MATERIAL QUANTITIES

Component Volume (mm^3) Volume (m^3)

Spurs (X2) 38259.4 3.82594E-05
Base 104082 0.000104082
Lid 169264 0.000169264
Total 0.0003116054

MATERIAL COST OF 1000 GEARBOXES

Material Unit Cost ($) Quantity
Aluminium 42000 per m^3 0.0003116054
Silicon Sealer 55 per lt 2.061
Fasteners (Bolts, nuts, washers) 0.05 per set 14
Bearings with seal 22.95 per set 4

TOTAL COST OF 1000 GEARBOX

19129.7 38259.4
XES
Cost (1 gearbox) Cost (1000 gearbox)
13.0874268 13087.4268
113.355 113355
0.7 700
91.8 91800

AL COST OF 1000 GEARBOXES 218942.4268

Machine cost 75000

TOTAL MACHINING TIME CALCULATIONS

Component Machining Time (sec)
Both Gears 138
Base 347
Lid 206
Pallet changing
Total machining time 1 gearbox (min)
Total machining time 1000 gearbox (min)
Total machining time 1000 gearbox (weeks)

TOTAL DIRECT COSTS

Component Unit Cost per hour
Machining 120
Operator 130
Unskilled Labour (Assembly) 30
Total direct cost to make 1 gearbox ($)
Total direct cost to make 1000 gearboxes ($)

OVERHEADS
Weeks to make 1000 gearboxes 7
Component Unit Cost per week
Infrastructure Costs 7500
Admin Costs 6500
Utilities 500
TOTAL OVERHEADS FOR 1000 GEARBOXES ($)

CALCULATION OF TOTAL COST TO MAKE 1000 GEARBOXES

Gearbox Cost 218942
Incentive 100000
TOTAL COST FOR 1000 GB 358928.111111111

OVERTIME (2H)
Component
Total Required hours 241.9444444444
New Work week 47.5
Required number of weeks 5.0935672515
Number of days (rounded up) 25.4678362573
Number of Weeks 5.0935672515
Number of overtime hours 50.9356725146
Normal Time Costs Unit Cost per hour
Machining 120
Operator 130
Unskilled Labour (Assembly) 30
Total

Overtime Costs Unit Cost per hour

Machining 120
Operator 195
Total

Number of weeks (rounded up) 6

Component Unit Cost per week
Infrastructure Costs 7500
Admin Costs 6500
Utilities 500
Total

CALCULATION OF TOTAL COST TO MAKE 1000 GEARBOXES WITH 2H OVERTIME

Gearbox Cost 218942
Incentive 100000
Total Cost 1000 GB (2h overtime) 347738.929824561

OVERTIME (4H)
Component
Total Required hours 241.9444444444
New Work week 57.5
Required number of weeks 4.2077294686
Number of days (rounded up) 21.038647343
Number of Weeks 4.2077294686
Number of overtime hours 42.077294686

Normal Time Costs Unit Cost per hour

Machining 120
Operator 130
Unskilled Labour (Assembly) 30
Total

Overtime Costs Unit Cost per hour

Machining 120
Operator 214.5
Total

Number of weeks (rounded up) 5

Component Unit Cost per week
Infrastructure Costs 7500
Admin Costs 6500
Utilities 500
Total

CALCULATION OF TOTAL COST TO MAKE 1000 GEARBOXES WITH 4H OVERTIME

Gearbox Cost 218942
Incentive 100000
Total Cost 1000 GB (4h overtime) 337464.31884058
 NS
Machining Time (min)
2.3
5.7833333333
3.4333333333
3
14.5166666667 minutes
14516.6666666667 minutes
6.4518518519 weeks

OSTS
Time (hours) Total Cost ($)
0.2419444444 29.0333333333
0.2419444444 31.4527777778
0.1 3
cost to make 1 gearbox ($) 63.4861111111
st to make 1000 gearboxes ($) 63486.1111111111

