Machining: Beyond The Craft

"16,000 Quotes Weekly—All Automated, No Staff Needed!" — Next-Gen Online Sheet Metal Shop

Const Ivanov Episode 5

In this insightful discussion, Caleb Chamberlain, founder of OSHCut, shares the journey and strategies behind one of the first online sheet metal shops. Caleb describes the origin story of OSHCut, which started due to the frustration of accessing custom sheet metal parts quickly and affordably. The conversation delves into the company’s decision to build their own software, the challenges of automating complex workflows, and the philosophy of focusing on what they do best—high-mix, low-volume production at scale.

Caleb explains how OSHCut manages to be lean and highly efficient through automation, eliminating the need for quoting staff and relying on a self-serve system that handles 16,000 part numbers per week. The discussion also explores the competitive landscape, strategies for customer acquisition, and the advantages of being bootstrapped compared to venture-backed competitors. Caleb emphasizes the importance of vertical specialization and the potential impact of service centers automating downstream processes in the future.

Chapters

00:00 The Birth of OSHCut: A New Era in Sheet Metal
02:27 Building Software: The Decision to Develop In-House
05:00 Niche Focus: Competing in the Sheet Metal Market
07:45 Marketing Strategies: Reaching Ideal Customers
10:21 Automation in Quoting: The Key to Scalability
12:44 Hardware Automation: The Future of Manufacturing?
15:13 Automated Purchasing: Streamlining Material Management
17:47 Payment Methods: Adapting to Customer Preferences
20:19 Simplifying Payments and Customer Experience
20:58 The Engineer's Perspective on Iteration
22:22 The Need for Integrated Manufacturing Solutions
23:14 Vertical Integration in Manufacturing
27:29 The Future of Service Centers and Marketplaces
36:01 The Next Generation of Manufacturing Shops