DESIGN ECONOMICS

JIGS AND FIXTURES

 INDUSTRY DEMANDS
• MAXMIMUM PRODUCTIVITY
• MINIMAL COST
• CONSISTANT QUALITY
• ON TIME DELIVERY
• ZERO BREAKDOWNS
• ZERO DEFECTS
• SAFETY
• LOW MAINTENANCE COST.
Principles of design economics.
• Simplicity : Basic and simple design. Keep all
designs simple & uncomplicated.
• Pre-machined / pre-formed materials : where
possible use pre-formed components like tooling
plates, brackets, structural sections.
• Standard components : As for as possible use
standard components like clamps, locators,
supports, drill bushings, pins, screws, bolts,
nuts, springs, etc.
 Principles

• Secondary operations : Eliminate or reduce

secondary operations like heat treatment,
Grinding.
• Grinding is to be limited to areas that contact
parts / machine.
• Heat treatment is to be limited to areas that are
subjected to wear such as supports, locators,
moving parts.
• Avoid secondary machining operations that do
not directly affect the accuracy of the tool.
 Principles

• Tolerance: Don’t use very close tolerance

than required.
• Generally 20% to 50% of the part
tolerance is the tolerance of the tool.
• More than required is wasteful and adds to
the cost of the tool.
 Principles.
• Simplified drawings : standard parts are
drawn for clarity but not for details.
• Avoid unnecessary views / projections /
details.
• Use more symbols.
• Do not oversimplify—required information
is to be given.
 Economic Analysis
• Tooling estimate : estimate the cost of
the tool.
• Projected savings over alternate
methods / tools.
• Justify the cost ---close tolerance, high
volume production.
• Estimate the cost of material and labor.
• Number of parts per hour.
 Tool cost & productivity.
• Total cost of material & labor to make the
tool is to be estimated.
• Prepare a part list of the tool assembly.
• Prepare a process sheet which includes all
operations for each part.
• Prepare a cost sheet for each part.
• Estimate the tool cost.
 Estimation.
• Calculate the number of parts / hour the
tool can produce.( production rate)
• Estimate the cost per part.
• Estimate the labor cost
• Parts / hr.= 1 / machining time + loading &
unloading time.
• E.g. : machining time = 0.25 hrs.,loading
time = 0.1hr.,unloading time = 0.1hr.
• Total = 0.45hrs. 1 / 0.45 = 2.22 parts / hr.
 Estimation of labor cost.

lot size
Cost of labor = x wages per hr
parts per hr
 Example.
• 4000 parts to be milled using a fixture.
• Tool can produce 60 parts per hour.
• Operator wages is Rs.25.00 per hour.
• Find the labor cost for the lot.?
Lot size
Cost of labor = x Wages
per hour
Parts per hour
 Estimate the cost per part.
• What is the cost per part in a milling
operation if the lot size is 4000,fixture cost
is Rs.10,000, cost of labor is Rs.1666.5.for
the lot.?

Tool cost + cost of labor.

Cost per part. =

Lot size.
 Calculate the savings.
• With out fixture cost per part.= Rs.5.92
• With fixture cost per part. = Rs.2.92
• Savings per part = Rs.3.00
 Break – Even Point (ROI)
• Number of parts produced by the tool to
pay for itself.
• After recovering the tool cost the parts
produced will be free of tool cost and this
adds to the profit.
Tool cost
BEP =
Savings per part
 Example
• What is the break-even point in a milling
operation using a fixture costing Rs.10,000
• Cost per part with fixture is Rs.2.92
• Cost per part without fixture is Rs,5.92
 Comparative Analysis
• Compare cost versus savings.
• Select tool which returns fast.
• Break-even point is the minimum number
of parts a tool must produce to pay for
itself.
• Prepare a work sheet and find out which
alternate tool will produce minimum
number of parts to pay for itself.
 Work sheet example.
Economic With out fixture. With fixture-1 With fixture-2
factor.
Lot size 500 500 500
Tool cost ----- RS.3500 Rs.11000
Out put –parts 15 30 120
per hour.
Wages per hour Rs.12 Rs.12 Rs.12

Labor cost for Rs.400 Rs.200 Rs.50

the lot.
Labor cost per Rs.0.80 Rs.0.40 Rs.0.10
part.
 Break-Even Point.
• BEP = tool cost / savings
• Rs.3500 / Rs.0.4 = 8,750 Nos.---fixture-1
• Rs.11000 /Rs. 0.7 = 15,714.28 Nos-
fixture-2

BEP = 8,750 Nos.

Below BEP = Loss Above BEP = Profit.