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Dr. N.

VENKAIAH
Assistant Professor
Mechanical Engineering Department
NIT Warangal 506 004
Disclaimer
The content presented here is not entirely my own. Some portions are taken from
different sources with great regard. This content is solely for class room teaching
and not for any commercial use.

"The greatest test of courage on earth is to bear defeat without


losing heart."
- Robert G. Ingersoll

Total production cost per component


(Total unit cost)
=
Cost of Machining
+
Non-productive cost
+
Cost of tool
+
Tool changing cost
Note: Fixed costs, like material cost, are not taken into account because
they will not affect optimization.
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Machining cost = CmTm


Where,
Cm = labor cost per unit time + overhead charges (depreciation +
indirect labor + maintenance)

L
Tm = Machining time for a single pass
Nf
where,
L = Actual length of cut
= Lw + A + O
( A, O = approach and over run)
N = spindle speed, rpm
f = tool feed, mm/rev
Speed, N , is determined from cutting velocity, V
DN
V
m/min
where D is dia. of the job before cut
1000
DL
Tm
3
1000Vf

Non-productive cost = CnTn


Where,
Cn = Preparation cost + Set up cost + Loading and unloading cost +
Idle time cost + other non-machining time costs
Tn = Non-machining time
Usually expressed as a fixed cost in Rupees per piece.

Cost of Tool = Cost of cutting edge x Number of cutting edges used


T
= Ce m
T
where,
Ce Cost of a cutting edge
For HSS tools:
Initial cost of tool + Regrind cost x Number of regrinds
Ce
Number of regrinds + 1
For Carbide and Ceramic tools with throw away tips:
Cost of insert
Ce
Number of cutting edges per insert

Tool changing cost


= Number of tool changes x Time required for each change x Cost
T
= m TcCm
T
where,
Tc Tool chaning time (Time required to grind and change a tool)

Tool changing cost


Non-productive cost

Minimizing the Manufacturing Cost


Total production cost per piece, Cp = CmTm + CnTn Ce

Tm Tm
TcCm
T T
1/ n

DL
DL V
DL V
= Cm
+ CnTn Ce

C
T
m c


1000Vf
1000Vf C
1000Vf C
1
1
DL
DL V n 1
DL V n 1
= Cm
+ CnTn Ce
CmTc
1
1
n
1000Vf
1000 f C
1000 f C n

1/ n

For minimizing the cost,


C p
V

=0

i.e,
Cm

DL
1000 f

1
DL
+
0

C
1
e

V 2
1000 fC n

1 n 1 V

n 2

CmTc

DL
1
1000 fC n

1 n 1 V

n 2

0
8

Minimizing the Manufacturing Cost

1
1

C
1
e
2
n
V
C

Cm

1
1

C
T
1
m c
2
Cn
V

Cm

Cm V

Tc

Cm 1 Tc

V
Cm CmTc
C

V

C

n 2

1 n 1 V

CmTc

n 2

Ce

V
1 1
n Ce
C

V
1 n 1 Ce
C

V
Cm CmTc Ce
C
1

1
1
Cn

1
1
Cn

1 n 1 V

V
V
1 1 V 2 C

n
e

C
C

n 1 V

Ce
n 1 Tc

C
m

n 1 V

n2

n 2

1 n 1 V 2

1 n 1

1 n 1
Optimum cutting speed for minimum cost
C
Vopt
n

Ce
1 1 T
n c

9
C
m

Maximizing the Production Rate


1
Rate of production, Rp
Tp

1
V
=
T
c

V2
C

Where,
Tp
Total manufacturing time

1 n 1 V 2

Tm

DL
DL V

Tn Tc

1000Vf
1000Vf C
To maximize Rp , minimize Tp
V

n
C
1
n 1 Tc
V
Optimum cutting speed for Max. Rp

=Tm Tn Tc

Tp

Vopt

1 Tc

Topt 1 n 1 Tc

i.e.,

DL
1000 f

1
DL
+
T
1
c

V 2
1000 fC n

1 n 1 V

n 2

0
10

Tool changing
cost
Non-productive
cost

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Problem
A 100 mm long 35 mm diameter bar is to be turned at a feed of 0.26
mm/rev. the operating cost is Rs. 10 per minute and the tool cost is Rs. 75
per edge. The tool changing time is 4 min. a carbide tool is used with two
cutting fluids for which the tool life equations are as given below:
Cutting fluid 1
Cutting fluid 2

VT0.22=67
VT0.32=67

Find out which cutting fluid is better on relative cost.

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Solution
D = 35 mm, L = 100 mm, f = 0.26 mm/rev.,
Cm= Rs. 10/min, Ce= Rs. 75, Tc = 4 min
V1

C1

V2

Ce
n1 1 Tc

C
m

C2

Ce
n 2 1 Tc

C
m

n1

n2

29.63m/min, T1 = 40.77 min

24.1m/min,

T2 = 24.44 min

DL
x35x100

1.43 min
1000V1 f 1000x29.63x0.26
DL
x35x100
Tm2

1.73 min
1000V2 f 1000x24.1x0.26
Tm1

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Solution
Cp1 = CmTm1 Ce

Tm1 Tm1

TcCm
T1
T1

1.43
1.43

x4x10 Rs.18.33/Component
40.77 40.77
T
T
Cp2 = CmTm 2 Ce m 2 m 2 TcCm
T2
T2
= 10x1.43 75x

= 10x1.73 75x
Cp1 Cp2

1.73
1.73

x4x10 Rs.25.44/Component
24.44 24.44

Hence cutting fluid 1 is better

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Problem
A tool used in a turning operation is of brazed-carbide tip type. Its cost is
Rs. 450 and on average it can be reground ten times. The cost of regrinding
is Rs. 45. The lathe cost is Rs. 2 lakh and is used 8 hours/day, 5 days/week
and 50 weeks/year. Its cost is to be amortized over 10 years and the
machine overheads are 100%. The operators wage is Rs. 20/hour and the
operator overheads are 100%. The tool life equation is VT0.25 = 7 where V is
in m/s and T is in s. The tool changing time is 4 min and handling time per
component is 5 min. The cutting distance per component is 100 m.
Calculate:
a) the minimum production cost and
b) the minimum production time.
Sol.

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