Cost ($)
52500
45500
3500
101500

H)

hours
hours
weeks
days
week
hours
 Time (hours) Total Cost ($)
191.0087719298 22921.0526315789
191.0087719298 24831.1403508772
100 3000
50752.1929824561

Time (hours) Total Cost ($)

50.9356725146 6112.2807017544
50.9356725146 9932.4561403509
101.8713450292 16044.7368421053

Cost($)
45000
39000
3000
87000

H)

hours
hours
weeks
days
week
hours

Time (hours) Total Cost ($)

157.7898550725 18934.7826086957
157.7898550725 20512.6811594203 `
100 3000
42447.4637681159

Time (hours) Total Cost ($)

42.077294686 5049.2753623189
42.077294686 9025.5797101449
84.154589372 14074.8550724638
Cost($)
45000
39000
3000
87000
Machine Cost 50,000

TOTAL MACHINING TIME CALCULATIONS

Component Machining Time (min)
Gears (2 for 1 gear) 702
Base 1643
Lid 991
Pallet changing
Total machining time 1 gearbox (min)
Total machining time 1000 gearbox (min)
Total machining time 1000 gearbox (weeks)

TOTAL LABOUR COSTS (direct)

Component Unit Cost per hour
Machining 75
Operator 85
Unskilled Labour (Assembly) 30
Total labour cost to make 1 gearbox ($)
Total labour cost to make 1000 gearboxes ($)

OVERHEADS
Weeks to make 1000 gearboxes 43
Component Unit Cost per week
Infrastructure Costs 7500
Admin Costs 6500
Utilities 500
Total overheads for 1000 gearboxes ($)

CALCULATION OF TOTAL COST TO MAKE 1000 GEARBOXES

Gearbox Cost 218942
Incentive 100000
TOTAL COST FOR 1000 GB 1050375.33333333

OVERTIME (2H)
Component
Total Required hours 1593.3333333333
New Work week 47.5
Required number of weeks 33.5438596491
Number of days (rounded up) 167.7192982456
Number of Weeks 33.5438596491
Number of overtime hours 335.4385964912
Normal Time Costs Unit Cost per hour
Machining 75
Operator 85
Unskilled Labour (Assembly) 30
Total

Overtime Costs Unit Cost per hour

Machining 75
Operator 127.5
Total

Number of weeks (rounded up) 34

Component Unit Cost per week
Infrastructure Costs 7500
Admin Costs 6500
Utilities 500
Total

CALCULATION OF TOTAL COST TO MAKE 1000 GEARBOXES WITH 2H OVERTIME

Gearbox Cost 218942
Incentive 100000
Total Cost 1000 GB (2h overtime) 934,131

OVERTIME (4H)
Component
Total Required hours 1593.3333333333
New Work week 57.5
Required number of weeks 27.7101449275
Number of days (rounded up) 138.5507246377
Number of Weeks 27.7101449275
Number of overtime hours 277.1014492754

Normal Time Costs Unit Cost per hour

Machining 75
Operator 85
Unskilled Labour (Assembly) 30
Total

Overtime Costs Unit Cost per hour

Machining 75
Operator 140.25
Total
Number of weeks (rounded up) 28
Component Unit Cost per week
Infrastructure Costs 7500
Admin Costs 6500
Utilities 500
Total

CALCULATION OF TOTAL COST TO MAKE 1000 GEARBOXES WITH 4H OVERTIME

Gearbox Cost 218942
Incentive 100000
Total Cost 1000 GB (4h overtime) 890,849
ULATIONS
Machining Time (min)
11.7
27.3833333333
16.5166666667
40
95.6 minutes
95600 minutes
42.4888888889 weeks

OSTS (direct)
Time (hours) Total Cost ($)
1.5933333333 119.5
1.5933333333 135.433333333
0.1 3
make 1 gearbox ($) 257.933333333
r cost to make 1000 gearboxes ($) 257933.333333

