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Slide 61 of 69
Notes:
First Costs = Material plus production costs.-
Cheapest material costs may involve higher production costs. It is frequently possible to reduce total costs by buying free machining material or components made near net shape before finish machining and assembly.
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A simple example of comparison of first costs for heavy duty valve chests is shown in the slide.
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The advantages can be clearly seen from this example of how MECO International used an extruded high tensile brass profile to replace the steel previously used in the manufacture of a typical valve body.
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A saving of £7.34 per component was achieved over steel giving an annual saving in the order of £20,000.
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( Comparison costs supplied courtesy of MECO International)
