
Originally Posted by
Justloadit
I have gone as far as calculating it per hour, and per employee, and in some extreme cases per minute. Why you say, going so detailed, well how else do you calculate the cost to manufacture. If you know how many minutes a part takes to make using typical labour, you can accurately calculate the cost, and from that calculate your profit and final price.
I usually break down a specific job into different tasks, and the time it takes to do each task. It is an eye opener when you realise where you lose money due to time, especially if you have to man handle a part several times in the manufacturing environment.
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