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creating the insulator. Manufacturing cost is a very important factor in design and production of the
product. The model of added value states that the manufacturing cos must be less than the value added
to ensure a profit is made. Therefore, the costing of the design and manufacture of a product is crucial
for success. Costing of the design are in fact very often used for making decisions for the design and
manufacture of a product. The types of decisions that can be made based on costs include:
Accounting all the raw material, labor, and miscellaneous cost, the graph is shown in figure
4.4.1.
1.4
Php per cm3
1.2
1
0.8
0.6
0.4
0.2
0
Raw corn Wood glue Wood glue Wood glue PE Foam
cobs for 300 for 500 for 700 Insulator
kg/m3 kg/m3 kg/m3 Price per
m3
Cost type
Fig 4.4.1 Cost per Cubic Centimeter on different densities of CC thermal insulators
COST – BENEFIT ANALYSIS
COST BENEFITS
Direct Labor cost Superb strength and tear resistance
Direct Material cost Flexibility
COST BENEFITS
Direct Labor cost Very cheap to manufacture due to zero direct material cost
Packaging cost Reduces corn cobs waste biomass
Good for the environment as recycling of the waste prevents
Manufacturing overhead
flood, epidemic hazards, and air pollution from burning
Can be readily made at home