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Introduction
Published in Michael Pecht, Handbook of Electronic Package Design, 2018
Michael D. Osterman, Michael Pecht
Design to cost establishes cost as an active parameter in the design process. Cost targets are established for the product and the designer must attempt to establish a viable design which meets the target goals. The ability to establish realistic goals and to meet deadlines is critical for successful designs. In this endeavor, cost trade-offs invariably occur and designers must have a clear understanding of how these various trade-offs are translated to the life cycle cost of the product. For example, production costs are a direct result of the selection of parts, materials, and manufacturing processes dictated by the designer and manufacturer based on requirements, constraints, contractual agreements, and personal preferences.
Fundamentals of Manufacturing and Engineering
Published in Jong S. Lim, Quality Management in Engineering, 2019
The engineering department typically thinks that they require a tighter tolerance of parts for better performance. However, specifying a tight tolerance is not necessarily an efficient answer because such parts are expensive and it is difficult to control the supplier's quality management. To design to cost is to consider cost as a design parameter starting from a product development stage. A robust design structure can assure reliable function and performance of a product through the normal manufacturing process without particular control of the parts or processes. Let's look at actual examples of design to cost by smart design engineering.
What Is Cost Engineering?
Published in Chris Domanski, Cost Engineering, 2020
Cost engineering is defined by Wikipedia as “the engineering practice devoted to the management of project cost, involving such activities as estimating, cost control, cost forecasting, investment appraisal, and risk analysis.” In simpler terms, cost engineering (sometimes called design to cost) is the practice of engineering a company’s products to meet pre-defined cost requirements. It is really an umbrella of various methodologies (see Figure 1.1) that are often confused for cost engineering itself, but really only address portions of it that have something to do with cost estimating, cost control, or cost optimization.
Industry 4.0 strategies and technological developments. An exploratory research from Italian manufacturing companies
Published in Production Planning & Control, 2020
Andrea Chiarini, Valeria Belvedere, Alberto Grando
Typically, design-to-cost is based on Design For Manufacturing and For Assembly techniques, which aim to identify the right design characteristics at the earliest possible stages of the new product development process (Boothroyd 1994; Selvaraj, Radhakrishnan, and Adithan 2009; Boothroyd, Dewhurst, and Knight 2010; Eastman 2012; Molloy, Warman, and Tilley 2012). In this way, unnecessary costs, usually incurred at later stages, can be avoided. A further contribution in this direction is now given by 3D printers, which can be used to both speed up the prototyping process and the manufacturing of fully-customised items, the production of which can be easily carried out through additive manufacturing solutions that do not require any changeover or mould (Dalenogare et al. 2018; Weller, Kleer, and Piller 2015; Lipson and Kurman 2013).
A lean construction and BIM interaction model for the construction industry
Published in Production Planning & Control, 2021
Hasan Gokberk Bayhan, Sevilay Demirkesen, Chengyi Zhang, Algan Tezel
The complexity of construction projects is steadily increasing, whereas the average productivity is not improving at the same pace when compared to other industries. Today, diversity and customer demand are at the focal point for businesses, and the traditional structure of the construction industry is lagging. The Cobb-Douglas production function reveals that the construction industry presents diseconomies of scale; therefore, the productivity becomes even more critical—a 1% increase in the yearly nominal productivity could result in savings up to $100 billion in the construction industry worldwide (Mano, da Costa, and de Lima 2019) and helps the production function curve withdraw to economies of scale. Moreover, 57% of the time is wasted in the construction industry, where this ratio is only 12% in the manufacturing industry (Aziz and Hafez 2013). The total cost comparison of the built environment stages indexed to 1$ would be; design (1$), construction (10$), operation and maintenance in 20 years (30–50$), and client’s operational costs (salaries, etc.) (400–2000$) (Dave et al. 2013). From this life-cycle point-of-view, creating value and improving business productivity significantly outweigh design-related cost concerns, where design and organizational structure are the key components for overall cost reduction. Design changes, lack of information exchange, poor decision-making, and communication are the major causes of waste in the design phase (Mollasalehi et al. 2016; Olanrewaju and Ogunmakinde 2020). Also, the traditional nature of labour-intensive production creates coordination issues and competition between teams preventing a sustainable communication atmosphere (Andújar-Montoya et al. 2015). This causes delays in information flows to stakeholders generating bottlenecks and up to 30% rework (Alshawi and Ingirige 2003; Love and Edwards 2004; Andújar-Montoya et al. 2020). Gao and Low (2014) mention that unevenness in workload stems from irregular production schedules or fluctuations in production volumes mainly caused by internal problems, such as downtime or missing parts. This is mainly caused by workers or machines working with low capacity. To deal with this, adopting Lean principles might become a potential remedy. BIM supported Lean implementations are even more effective towards coming up with better production schedules.