Cost ($)
322500
279500
21500
623500

(2H)

hours
hours
weeks
days
week
hours
 Time (hours) Total Cost ($)
1257.8947368421 94342.1052632
1257.8947368421 106921.052632
100 3000
204263.157895

Time (hours) Total Cost ($)

335.4385964912 25157.8947368
335.4385964912 42768.4210526
670.8771929825 67926.3157895

Cost($)
255000
221000
17000
493000

2H OVERTIME

(4H)

hours
hours
weeks
days
week
hours

Time (hours) Total Cost ($)

1039.1304347826 77934.7826087
1039.1304347826 88326.0869565
100 3000
169260.869565

Time (hours) Total Cost ($)

277.1014492754 20782.6086957
277.1014492754 38863.4782609
554.2028985507 59646.0869565
 Cost($)
255000
221000
17000
493000

4H OVERTIME
Machine Cost 355,000

TOTAL MACHINING TIME CALCULATIONS

Component Machining Time (sec)
Gears (2 for 1 gear) 82
Base 205
Lid 132
Pallet changing
Total machining time 1 gearbox (min)
Total machining time 1000 gearbox (min)
Total machining time 1000 gearbox (weeks)

TOTAL LABOUR COSTS (direct)

Component Unit Cost per hour
Machining 185
Operator 155
Unskilled Labour (Assembly) 30
Totals
Total labour cost to make 1000 gearboxes ($)

OVERHEADS
Weeks to make 1000 gearboxes 4
Component Unit Cost per week
Infrastructure Costs 7500
Admin Costs 6500
Utilities 500
Total overheads for 1000 gearboxes ($)

CALCULATION OF TOTAL COST TO MAKE 1000 GEARBOXES

Gearbox Cost 218942
Incentive 100000
TOTAL COST FOR 1000 GB 585564.222222222

OVERTIME (2H)
Component
Total Required hours 148.8888888889
New Work week 47.5
Required number of weeks 3.134502924
Number of days (rounded up) 15.6725146199
Number of Weeks 3.134502924
Number of overtime hours 31.3450292398
Normal Time Costs Unit Cost per hour
Machining 185
Operator 155
Unskilled Labour (Assembly) 30
Total

Overtime Costs Unit Cost per hour

Machining 185
Operator 232.5
Total

Number of weeks (rounded up) 4

Component Unit Cost per week
Infrastructure Costs 7500
Admin Costs 6500
Utilities 500
Total

CALCULATION OF TOTAL COST TO MAKE 1000 GEARBOXES WITH 2H OVERTIME

Gearbox Cost 218942
Incentive 100000
Total Cost 1000 GB (2h overtime) 587,993

OVERTIME (4H)
Component
Total Required hours 148.8888888889
New Work week 57.5
Required number of weeks 2.5893719807
Number of days (rounded up) 12.9468599034
Number of Weeks 2.5893719807
Number of overtime hours 25.8937198068

Normal Time Costs Unit Cost per hour

Machining 185
Operator 155
Unskilled Labour (Assembly) 30
Total

Overtime Costs Unit Cost per hour

Machining 185
Operator 255.75
Total

Number of weeks (rounded up) 3

Component Unit Cost per week
Infrastructure Costs 7500
Admin Costs 6500
Utilities 500
Total

CALCULATION OF TOTAL COST TO MAKE 1000 GEARBOXES WITH 4H OVERTIME

Gearbox Cost 218942
Incentive 100000
Total Cost 1000 GB (4h overtime) 579,369
ATIONS
Machining Time (min)
1.3666666667
3.4166666667
2.2
1.95
8.9333333333 minutes 38.6194
8933.3333333333 minutes
3.9703703704 weeks

