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From the Rolls-Royce experimental archive: a quarter of a million communications from Rolls-Royce, 1906 to 1960's. Documents from the Sir Henry Royce Memorial Foundation (SHRMF).
Cost-effectiveness of manufacturing dynamos versus purchasing them from external firms.

Identifier  ExFiles\Box 50\1\  Scan048
Date  27th April 1921
  
To EFC. From R.{Sir Henry Royce}
c. to CJ.
c. to Wor.{Arthur Wormald - General Works Manager}

X4089

RB{R. Bowen}/G27.4.21.

X.294 - RE DYNAMOS. X.1699. X.4289.

With reference to your report on the dynamo situation, one little point will want clearing up and that is, if it is necessary for our dynamo to cost twice the money that we can purchase for, we had better give up all idea of having an electrical department.

I am hoping, however, that Mr. Wormald will see that when the processes of manufacture are made as simple as those of the competitors, that our price for making ourselves a dynamo will be at least as low as we can purchase it.

It will be remembered, however, that many of these electrical accessory firms are not making profits under the present conditions of manufacture, and therefore may be quoting below the present actual costs with the hope that in future they will be able to effect economies.

R.{Sir Henry Royce}
  
  


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