About production cost of machined part
Hello Everyone,
I'm Vivek from India, owned a manufacturing shop. I don't have much experience of running machine shop.
Previously I'm working as a design engineer.
I've few doubts in mind. Let's say I have one RFQ of CNC machining for a single quantity, it is easy task for me to calculate for single or couple of quantity by considering standard factors such as cycle time, labor wages etc.
But If I want to quote for multiple quantity, let's say for 2, 5, 10, 100, 500 and 1000 Nos of the same part, then I misjudge quote every time and ends up in loss side or won't get to convert quotation to order lead.
I want to make this quotation process standard, like I can set percentage at which the cost will reduce once the required quantities increased. For Eg, cost for one part is 1000 Rs. Now, for 50 part around 30 percent of 1000 Rs, hence cost will be 15000 rs for 50 Qty as per 300 Rs for single qty. , like that. ( I read this from one unknown site from US, conversion is actually in US Dollars)
I want to ask you all that is there any standard by which I can predict the cost for above mention quantities. From multiple quotation, I came to know that every time the value per piece decreases w r to some standard percentage. (Please try to answer this question w r to INR (Rs), because there is lots of different factors required to consider in other currencies)
Please answer by doubts, it will be very helpful for me and readers who has same problem as mine.
1 Answer
Unless you are CNC machining or turning similar simple parts with the same type of material, in a machine shop environment it is hard to find a "standard percentage" to calculate prices for larger quantities. A lot of factors have to be put into consideration, CNC equipment performance, type of cutting tools, material type, part accuracy/precision, and surface finish, applying the proper feeds and speeds for best cutting tool performance and lasting, holding fixture design, calculating the number of parts per cycle, applying secondary operations while CNC running... and the most important of all, spend time planning how you would machine and hold one part comparing to hundreds or thousands. And to add a little more to the machine shop challenges, It is important an on-time delivery and no rejects, clients will always come back and willing to pay a little more. With all of the above said, in most cases, you can generalize quotations if you have past experience. Post any additional questions I will be glad to reply the best way I can.
