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A Knowledge Formalization Approach for Manufacturing Cost Estimation

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Design Tools and Methods in Industrial Engineering (ADM 2019)

Abstract

Target pricing is a methodology to develop competitive products by determining the target price from market analyses. To guarantee the right profit margin, target cost is a direct consequence of target price. In this situation, the manufacturing cost estimation at the design phase becomes an essential task.

The paper presents a framework for collecting knowledge required for estimating manufacturing cost of components. The framework consists of: (i) a cost breakdown structure used for splitting manufacturing costs, (ii) a data model for collecting that knowledge required for defining manufacturing processes, (iii) a data model for the collecting that knowledge required for computing the manufacturing cost of each operation within a manufacturing process and (iv) a workflow for analytically estimating cost of components. The framework has been mainly conceived for managing components realized through forming and shaping processes. The result presented in this paper guarantee the following benefits: (i) knowledge elicitation on product manufacturing cost, (ii) knowledge sharing among design/engineering departments, and (iii) knowledge capitalization for decision-making process.

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Correspondence to Marco Mandolini .

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Appendix 1: Open-Die Forging Cost Model

Appendix 1: Open-Die Forging Cost Model

Material

Machine

Labour

Equipment

Consumable

Energy

Validity rules

N/A

Validity rules

Machine.Category = (“HydraulicPress” OR “Hammer”)

Machine.Tonnage > RequestedTonnage

Machine.Energy *

BlowNumbers > RequestedEnergy

Machine.MaxSizeX > Piece.Width

Machine.MaxSizeY > Piece.Width

Machine.MaxSizeZ > Billet.Lenght

Validity rules

Labour.Skill = “Hot Forging Operator

Validity rules

N/A

Validity rules

Solid

IF RawMaterial.Material = “Aluminium” THEN Consumable.Solid.Type = “Solids

ELSEIF RawMaterial.Material = “Steel” OR RawMaterial.Material = “StainlessSteel

THEN Consumable.Solid.Type = Graphite

Liquid

Consumable.Liquid.Type = NA

Gas

Consumable.Gas.Type = NA

Validity rules

Energy.Vector = “Electricity

Priority rules

N/A

Priority rules

Minimum hourly rate

Priority rules

N/A

Priority rules

N/A

Priority rules

N/A

Priority rules

N/A

Calculation rules

N/A

Calculation rules

Operation

ProcessTime = BlowNumbers/Machine.BlowRate

MachineProcessCost = ProcessTime * Machine.HourlyRate

Setup

SetupTime = Machine.SetupTime/Production.BatchQuantity

MachineSetupCost = SetupTime * Machine.HourlyRate

Idle

IdleTime = 0

MachineIdleCost = IdleTime * Machine.HourlyRate

Calculation rules

Operation

LabourProcessCost = ProcessTime * Labour.HourlyRate * OperatorsQuantity

Setup

LabourSetupCost = SetupTime * Labour.HourlyRate * OperatorsQuantity

Idle

LabourIdleCost = IdleTime * Labour.HourlyRate * OperatorsQuantity

Calculation rules

N/A

Calculation rules

Solid

Consumable.Quantity = Consumable. Hourly.Quantity* Operation.ProcessTime

Liquid N/A

Gas N/A

Calculation rules

Machine

EnergyCost.Machine = (Machine.Power * Machine.LoadFactor * Operation.ProcessTime) * Energy.UnitaryCost

Equipment

EnergyCost.Equipment = 0

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Mandolini, M., Favi, C., Campi, F., Raffaeli, R. (2020). A Knowledge Formalization Approach for Manufacturing Cost Estimation. In: Rizzi, C., Andrisano, A.O., Leali, F., Gherardini, F., Pini, F., Vergnano, A. (eds) Design Tools and Methods in Industrial Engineering. ADM 2019. Lecture Notes in Mechanical Engineering. Springer, Cham. https://doi.org/10.1007/978-3-030-31154-4_24

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  • DOI: https://doi.org/10.1007/978-3-030-31154-4_24

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  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-030-31153-7

  • Online ISBN: 978-3-030-31154-4

  • eBook Packages: EngineeringEngineering (R0)

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