FIELD INITIATED ENGINEERING REVIEW AND PRODUCT REDESIGN YIELDS $170,000 IN COST SAVINGS
Challenge
Field initiated an engineering review of a customer’s application that revealed a high-cost component, which required multiple assembly steps and created potential quality concerns. Field provided engineering resources to redesign a more cost-effective part that lowered component costs, assembly costs, and improved quality.
Initial Design:
The initial design was a screw-machined component that contained a groove for which a retaining ring was assembled. This design did not create a consistent stop for the bearing to seat against, which resulted in potential quality issues. The initial design of the part also resulted in high component and total assembly cost.
Solution
The Field Team designed a one piece powdered metal component, with tight tolerances that are machined in a secondary operation. The newly designed part eliminated the groove, the retaining ring, and the assembly process. This provided a consistently tight tolerance bearing stop that improved quality and reduced components.
Results
The Field proposed solution resulted in a reduction of assembly time, eliminated quality issues, increased tool life and yielded significant cost savings based on 600,000 EAU:
- Increased Tool Life
- Eliminated Quality Issues
- Piece Price Savings: $120,000
- Savings from Eliminating a Retaining Ring: $35,000
- Savings from Eliminating Assembly Labor: $15,000
Total Savings with Field: $170,000