A recent blog post by Peter Daisyme (who worked for 20-plus years as director of the Deloitte Accounting Group) opines that the average manufacturer deals with 800 hr. of downtime per year-or more than 15 hr./week. The financial impact of this can be significant. Just for perspective, consider that the average automotive manufacturer loses $22,000/min. of downtime, according to Simutech Multimedia, a provider of simulation-based training for manufacturers. While your downtime-related costs may not come anywhere close to this, even losing a few hundred dollars per hour can significantly impact your bottom line. Say, for example, that a production cell typically produces 600 subassemblies/hr., with an average profit of $50/unit-a single hour of downtime costs your company $30,000.
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