Simple justifications can  be made based on measurable productivity gains. 

The far greater payback is more difficult to quantify, some examples of these justifications include:

  • Market Window Insurance (cost if it is missed)
  • Scheduling Impact on an entire project where this may be just one component
  • General overall overall quality improvements
  • Product throughput
  • Optimum performance tool

Simple Cost Justification Tool For Flow Analysis Services

An example of a simple cost justification based on start-up and debugging of a brand new too. This is based on the assumption that analyzing a tool can reduce this startup process by 50%, this is a conservative estimate.

This Assuming that a tool that has been analyzed can be started up and debugged twice as fast as one that has not been analyzed, multiply the total cost above by .5 to get the $ save on startup due to using analysis.

$6,680 * .50 = $3,340

This number is higher than the cost of analyzing all but the most complex tools. An additional day of debugging rapidly escalates the costs. Any required reworks require this entire process to be repeated, not to mention the cost of scheduling delays. 


Copyright 2005 -  S. B. EglI