cost of production

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Thread: cost of production

  1. #41
    Join Date
    Aug 2007
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    Quote Originally Posted by mudNmallards View Post
    Let me address some of your points. I work mainly in oil/gas, power, mining/minerals and machining/manufacturing and have been on brown/remote sites all over the world for the last 10 years. I not only see whats there every working day of my life but I normally do the procurement of them. (I’m at the approving level) Everything has to have a cost and value justification. Its easy to justify the Argos ( don’t know why but they seem to be the predominant brand overseas) in cases where vehicles have to go in mine leech fields or in ungraded areas where there is more moon dust than developed roads and even in snow. The track and multi wheel drive capability sells them for those applications. That said there are maybe 1 AATV to every 30 quads or trucks. (I’m including gators and mules in the quad category) I’ve heard the same answer so many times I quit putting in the requests. The mules are cheaper so for maintenance to throw tools in and scoot to the job and the cost of them is right at the same price I get the Toyota Hilux ( not sold in the US) which is a 4wd pick up for so I’m told to buy the truck. The prices are so close to the full truck that they get passed over. All you have to do to prove my point is to visit any remote site and count the number/type of ATV’s that are there.

    A company can survive in a niche market but it will never make much money.

    On your point regarding improvements- I do not doubt for a skinny second that you have 100 intelligent workable improvement ideas and if we polled this board we could fine a hundred thousand all equally workable and doable. Based on the technical posts I am reading there is no doubt whatsoever in my mind of that- if this board is nothing else, it’s a wealth of knowledge and experience. That’s not going to expand a market and sell more units. (ok, maybe by a few single digits) The reason its not is because these vehicles have been in the market for 40 odd years and they have been improved over the generations. They have a name and recognition. They have their niche and are well entrenched in it. Yet compared to the quad market ( the Hondas, Kaws, Yams, Polaris etc) they are so small to the point they are statistically insignificant. If you want to falsify my observation ( which is the textbook way to prove anything) ask the question why every major ATV manufacturer does not have an AATV on their production line. They don’t because their market surveys tell them the money isn’t there. What these AATVs do NOT have is the versatility to make them desirable to a large enough market base to make good amounts of money for the investors. The only way to enlarge that small niche market is to have something that something else doesn’t have or to be versatile over multiple markets. Does anyone really think the Hondas and kawasakis of the world have not seen and investigated these ideas? Why does anyone think the Mule became Kaws main utility vehicle instead of an AATV. They did surveys and market analyses and gave the market what it WANTED. That’s why I say that “improving” the current performance of already proven machines wont expand the market because if the mass market doesn’t buy it at 30mph and will go through a mud bog that’s knee deep- it wont be impressed if it goes 40 mph and goes through waist deep mud either. You have to sell functionality in areas people want or need.

    On your point of the separation of the ATV,UTV and AATV markets, that’s an excellent discussion point I would like to tap further into your knowledge in. From my perspective I don’t see that as something that cannot be overcome. There will always be the “specialists’ who desire a certain quality such as speed, water flotation or whatever and that’s their sole decision criteria. That will never change but once again, they are the minority. The majority are going to employ the 80-20 rule.

    My personal thought would be to take a page out of Jeep. They mainline the Wrangler ( which is a car that just looks like a jeep) but offer the Rubicon which is as close to the original CJ’s as you can get. I would have the more versatile “do whatever” vehicle for the masses to make my profit ( which would probably be more along the lines of a tractor wearing an AATV coat which is fine because the yuppies would never get further in the mud than plowing their garden after a rain but they “think” they accomplished something) and make a specialty model or two that’s a real performance enhanced AATV that would climb a 90 degree wall, pull skiers and hit 70 on the flat track.

    Make no mistake, I’m as hard core mudder and rock crawler as there is and I respect these vehicles as they are currently on the market but now that I and my team are considering actually producing one I have to be realistic to what the market will allow.
    just a couple of my ideas ......... I think I have a way to eliminate the chain drives that could be made into a brand new designed vehicle or able to retro fit on existing machines as a kit.....and was thinking for the hydro units a person could have an amphib trailer that's also hydro powered just plug it into the back of your machine think there could be some uses for something like that.

  2. #42
    Quote Originally Posted by Bw6 View Post
    Well Mudnmall, you may just win the longest post award! Like a friend of mine used to say: "I wouldn't want to pay you by the word".

    However, you make some good points and seem like you've really dug deep on this project.

    My take, is when you take a single purpose machine and try and make it multi-purpose or function, it's always a compromise. It ends up doing nothing really well. Argo is always trying to re-invent itself. When UTV's took some of their market share they called their 8x8 an UTV, when compact tractors became popular they called it a Tractor, and show videos of it pulling various farm implements etc., however just saying it doesn't make it so.

