September 1, 2020
September 2020
As September approaches, it is a time when families prepare to send their children to school, we plan on our picks for the fantasy football leagues, and we gear up to watch MLB playoff baseball. While this year may be different than previous years in many ways, the one thing that is consistent is that we need to support our customers increasing requirements.
For the plastic molders, whether in the automotive, consumer goods, toys, or medical industry, the end users continue to apply pressure on us in Quality, Cost, and Delivery, (QCD). In the assembly process, you can Kaizen the process to get the most efficient throughput for your operation to help keep processing costs down. You can Poka Yoke the process to reduce quality issues to reduce rework.
On the tooling side, you can look at the Net Present Value (NPV) of making the parts. To calculate the NPV, take the cost of making the parts, times the number of parts per year, times the number of years that part is in production. Add the tooling cost to give you the total cost for making that part through the life of production. Then divide that number by the total number of parts throughout the production life. That will give you the cost per part including the tool cost over the life of the program. Here is the formula: (part cost X no. of parts annually X no. of years program life) + tool cost / no. of parts for program life = NPV.
What you will find is that the small cost increase of using hot runners in your tool will give you a faster return on investment (ROI) than a cold runner system because of the efficiency gain with a hot runner system.
The economy is starting to pick up, and many think we will have a robust 3rd and 4th quarter. We can use this “slow” time to fine tune our processes to be able to provide our customers the best quality parts, with on time delivery, at a competitive cost. This will help protect your bottom line.
FISA Corporation will be closed on Monday, September 7, to celebrate Labor Day.
Whether you are looking to plan a tool refurbishment or new tooling, contact me with any questions or requests.
Until next month, be safe, stay healthy, and make good parts.
Please like us on Facebook at FISA Corporation
Mark Gilley
(931) 684-9433
sales@fisacorp.com
www.fisacorp.com
For the plastic molders, whether in the automotive, consumer goods, toys, or medical industry, the end users continue to apply pressure on us in Quality, Cost, and Delivery, (QCD). In the assembly process, you can Kaizen the process to get the most efficient throughput for your operation to help keep processing costs down. You can Poka Yoke the process to reduce quality issues to reduce rework.
On the tooling side, you can look at the Net Present Value (NPV) of making the parts. To calculate the NPV, take the cost of making the parts, times the number of parts per year, times the number of years that part is in production. Add the tooling cost to give you the total cost for making that part through the life of production. Then divide that number by the total number of parts throughout the production life. That will give you the cost per part including the tool cost over the life of the program. Here is the formula: (part cost X no. of parts annually X no. of years program life) + tool cost / no. of parts for program life = NPV.
What you will find is that the small cost increase of using hot runners in your tool will give you a faster return on investment (ROI) than a cold runner system because of the efficiency gain with a hot runner system.
The economy is starting to pick up, and many think we will have a robust 3rd and 4th quarter. We can use this “slow” time to fine tune our processes to be able to provide our customers the best quality parts, with on time delivery, at a competitive cost. This will help protect your bottom line.
FISA Corporation will be closed on Monday, September 7, to celebrate Labor Day.
Whether you are looking to plan a tool refurbishment or new tooling, contact me with any questions or requests.
Until next month, be safe, stay healthy, and make good parts.
Please like us on Facebook at FISA Corporation
Mark Gilley
(931) 684-9433
sales@fisacorp.com
www.fisacorp.com