STS (direct)
Time (hours) Total Cost ($)
0.1488888889 27.5444444444
0.1488888889 23.0777777778
0.1 3
0.3977777778 53.6222222222
cost to make 1000 gearboxes ($) 53622.2222222222

Cost ($)
30000
26000
2000
58000

(2H)

hours
hours
weeks
days
week
hours
 Time (hours) Total Cost ($)
117.5438596491 21745.6140350877
117.5438596491 18219.298245614
100 3000
42964.9122807018

Time (hours) Total Cost ($)

31.3450292398 5798.8304093567
31.3450292398 7287.7192982456
62.6900584795 13086.5497076023

Cost($)
30000
26000
2000
58000

2H OVERTIME

(4H)

hours
hours
weeks
days
week
hours

Time (hours) Total Cost ($)

97.1014492754 17963.768115942
97.1014492754 15050.7246376812
100 3000
36014.4927536232

Time (hours) Total Cost ($)

25.8937198068 4790.3381642512
25.8937198068 6622.3188405797
51.7874396135 11412.6570048309
 Cost($)
30000
26000
2000
58000

4H OVERTIME
 Total Machine Time of Two Machines Solved by Solver
Machining Time/Gear (sec) Number of Gearboxes
Machine A 871 380.8102345842
Machine C 536 619.1897654158
Total 1000

Actual Total Time of Combination of Machine A and Mac

Machining Time/Gear (sec) Number of Gearboxes
Machine A 871 381
Machine C 536 619
Total 1000

TOTAL MACHINING COSTS OF MACHINE A

Component Unit Cost per hour Time (hours)
Machining 120 92.18
Operator 130 92.18
Unskilled Labour (Assembly) 30 0.1
Total

TOTAL MACHINING COSTS OF MACHINE C

Component Unit Cost per hour Time (hours)
Machining 185 92.16
Operator 155 92.16
Unskilled Labour (Assembly) 30 0.1
Total

OVERHEADS
Component Unit Cost per week Time (weeks)
Infrastructure Costs 7500 3
Admin Costs 6500 3
Utilities 500 3
Total

Total Costs of Two

Machine A Machining Costs ($) Machine C Machining Costs ($) Overheads ($)
23048 31338 43500

Comparison of Three Different Ways

Machine Production Time (weeks) Production Costs ($)
Cincinatti Milacron 6.45 358928
Mori Seiki 3.97 585564
Cincinatti Milacron & Mori Seiki 2.46 646829
ver
Total Time (sec)
331685.714322857
331885.714262857

on of Machine A and Machine C

Total time (sec) Total Time (hours) Total Time (weeks)
331851 92.18 2.5
331784 92.16 2.5

Total Cost ($)

11062
11984
3
23048

Total Cost ($)

17050
14285
3
31338

Total Cost ($)

22500
19500
1500
43500

Total Costs of Two Machines

Hardware ($) Machine A Price ($) Machine C Price ($) Incentive ($)
218942 75000 355000 -100000
Total Costs ($)
646829
 OVERTIME (2H)
Components Machine A
Total Required hours 92.18
Total Required hours (Rounded Up) 93.00
New Work week 47.5
Required number of weeks 1.9
Number of Weeks (Rounded Up) 2
Number of days 9.7
Number of days (Rounded Up) 10
Number of overtime hours 18

assemble
Normal Time Machining Costs
Components Unit Cost per hour of Machine A
Machining 120
Operator 130
Unskilled Labour (Assembly) 60
Total

Overtime Machining Costs

Components Unit Cost per hour of Machine A
Machining 120
Operator 195
Total

Overheads
Component Unit Cost per week
Infrastructure Costs 7500
Admin Costs 6500
Utilities 500
Total

Total Costs of Two

Normal Time Machining Costs ($) Overtime Machining Costs ($)
47250 13185
OVERTIME (2H)
Machine C Unit
92.16 hours
93 hours
47.5 hours
1.9 weeks
2 weeks
9.7 days
10 days
18 hours