    By building on the 4x4 platform your starting with a product that has $1,000,000's in R&D spent on it, why not cash in on this. An ATV platform has many advantages, but it doesn't float.

    I believe a new market needs to be created for an Amphibious ATV, not an AATV, but a 4x4 that is amphibious.

    I'm old enough to remember when motorcycles had a bad rep., black leather jackets, MC gangs, colors, etc. Then Honda came out with "You meet some of the nicest people on a Honda" just brilliant! It changed the industry starting with small scooters, trail 90's, etc. A similar approach is needed.

    Bombardier created a market where one never existed before. In the late 60's they were the first to produce a PWC, the "Seadoo". When I first saw it I said "What's That"! They didn't know how to market it, and after a couple of years they left it. However in the early 70's Kawasaki came up with the Stand Up, and the rest is history, everyone makes one now.
    I’m sorry everything I write looks like a white paper. ( it goes to show I do a lot of process and procedure writing, LOL) I’ll make an effort to be much shorter but its often hard to get points and the mindset across on paper when the person is not in front of you. Clients also like long boring monologues that show them how much edjumication I has and they are getting value for their money.

    I’m digging deep because engineering is what I do and if the industrial/military project comes to fruition then theres a lot of money on the table. The idea to drill it down for a recreational vehicle was mine and since 90% of it is going to be paid for on that project- it made sense to me to come here and pick peoples brains who have the vast experience to fill in the voids on the “private” project that we are kicking around as an offshoot. I’m smart enough to know what I don’t know and have enough common sense to seek out those who do and ask them.

    I’m motivated and deeply involved because I see a very real doable opportunity with a substantial return on investment and that gets my full and undivided attention every time.
    I take your posts to heart because I see where you have put substantial thought and probably experience into this as well. ( your words exude experience and keen insight from somewhere- it shows in the points you raise)

    I’m kinda on the fence on the new market and your definition on the single purpose vehicle aspect. I view the AATV as a multi purpose vehicle by design. My boat would be a single purpose vehicle by my thought. ( I would have a hard time taking it 4 wheeling) By its design an AATV goes in water, land and mud. I really think that adding additional capabilities would be more of an “enhancement”.

    I can see it immediately being a difficult sell because people are programmed for traditional views. That’s going to take some really good marketing professionals but if Michael Vick was able to recreate his image, I think its possible. The ‘what” and “how” is where I’m at now.

    I see your points on the 4x4 and I agree amphibious is probably the key as well. I think to make a potential new AATV marketable in the water world- its capabilities need to be greatly enhanced.

    I’m a long way right now from getting a PO and actually getting in the designing mode but when I do I’ll have a better idea regarding what it technically and monetarily feasible for this type of market. Until then I’m brainstorming and considering every thought presented so I would appreciate any insight you or anyone else might offer.

  3. #43
    Quote Originally Posted by azz7772 View Post
    just a couple of my ideas ......... I think I have a way to eliminate the chain drives that could be made into a brand new designed vehicle or able to retro fit on existing machines as a kit.....and was thinking for the hydro units a person could have an amphib trailer that's also hydro powered just plug it into the back of your machine think there could be some uses for something like that.
    Apparently we are thinking along the same lines. I’m a hydraulics designer (started at Cat on that specialty) and Eaton is one of my major vendors and I spec out their stuff all the time. My first thought is that I wouldn’t use anything but hydraulic motors on each wheel. I know I could make one go 100mph and enough torque to pull a house off of the foundation.

    I have never laid eyes or hands on that Hydrotraxx (I think that’s the hydraulic one) that I know of but I have to wonder why that design is not the unchallenged leader in performance. I could put multiple accessory loops on it and power just about anything from the same pump. I’ve searched the web for any type of technical info on those models and so far have not gotten much. If the project gets approved I imagine one of the team will buy one just to examine it. I cant say much more right now because I have not seen the motors and pumps along with their control circuit they are using. Just based on the comments on the thread devoted to them I wonder if that unit is not substantially under-engineered. Maybe they had to power it down because it might have more available power than the body and frame in their units could handle. I don’t know but I really intend to investigate the hydrostatic units on the market because that would be my first choice on speed, power, torque, overall weight and simplicity/reliability.

  4. #44
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    Sep 2007
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    Quote Originally Posted by azz7772 View Post
    That is exactly the problem making a good product affordable
    I didn't say it was easy. But if you really look at Mr. Gibbs design(s), they are quite elegant, and he can line his corporate office walls with the associated patents. But it really is more of a PWC than an ATV. If I took that unprotected Quadski hull on some of the trails I go on, it wouldn't be amphibious very long. I also would have to carry a large chainsaw with me because its dimensions would severely limit it. Having said that if it ever goes into production, there are people who will buy it.

