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> millions of dollars worth of product, 24 hours a day > Often times the 'new' version is $100,000 US Is the price really the issue here? It almost sounds lik
by dataflow 5y ago
> millions of dollars worth of product, 24 hours a day
> Often times the 'new' version is $100,000 US
Is the price really the issue here? It almost sounds like the company could afford it if it wanted to.
- hakfoo 5y agoA $100,000 machine is probably a machine with an entire workflow and facility engineered around it. So it's $100,000 plus: * The costs to disassemble and remove the old machine * The costs to install the new machine, which could include specialized contractors. * The costs to realign any supporting equipment to fit the new machine (i. e. if a conveyor belt feeding parts in or out has to be moved) * The costs to retool the rest of the manufacturing process that was dependent on quirks of the old machine. This could have a significant and expensive research phase. * Retraining to operate the new machine * Any parts scrapped by use in the testing or teething-trouble adjustment of the new machine * Downtime of the actual production process, potentially extending to failure to meet contracts and associated penalties So that "$100,000" machine could have end-to-end costs well into seven or eight figures.