Showing posts with label frame pricing algorithms. Show all posts
Showing posts with label frame pricing algorithms. Show all posts

Saturday, 8 May 2021

What the # ?!

 I mentioned in a previous post that I would explain about price codes.

If you think about it all the program needs to work out a frame price is the cost of the moulding and its width. Once it knows the rebate dimensions it can work how much moulding will be needed (2 * X + 2 * Y, + 8 * moulding width)

This was the principle that the first Wessex Pricing Program (WPP1) used.
The idea was resurrected in the Framers Pricing App. Here the App can work out a cost either by using an Id number from a csv file (for instance "PW112"), or a pricing code which contains the information needed.
How does the App distinguish between the two?
The price code always is always preceded by "#" (eg. #34G). The numbers represent the moulding cost, while the letter represents the width.
In practical terms, there is a utility in the App (and now in the desktop program) whereby you can enter the cost and the width of a moulding and it will issue a code that you can write on the moulding sample.
(App - go to "Settings" and tap "Get Moulding Code". WPP4 - go to "Tools" > "Get Moulding Code") It is now easy to give a price - put in the dimensions, look on the sample for the price code and enter that, together with glass, mount and sundries.
It is good practice to check the code each time you get an invoice for that moulding.

The sharp-witted amongst you will have spotted that the code does not identify an individual moulding, A moulding with the same cost and width will have the same code. So, if you are recording a job, you will need to be able to identify the particular moulding.
In WPP4 you can do this in the "Notes" section when saving the Job. With the App the world is your oyster! You could record the details in a duplicate-book or you could take a screen-shot of the price and a photo of the work and sample(s), being careful to marry up the two images (rename them in file manager), or a mixture of the two.
Also, the width part of the code (the letter) covers a number of Mm. and so is not quite precise. In practice the effect on the final cost is minimal.

So why go with this form of pricing when other more exact ways are available?
Simply because it is so straightforward and easy to understand. There are no databases to maintain, no csv files to wrestle with. The costing is slightly less exact (by pence not pounds), but if your margins are that tight then use a different system. 
Another reason to include these codes in WPP4 is to better integrate the program with the Pricing App. Already you can export a file of mouldings from the desktop program to the App, now you can go the other way and use the App's pricing codes in the main program.





Saturday, 14 April 2018

Major Upgrade for the Pricing App

A major new upgrade to The Framers Pricing App has been released.

The internal file structure has been completely rewritten which means that -

  • You can now have as many items in the Mount, Glass and Sundries lists as you like (previously only 5 items)
  • Each item can now have its own fixed cost (labour cost or cutting charge), rather than one cost to cover all items.
  • You can choose as many Sundry items to add to the overall cost as needed (previously only 1)
This makes the App far more versatile.





I've also brought the App upto date to comply with the new Google Play security requirements (coming into force later this year) and to work with the latest Android versions.

Sunday, 2 August 2009

We can work it out


So, just how does a pricing program come up with the final price?
Well, it uses an algorithm (a set of made-up rules) to produce the answer.
The old two-way table sheet (which some framers still use) is a very simple algorithm - add the horizontal and vertical dimensions together, then go down the appropriate column adding in the various components, add VAT to get the final total.
The algorithms for computer pricing are different for each program. Some are closely guarded secrets and are very complex, while others (such as the Wessex Pricing Programs) are open and easy to understand. Because computers can work out millions of calculations a second it is tempting to make the algorithm and its application complex, in my experience this just makes the program too cumbersome to use in the real world.

I have used basically the same core algorithm in each of the Wessex Programs. It has stood up to the test of time (I'm still in business after 24 years!) so I can see no reason to change it. It is simple because (a) the user can stay in control of the pricing and (b) if the program starts to produce unexpected prices it is relatively easy to work out what's going wrong.

The algorithm I use is this - a base cost is added to the variable cost.
There, I said it was simple didn't I?!!



To put some meat on that idea's bones, imagine a piece of glass (say 10" x 8", that is 80 sq. inches) you've decided that you won't cut any piece of glass for under £2.50, and that you're going to charge glass @ 1 pence/sq. inch. So, the sum is quite a simple one 250 + (80 x 1) = 330 pence. Mounts can be worked out in the same way, while the frame itself can be a base cost + perimeter x moulding cost.
Each component can be worked out in this way, added together with VAT etc., all in a fraction of a second and with no arithmetical errors.
With me so far?

Now, if you think about it, by varying the base cost against the variable cost you can make small frame expensive and large frames cheap (high base cost / low variable cost) or vice-versa (low base cost / high variable cost). Most framers of course, go for somewhere in the middle.

So, not only is this algorithm simple - it's surprisingly sophisticated. Most importantly, however, it means that you, the framer, control your pricing, not the program.