Cycle time of the unit operation tc is t c t o t h t

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Cycle time of the unit operation, Tc is T c = T o + T h + T t (min/pc) T o = actual processing time (min/pc), T h = work handling time (min/pc), T t =tool handling time (min/pc).
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Manufacturing Economics Production cycle time analysis Time to produce a batch of parts (T b , min/batch ) in a unit operation consists of time to set up for the batch (T su , min/batch) & actual run time. T b = T su + QT c (min/batch) Q = batch quantity, number of pieces (pc) Average production time per piece: T p = (T su /Q) + T c = T b /Q (min/pc) Note: in mass production, Q ~ very large, T p = T c
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Manufacturing Economics Production cycle time analysis Actual average hourly production rate is: R p = 60/T p (pc/hr) During production run (after machine is set up), the production rate is given by R c (called also cycle rate): Rc = 60/T c (pc/hr) or (cycles/hr) Note: cycle rate (R c ) will always be larger than actual production rate (R p ), unless set up time = 0
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Manufacturing Economics Manufacturing cost models Cost model for production cost per piece is: C pc = C m + (C L + C eq )T p + C t ($/pc) C pc = cost per piece ($/pc), C m = starting material cost ($/pc), C L = labor cost rate ($/min), C eq = equipment cost rate ($/min), C t = tooling cost ($/pc).
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Manufacturing Economics Manufacturing cost models Overhead costs are composed of factory overhead + corporate overhead. Factory overhead excludes materials, labor & equipment. It includes: plant supervision, maintenance, insurance, heat & light, etc… Corporate overhead includes: sales, marketing, accounting, legal, engineering, research & development, office space, utilities, health benefits. Manufacturing costs constitute only 40% of the product’s selling price.
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Typical Cost Breakdown for a Manufactured Product Typical Break-down of costs for a manufactured product [J Black]
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Manufacturing Economics Manufacturing cost models Overhead costs can become quite complicated. Simple approach in the book is to include overhead cost in the labor and equipment cost rates. Labor cost rate, C L is: C L = (R h /60) (1 + R Loh ) ($/min) Where R h = worker’s hourly wage rate ($/hr), and R Loh = labor overhead rate (%)
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Manufacturing Economics Manufacturing cost models Equipment cost rate, Ceq is: C L = (IC/60NH) (1 + R oh ) ($/min) Where IC = initial cost of equipment ($), N = anticipated number of years of service, H = annual number of hours of operation (hr/yr), R oh = applicable overhead rate for the equipment (%)
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Microfabrication and Nanotechnology Microfabrication Processes that make parts and products whose feature sizes are in the micron range (10 -6 m) Examples: Ink-jet printing heads, compact disks, microsensors used in automobiles Nanotechnology Materials and products whose feature sizes are in the nanometer range (10 -9 m) Examples: Coatings for catalytic converters, flat screen TV monitors
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  • Spring '13
  • Al-Garni
  •  Manufacturing, MANUFACTURING INDUSTRIES, assembly operations, material removal processes, production cycle time

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