[USMA:32162] Re: IOWA Business Network - Converting to the Metric System

[Cole]

I know that legislation went into a ffect a few years ago that the metric system is to be the preffered systerm of weight and measure, but is this a new requirement, an old requirement now getting recognized, or something else entirely?

 

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-----Thanks!-----

Cole Kingsbury
[EMAIL PROTECTED]

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> Reference Date: 2005-02-01
> http://www.iabusnet.org/templates/main/articleprint.cfm?ID=178
>
> Presented to you by the Iowa Business Network
> Converting to the Metric System
> U.S. Small Business Administration
>
> The U.S. government's decision to mandate the metric system as the preferred
> system of weights and measures for procurement contracts will have far
> reaching implications for the business community. Metrication will have an
> impact on both product-oriented and service-oriented firms. For example, a
> retail business currently selling fabric in units of inches and yards will,
> after conversion, sell fabric in centimetres and metres. Similarly, a
> janitorial firm wanting cleaning contracts will bid on office space based on !
> specifications for square and cubic meters.
>
> Metrication will create a new business language. Despite new opportunities,
> some small business owners will resist metrication. You should, however,
> convert as quickly as possible. Why? The answer is simple. Those among the
> first to convert will improve competitiveness and market access and achieve
> standardization savings. Those who are slow to convert will recover little,
> if any, of their costs. The conversion process is a procedure owners must
> undergo in order to retain their share of federal contracts. Any small
> businesses failing to make the transition will not be competitive in metric
> markets of the future.
>
> THE PROCESS
>
> Metric conversion is not necessarily a complicated process. But, it will
> take time and careful planning to make the transition as cost-effective and
> as efficie! nt as possible. There are a number of steps you can take to > s implify the process.
>
> First-Cut
> This is the initial stage in metric conversion, where you perform a quick,
> rough analysis to determine if conversion is warranted. Questions you should
> address are:
>  When should you start developing a metric capability?
>  How fast should you phase-in metric capability?
>  What is involved in moving in that direction?
>
> Once you have assessed and answered these questions, you are ready to
> analyse the market to assure yourself there is or will be a large enough
> market to justify the investment. Also during this stage, prepare a cost
> analysis for an estimate of the costs and prepare a preliminary phase-in
> plan to identify when to start implementation. Your analysis should include:
>
>
> Market Analysis
>  Define goals and objectives
>  Check metric products' sales trends (foreign and domes! tic)
>  Check suppliers, competitors and trade associations for trends
>  Identify types of product conversions and their impact on servicing work
>  Project customary vs. metric new business
>
> Cost Analysis
>  Add, replace or modify tools and service equipment
>  Add, replace or modify inspection and test equipment
>  When necessary, train employees in metric
>  Maintain, store and handle dual inventories, work to reduce and phase-out
> non-metric items
>  Revise service order forms and other documents
>  Project total costs for developing metric servicing capability
>
> Preliminary Metric Phase-in Decision
>  Review projected sales revenues
>  Consider alternative phase-in plans for cost reductions
>  Evaluate non-cost considerations
>  Make preliminary decision
>
> By analysing these factors, you will be able to:
&! gt;  Identify new market areas
>  Determine if your m! arket is saturated with small businesses offering
> similar services
>  Estimate the initial cost
>  Outline a conversion method
>
> Planning
> Next, start your planning. This process usually focuses on four major areas:
>  Demand forecasting
>  Service planning
>  Personnel training
>  Paperwork changes
>
>
> Demand Forecasting
>  Trends in converting products now serviced to metric
>  Potential new metric product service work
>  Sales literature
>  Customer notification
>  Continuing metric market research
>
> Service Planning
>  Tools and service equipment
>  Inspection and test equipment
>  Performance and testing specifications
>  Metric supply sources
>  Purchasing specifications
>  Dual inventory facilities procedures
>  Scheduling metric servicing phase-in (lead time requ! irements)
>
> Personnel Training
>  Employee notification
>  Training needs identification
>  Training materials availability (including shop charts)
>  Scheduling training
>
> Paperwork Changes
>  Service order forms
>  Testing reports
>  Parts/tools check-out forms
>  Accounting records
>  Scheduling procedural/printing changes
>
> By working through the areas described above, you now have a comprehensive,
> detailed metric servicing plan. But, before you make a final decision, there
> are two additional cost factors to consider. First, consider whether you
> will need to borrow money to cover the costs of metrication. Second,
> consider the tax implications of your metric phase-in plan. With this
> information you will be able to prepare a fairly accurate cost projection,
> which can be incorporated into the financial! section of your business plan
> and used to justify in! vestment costs if you apply for a loan.
>
> Phase-In
> Now you are ready to begin the final stage of the metrication process:
> Phase-In. A usual way to begin this stage is to schedule a meeting in which
> you affirm your commitment to the metric program. Employee motivation and
> support can be enhanced by outlining the importance of the program to the
> future of the company and to job security. Also, keeping employees informed
> about and identifying their roles in the process will alleviate fears and
> make the transition smoother. Remember, your employees are a vital key to
> the success or failure of the conversion process.
>
> As your company changes to metric, it is critically important that you keep
> a continuous check on how closely the conversion process correlates with
> your plans. Many companies have discovered that the most effective way of
> accomplishing this is! by having frequent meetings of task leaders to review
> the previous week's experience, and by generating a set of special reports
> for use by the leaders. The contents of these reports should be tied closely
> to your phase-in plans.
>
> METRIC INFORMATION
> Excellent sources for further information and assistance on metric
> conversion and the metric system are available. Make it your business to
> know what information is available, where to get it, and how to use it.
> Several sources of information include:
>
> American National Metric Council
> 1735 North Lynn St., Suite 950
> Arlington, VA 22209
>
> National Institute of Standards and Technology
> Office of Metric Programs
> Gaithersburg, MD 20899
>
> American National Standards
> 1430 Broadway
> New York, NY 10018
>
> U.S. Metric Assn., Inc.
> 10245! Andasol Ave.
> Northridge, CA 91325
>
> ! U.S. Sma ll Business Administration
> 409 Third St. SW
> Washington, DC 20416
>
> Presented to you by the Iowa Business Network.
>