Presetter Cost Payback Analysis

If your competitors are using presetters, watch out. They have cut their costs and may force you to shave profit margins to compete. The following short exercise will help you test the value a tool presetter can bring to your manufacturing operation. Take a few moments to evaluate the numbers. The exercise may keep you from missing an opportunity to increase efficiency, improve quality, and add to the profitability of your operation.

1. How many machining centers do you have?	4	20
2. On average, how many hours per shift does each operator spend touching off tool lengths and diameters?	0.5	1
3. Multiply answer 1 by answer 2.	2	20
4. Multiply answer 3 by the number of shifts you run.	6	60
5. Enter spindle value per hour.  (Burden rate plus average value of production lost per hour of spindle downtime.)	60	75
6. Multiply answer 4 by answer 5.	360	4500
7. Enter price of the presetter.	$20,000	$20,000
8. Divide answer 7 by answer 6.*	55.5	4.44

* Answer 8 is the number of days it will take for a presetter to pay for itself.

Perform your own Tool Presetter payback analysis.

Back to main page