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).
Production strategy, cost, and sales plan for the 'GOSHAWK II' engine.
Identifier | ExFiles\Box 180\M1\1\ img001 | |
Date | 1st July 1921 | |
To Gd. from R.{Sir Henry Royce} Copy to OR. HS.{Lord Ernest Hives - Chair} BY.{R.W. Bailey - Chief Engineer} X4219. RE "GOSHAWK II", ETC. Messrs. Wormald and Hives brought the above here. They, and we, are very pleased, design well worth the delay. Feel sure sales and cost will be O.K. If any car firms can do well we shall make a living. I am still more pleased with our more recent work here and at Derby. WOR.{Arthur Wormald - General Works Manager} wants us to let some of the tools for production go into the Works. Personally, I am not stopping them. I took it that tools and 100 sets were to go ahead. We seem now bound to go ahead as quickly as possible, and as far as I am concerned it quite promises that the parts will be so satisfactory as to justify our venturing into production of tools and materials for 100 sets at least. Regarding cost, if we are not overwhelmed with charges, (which I now fear less) the cost will come out quite reasonable, especially when we remember the large percentage of the parts we shall be making from the very raw materials, i.e. castings (aluminium and iron) sand and die, drop forgings, sheetmetal stampings, etc. I think we must fix a price that will enable us to sell at least 20 per week, but I hope 40 will come so as to give the work a manufacturing run. We shall get a profit if we get a good turnover, unless D.{John DeLooze - Company Secretary} and WD.{Mr Wood/Mr Whitehead} frighten us into a dangerous position with their estimates of establishment charges and cost of materials. By making our own drop forgings, and using reliable mild steel, we can make many parts in mild steel instead of alloy steel. Suggestions for this move we are leaving to Derby. R.{Sir Henry Royce} | ||