Normal Time Machining Costs

Unit Cost per hour of machine C Total Unit Cost per hour Time (hours)
185 305 75
155 285 75
60 50

Overtime Machining Costs

Unit Cost per hour of machine C Total Unit Cost per hour Time (hours)
185 305 18
232.5 427.5 18

Overheads
Number of Weeks (Rounded Up) Cost($)
15000
2 13000
1000
29000

Total Costs of Two Machines

Overheads ($) Hardware ($) Machine A Price ($)
29000 218942 75000
 Total Cost ($)
22875
21375
3000
47250

Total Cost ($)

5490
7695
13185

Machine C Price ($) Incentive ($) Total Costs ($)

355000 -100000 638377
 OVERTIME (4H)
Components Machine A
Total Required hours 92.1808333333
Total Required hours (Rounded Up) 93
New Work week 57.5
Required number of weeks 1.6031449275
Number of Weeks (Rounded Up) 2
Number of days 8.0157246377
Number of days (Rounded Up) 9
Number of overtime hours 32

Normal Time Machining Costs

Components Unit Cost per hour of Machine A
Machining 120
Operator 130
Unskilled Labour (Assembly) 60
Total

Overtime Machining Costs

Components Unit Cost per hour of Machine A
Machining 120
Operator 211.25
Total

Overheads
Component Unit Cost per week
Infrastructure Costs 7500
Admin Costs 6500
Utilities 500
Total

Total Costs of Tw
Normal Time Machining Costs ($) Overtime Machining Costs ($)
38990 13826.25
OVERTIME (4H)
Machine C Unit
92.16 hours
93 hours
57.5 hours
1.6 weeks
2 weeks
8.0 days
9 days
32 hours

Normal Time Machining Costs

Unit Cost per hour of machine C Total Unit Cost per hour Time (hours)
185 305 61
155 285 61
60 50

Overtime Machining Costs

Unit Cost per hour of machine C Total Unit Cost per hour Time (hours)
185 305 18
251.875 463.125 18

Overheads
Number of Weeks (Rounded Up) Cost($)
15000
2 13000
1000
29000

Total Costs of Two Machines

Overheads ($) Hardware ($) Machine A Price ($)
29000 218942 75000
 Total Cost ($)
18605
17385
3000
38990

Total Cost ($)

5490
8336.25
13826.25

Machine C Price ($) Incentive ($) Total Costs ($)

355000 -100000 630759
 Total Required Time for Different Scenario
Time (Days)
Machine Without Overtime 2 hours Overtime 4 hours Overtime
Cincinatti Milacron 34 27 23
TMC Mill 214 169 140
Mori Seiki 21 17 14
Cincinatti Milacron & Mori Seiki 14 11 10

Required Time for Different Scenario

Time (Date)
Machine Without Overtime 2 hours Overtime 4 hours Overtime
Cincinatti Milacron 21/12/2017 12/12/2017 6/12/2017
TMC Mill 12/09/2018 11/07/2018 30/05/2018
Mori Seiki 4/12/2017 28/11/2017 23/11/2017
Cincinatti Milacron & Mori Seiki 23/11/2017 20/11/2017 19/11/2017
Normal Time But
Working on Saturday
14/12/2017
24/07/2018
29/11/2017
21/11/2017
 DEPRECIATION OF EACH MACHINE
Without Overtime 2 hours Overtime
Machine Initial Value ($) Machining Time Final Value ($) Machining Time
Cincinatti Milacron 75000 6.5 72216 5.1
TMC Mill 50000 42.5 37777 33.5
Mori Seiki 355000 4.0 346891 3.1
Cincinatti Milacron & Mori Seiki 430000 2.5 423919 1.9
E
2 hours Overtime 4 hours Overtime
Final Value ($) Machining Time Final Value ($)
72802 4.2 73184
40350 27.7 42029
348598 2.6 349711
425199 1.6 426034