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).
Car production strategy, costs, quality, and accessories.
| Identifier | WestWitteringFiles\V\March1931-September1931\ Scan065 | |
| Date | 19th March 1931 | |
| sc. FROM R.{Sir Henry Royce} (At Le CanadelHenry Royce's French residence.) C. to NOR. E.{Mr Elliott - Chief Engineer} D.{John DeLooze - Company Secretary} C. to BY.{R.W. Bailey - Chief Engineer} RS.{Sir Henry Royce's Secretary} WH. CAR WORK - COSTS. ALSO ACCESSORIES. ORIGINAL (1) Regarding the larger car we can only rely on making from 6 to 12 per week for the whole world market but it will be quite useless to think about the smaller in less than 24 for 50 wks. = 1200 per year. (2) It will be realised that we have a fine name for useful, lasting, refined cars, which are economical to own - depreciation, fuel and repairs. It would be waste to throw this away, which we can do by stopping the manufacture, by too high a price for the value, or by making common quality that people can get for lower prices than we need touch. (3) I fear that both Works and Sales are misunderstanding me. I have no thought whatever of a low quality job, but the best job the World knows, made equally well, at less cost, in higher quantities, and less establishment charges. We can easily get 25% without lowering the quality of designs, materials (best where needed only,) and accurate workmanship. Cheapening the design, but not at the expense of quality. Re-organise the whole Company - charge less and make more. (4) I think a good scheme will be to let the Works decide what they can make providing they have a design that will compare with anything we can find (which is good enough for us to buy), and we give numbers. (5) If they can make anything that will contribute reasonable charges, say 150%., then even if no profit it would pay. (6) We much prefer to make our own and keep out of the rut as well as avoid being squeezed, in case of a revival of trade or a general fall in prices. R.{Sir Henry Royce} | ||