A Process-based Parametric Model for Product Cost Estimation
نویسنده
چکیده
A process-based parametric model for product cost estimation has been developed in this paper. In the model, the production activities of a manufacturing system are classified and their consumption characteristics (mainly the activity cost rates) are analyzed with the Activity-based costing (ABC) method. The relationship from product parameters (the order quantity and design parameters) to the usage amount of production activities is established by applying the statistical methodologies. As the critical parameters of a new product are determined, the detailed cost consumption in its manufacturing process then can be estimated from these parameters. A case study is finally given based on the heat-exchanger products of a manufacturing company, and its effectiveness is shown.
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