer tools will come with drawings. Half of those are old paper drawings with CAD models rarely provided. Reestablishing optimum molding processes through scientific molding principles is essential. Melt channels or material feed systems in older tooling are likely poorly balanced which create added challenges for quality, productivity and big headaches. For OEMs moving tooling and relocating molds to a financially sound, full-service moldmaker and molder is the first step to ease the pain.
Achieving Success
Managing successful tooling transfers occurs when the art of project management is mastered. And that is a very fluid process. The economy is expected to eventually come back around to more reasonable levels. The cycle of consumption, product development, manufacturing and demand will again spur growth in new tooling orders. For the time being, transfer tooling will rein in the current drought. |
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Examples of Transfer Tooling Issues to Resolve

Water Leak and Damage
Bad Bushing

Broken Tooling

Bent Ejector Blades
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Tooling Transfer Process
This process map serves as a good guide for receiving transfer tooling in your facility or it can aid OEMs in selecting a proactive vendor.
- Establish internal mold numbers or tracking and log the tool into your system.
- Validate contact list with team leaders identified.
- Schedule regular conference calls to review status, progress, condition, next steps.
- Staging the tooling for production readiness is the focal point. Inventories, leadtimes and demand schedules drive the timeline needed to complete the transfer process.
- Digital pictures are taken and tooling evaluation completed to include overall condition of cavities, slides, water lines and anything that will raise concern or capture performance conditions including broken steel. Risks include blind areas of tooling that may not be visible when initially received and don’t forget change over derails for multiple part number tools.
- Volume projections are identified. In many cases, molds may have zero or very low initial volume projected. PPAP communication is coordinated and it becomes a joint decision to store the tooling or run a PPAP to ensure that the tool is ready should an order become hot.
- Sample parts are reviewed in conjunction with the steel to determine if there are damaged cores or cavities.
- Open work orders to process the mold.
- Perform part attribute inspection (visual), document and dimensional integrity is verified. Sign-offs are performed from each team leader including mold condition and spare parts inventory.
- Receive, enter into system and control part prints and tool designs.
- Identify tooling work required, establish sampling plan, quote costs and manage the schedule.
- Process orders if parts were needed yesterday.
- If sample parts were not available, perform a sampling, calculate accurate piece price, and confirm tooling function.
- Complete tooling work and prepare for sampling.
- Identify and procure resin, schedule mold sampling.
- Mold setup and sampling, establish molding process, perform initial part inspection and visual attributes.
- Perform inspection layout and capability study, prepare and submit approval and PPAP documents.
- Review actual cost breakdown and confirm piece pricing.
- Establish production work instructions and packaging requirements.
- Secure proper P.O. and documentation needed to meet delivery schedules.
- Perform operator and inspector training and schedule for production.
Schedule for preventative maintenance and confirm customer satisfaction. |
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