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๐—œ๐—ณ ๐˜†๐—ผ๐˜‚'๐—ฟ๐—ฒ ๐—ผ๐—ป๐—น๐˜† ๐—น๐—ผ๐—ผ๐—ธ๐—ถ๐—ป๐—ด ๐—ฎ๐˜ ๐—ฝ๐—ผ๐˜„๐—ฑ๐—ฒ๐—ฟ ๐—ฐ๐—ผ๐—ป๐˜€๐˜‚๐—บ๐—ฝ๐˜๐—ถ๐—ผ๐—ป, ๐˜†๐—ผ๐˜‚'๐—ฟ๐—ฒ ๐—บ๐—ถ๐˜€๐˜€๐—ถ๐—ป๐—ด 85% ๐—ผ๐—ณ ๐˜๐—ต๐—ฒ actual cost!

Sep 10
1 min read


In our example from last weekย https://lnkd.in/ehaipvaqย only โ‚ฌ1,744 of the total โ‚ฌ7,711 monthly savings come from material costs.


Still, we're starting our ROI series here. Why? Because powder consumption is the most visible lever โ€” but far from the biggest one.



๐—ง๐—ต๐—ฒ ๐—บ๐—ฎ๐˜๐—ฒ๐—ฟ๐—ถ๐—ฎ๐—น ๐˜€๐—ฎ๐˜ƒ๐—ถ๐—ป๐—ด๐˜€ ๐—ฏ๐—ฟ๐—ฒ๐—ฎ๐—ธ ๐—ฑ๐—ผ๐˜„๐—ป ๐—ฎ๐˜€ ๐—ณ๐—ผ๐—น๐—น๐—ผ๐˜„๐˜€:



๐Ÿ”ด โ‚ฌ1,120 from reducing over-application


(2 tons of powder consumption per month ร— โ‚ฌ14/kg, with 4% savings = โ‚ฌ1,120)



โšซ โ‚ฌ540 from reducing rework


(150 reworked parts at โ‚ฌ8 each, with 45% less rework = โ‚ฌ540)



โšช โ‚ฌ84 from reducing scrap


(10 scrap parts at โ‚ฌ28 each, with 30% fewer scrap parts = โ‚ฌ84)



โžก๏ธTotal: โ‚ฌ1,744 savings per month



๐—ช๐—ต๐—ฎ๐˜'๐˜€ ๐—ถ๐—ป๐˜๐—ฒ๐—ฟ๐—ฒ๐˜€๐˜๐—ถ๐—ป๐—ด is that almost one-third of the material savings comes from reducing rework, not from using less powder.



๐—”๐—ป๐—ฑ ๐—ฒ๐˜ƒ๐—ฒ๐—ป ๐—บ๐—ผ๐—ฟ๐—ฒ ๐—ถ๐—ป๐˜๐—ฒ๐—ฟ๐—ฒ๐˜€๐˜๐—ถ๐—ป๐—ด: material savings account for only about 23% of the total savings potential in this example.


In the next part of our series, we'll show why rework is often far more expensive than most people think.




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