    But that's not the design I was thinking of.

  5. #45
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    Quote Originally Posted by mudNmallards View Post
    Just FYI, in my case ( on the actual project) all I have been given thus far is an advance sheet with desired properties so thats not a whole lot to go on ( the actual marketing survey is just now beginning by the firm that contacted me so they have not even hashed out all the final qualities yet so I'm told so I cant really plan against a "dream" at this point)

    That said, the gist of what I'm reading is that the intent of these machines is not just human conveyance over whatever terrain ( over here there are zillions of gators,mules and 4 wheelers that do that just fine and they can buy 2 or 3 of them for the price of some of the AATV models) The actual end purpose seems to be a new breed of industrial multi purpose machines with enhanced capabilities that can be readily adapted to specific "fit for purpose" uses. (seriously, one item on the dream sheet is an attachable outrigger and jib crane attachment in the body for field lifting)
    There is a guy on Youtube that outfitted a terra Jet with a medium duty hydraulic bucket attachment. He then went on to build his own scratch version. A Max or Argo would need a decent frame to handle the stress of such off center weight transfer.
    Adapt and Overcome! -USMC

    The more I learn, the less I know!

    Efficiency and Capability are my 2 favorite words....
    then comes Weekend and Friends as the runner ups!

    Leverage is your friend.


  6. #46
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    Quote Originally Posted by mudNmallards View Post
    Apparently we are thinking along the same lines. I’m a hydraulics designer (started at Cat on that specialty) and Eaton is one of my major vendors and I spec out their stuff all the time. My first thought is that I wouldn’t use anything but hydraulic motors on each wheel. I know I could make one go 100mph and enough torque to pull a house off of the foundation.



    I have never laid eyes or hands on that Hydrotraxx (I think that’s the hydraulic one) that I know of but I have to wonder why that design is not the unchallenged leader in performance. I could put multiple accessory loops on it and power just about anything from the same pump. I’ve searched the web for any type of technical info on those models and so far have not gotten much. If the project gets approved I imagine one of the team will buy one just to examine it. I cant say much more right now because I have not seen the motors and pumps along with their control circuit they are using. Just based on the comments on the thread devoted to them I wonder if that unit is not substantially under-engineered. Maybe they had to power it down because it might have more available power than the body and frame in their units could handle. I don’t know but I really intend to investigate the hydrostatic units on the market because that would be my first choice on speed, power, torque, overall weight and simplicity/reliability.

    I like your thinking but at 2500 per drive motor that's 15000 for a 6x6 and 20000 for a 8x8 before anything else to be cost effective you need to only use one per side and also get rid of the chains everyone hates chains.

  7. #47
    Quote Originally Posted by azz7772 View Post
    I like your thinking but at 2500 per drive motor that's 15000 for a 6x6 and 20000 for a 8x8 before anything else to be cost effective you need to only use one per side and also get rid of the chains everyone hates chains.
    I dont know where you got those figures but with Eaton their top end charlyn line motors come in at about $400-600 each and the pump is about 1,500 that would power all of them.

  8. #48
    another major cost is legal fees,to protect the company, one fatality and lawsuit is why cushman dropped the trackster. PS the nick name kaddookid actually came from the 70's when I terrorized the neiborhood with my kadoo most did'nt actually know my name I was known as that damn kid with the kadoo, and the name just kinda stuck. Mike.

  9. #49
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    Quote Originally Posted by mudNmallards View Post
    I dont know where you got those figures but with Eaton their top end charlyn line motors come in at about $400-600 each and the pump is about 1,500 that would power all of them.
    what size motors you talking about and do you not need two pumps my predator has Eaton char-Lynn 4000 series hydraulic motors and Eaton manually controlled variable piston pumps I got my prices off the net if you can get them for that price that is awsome .......... I just relooked and they are around 700.00
    Last edited by azz7772; 03-26-2012 at 11:44 PM.

  10. #50
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    Columbus, IN 47201
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    Hydrotraxx and Mud Ox have hydrostatic drives from what I've gathered.

    When I first got my Max II I was thinking of using hydrostat motors (1 per side) to get the same turning/steering capabilities as my zero turn mower. Adding it in place of the jackshaft then chains or cog belts to the wheels. For suspension you could mount the motors inside backspaced wheels, run the hoses up inside with a protective loom, and the spindles would be mounted like trailer torsion axles into the frame.

    As for the body- kevlar reinforced fiberglass or stamped steel, maybe even the high density hard plastic like a truck box material. The frame- dom tubing.

    Just thinking out loud.
    Adapt and Overcome! -USMC

    The more I learn, the less I know!

    Efficiency and Capability are my 2 favorite words....
    then comes Weekend and Friends as the runner ups!

    Leverage is your friend.


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