Posts Tagged ‘Estimating’

Estimating For Paint Lines (Part 2 of 2)

As technology has improved over the years, paint lines have become more commonplace throughout job shops. The ability to estimate how much a part costs is now more complicated due to the batch process and automation of paint lines. This entry will show you a sample formula for estimating “time per part”. Variables FeetPerMinute VerticalParts…

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Quick Tip: How to Estimate Quotes Consistently

Quick Tips – How to Estimate Quotes Consistently Estimating quotes consistently among multiple estimators is a difficulty many manufacturers face. An experienced estimator can price a part quicker than one that who is newer to the process. The longer you have someone estimating for your company, the better they can quote something from memory. The…

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Punch Press Estimating and the First CNC Punch Press

Punch press estimating is a very common way to put wholes in sheet metal parts. Punch presses have been around since 1955.  The Wiedemann Machine Company was established in Philadelphia, Pennsylvania in 1916 and over the years developed and produced a variety of machines. Wiedemann unveiled the world’s first NC turret punch press at a machine…

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Material Cost Calculation

Material cost calculation potentially involves a lot of information.  In my previous blog I mentioned many of the data points involved in the material cost calculation including Parts Size, Blank Size, Stock Size, Safety Stock Size, and others.  One of the reasons you need the part size is raw material is usually a commodity.  The commodity is usually priced in…

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Direct and Indirect Costs

Fixed and variable costs can now be broken down into two more cost types: direct and indirect costs. These classify the costs of parts being manufactured and are critical to calculating shop overhead rates.  Direct costs are those costs that are directly associated with the production of the product.  Indirect costs are those costs which…

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Calculating Shop Rates Using The Income Statement

We are going to spend the next few posts reviewing what an income sheet is and how the income sheet will help you determine you shop rates. From Wikipedia the definition of income statement is Income statement, also called profit and loss statement (P&L) and Statement of Operations, is a company’s financial statement that indicates how the revenue…

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Calculating Cycle Time with Estimating Software

Calculating the entire operation costs depends on both setup and cycle time.   In order accurately estimate your costs to complete a job you must be as accurate as possible during the estimating process.   If you spend too much time estimating you will be burning a lot of cycles which costs money.   If…

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Price Quote Software Handles Inspection

Job shop estimating is not the most complex job in the job shop, but it does have a lot of little details which should be dealt with during the estimating process.   Inspection is a category of the cycle time which is not normally considered during the quoting process.    I mentioned earlier that the…

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