Why you should watch your projects costs even more? Part II

In reason of inumerous request received in our last post about this subject , we decide to explore more 4 projects focused in the results: before X after optimization.

I thanks by comments and feedbacks received with enthusiasm about our work: Really this is our motivation to continue delivering innovation for this market.

Project 01 – 2000 VA Autotrafo single phase

  • Client: Small company
  • Production average: 500 units
  • Project changes: improvement in core dimension to achieve material savings but inside the range of rule and security.

Optimizations & Costs

Weight optimization (%) Costs optimization (%) Cost before (USD) Cost after (USD)
14.08% 10.47% USD 57.17 USD 51.18

Profit

Annual profit before (USD) Annual profit after (USD)
USD 1,156,980.00 USD 1,192,920.00

Differences

Before x After (USD) Before x After (%)
+USD 35,940.00 +3.11%

Notes

  1. A 14% weight reduction can not had direct relation with the costs (10%), so, be attentive to details.
  2. One reduction of $5,99 per equipment can represent an improvement of $35 thousand in annual profit!

 

Project 02 – 30 VA Trafo single phase

  • Client: Small Company
  • Production average: 500 units
  • Project changes: choose another type of core cutting to provide a better result.

Optimizations & Costs

Weight optimization (%) Costs optimization (%) Cost before (USD) Cost after (USD)
61.35% 77.80% 23.97 5.32

Profit

Annual profit before (USD) Annual profit after (USD)
USD 126,180.00 USD 238,080.00

Differences

Before x After (USD) Before x After (%)
+USD 111,900.00 +88.68%

 Notes

  1. One little change can represent a big reduction around 5 times of costs (88% of reduction).
  2. Methods, process and materials, should be tried numerous times to achieve the better composition.

 

Project 03 – 25 kVA Autotrafo three phases

  • Client: Medium company
  • Production average: 250 units

Project changes:  Were identified 2 changes for this project: the first in core weight optimization and the second changing the wire type of coils. The changes contributed to improve the final results.

Optimizations & Costs

Weight optimization (%) Costs optimization (%) Cost before (USD) Cost after (USD)
21.84% 51.89% USD 252.10 USD 121.28

Profit

Annual profit before (USD) Annual profit after (USD)
USD 3,983,700.00 USD 4,376,160.00

Differences

Before x After (USD) Before x After (%)
+USD 392,460.00 +9.85%

Notes

  1. See that que core weight reduction around 21% can represent one cost reduction of 2.5 times.
  2. In this way the cost went from $250 to $125.
  3. The result was an improvement of $400,000 in annual profit.
  4. 10% of profit improvement is a fantastic result for any kind of business.

 

Project 04 – 3000 kVA Three phases oil transformer

  • Client: Big company
  • Production average: 100 units
  • Project changes: Were identify 2 better changes for this project: the first in core weight optimization and the second changing the wire type of coils. The changes contributed to improve the final results.

Optimizations & Costs

Weight optimization (%) Costs optimization (%) Cost before (USD) Cost after (USD)
9.25% 16.2% USD 51,040.56 USD 42,771.36

Profit

Annual profit before (USD) Annual profit after (USD)
USD 46,751,328.00 USD 56,674,368.00

Differences

Before x After (USD) Before x After (%)
+USD 9,923,040.00 +21.23%

Notes

  1. One reduction of weight can represent a 175% of costs reduction
  2. After the optimization, the cost represents less than 85% compared with the first values.
  3. Logically by the production scale and kind of product, add 9 millions of profit in only one year leave us very proud and honored to participated that optimization project with our customer.

 

Why this happen?

Há diferenças relevantes nos métodos e processos que adotamos com nossos clientes e os fluxos abaixo dão uma visão sobre como isso ocorre.

There are significant differences in methods used by us and the bellow flow give the vision about how its happen

 

Traditional method

 

ILTECH Method

 

Conclusion

While the traditional methods start with standard variables defined by the engineering, in the ILTECH method the engineering have the support of solution that calculate the better arrange in according with the project necessities, that’s meaning try different arrange and project changes since the core until the coils.

To analyze the better possible result, the module called geometrical analyze, developed by ILTECH, run one test for each step of electrical transformer construction, one for the core, one for the coils and one for the final results.

With this it is possible try different arranges and find the better result. The geometrical module, charge of debugging the standard rules and find the better result is possible, can do this, because inside there are the formulas optimizations developed by ILTECH along more than 15 years together our more than 50 customers, debugging and improving the formulas by the results achieved, giving life for a new method for manufacturing and refurbishment of electrical transformers.

Leave a Reply

Your email address will not be published. Required fields are marked *