Quotation Tool- Case Study

Since implementing the quotation tool designed by Two Global Eyes, Endress+Hauser has seen a measurable growth in the sales volume and accuracy in costing of our projects. We feel that we have an advantage [over our competitors] in how we create proposals…”
—David Riemer (Product Manager—Service & Solutions)

Background

Endress+Hauser (E+H) is a leading supplier of industrial measurement and automation equipment, providing services and solutions for industrial processes all over the world. There are 16 offices in Canada. The company offers comprehensive process solutions for flow, level, pressure, analysis, temperature, recording and digital communications across a wide range of industries.

Opportunity

Project-based companies provide their prospective customers with tailored prices and specifications, and are critically dependent on the timing, accuracy and consistency of their proposals/quotes in order to win profitable work. E+H’s Services & Solutions department wanted to streamline its services proposal generation system, and was looking for a low-capital-cost quotation tool which produces proposals accurately and faster than its current manual process. A single quotation tool adaptable to any number of locations, user-friendly, and implemented with minimal disruption to operations, was required.

Solution

Two Global Eyes developed a quotation tool comprising 2 components: an Excel-based price calculator, linked to an MS Word proposal-generating and printing tool. The calculator not only factors in direct costs but also provides for overtime costs and overhead expenses, which may vary considerably from project to project, depending on project specifics (e.g. mobilization centre, schedule, allowable work days and times, travel and accommodation plan, etc.). It draws on lookup tables populated with company-specific information (e.g. the range of E+H’s production activities, production rates and costs, standard equipment costs, overtime premiums, travel and accommodation allowances, etc.). Project data is entered via self-updating dropdown lists, and a mechanism that alerts the user when inputs are incorrect or incomplete. The proposal document is formatted to suit E+H’s quoting requirements (industry references, scope of work, standard conditions of sale, etc.), and can be printed (in English or in French) within seconds of the data being entered.

Summary of Project Steps
  • Map E+H proposal process; gather information (project standards, costs) via manager interviews, analysis of past proposals.
  • Identify shortcomings and opportunities in existing proposal/quotation process.
  • Improve, streamline, standardize the process; develop the costing and proposal components of the quotation tool.
  • Compile the procedures manual, train the users and install the system.
Impact

Not only does the quotation tool generate accurate and immediate project quotations, it also requires less time from the salesmen to do so. E+H now has more control over the proposal generation process, ensuring that project pricing is consistent across the organization. They feel that the quotation tool has given them a competitive advantage in the market place, without having to incur any additional capital costs.

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