Optimization of Manufacturing Cost through Process Capability Indices at ABC Manufacturing Limited

Abstract

Introduction: Process optimization plays a crucial role in the manufacturing industry to enhance both product quality and cost-efficiency since operational challenges continue increasing. ABC Manufacturing Limited uses process capability indices (Cp, Cpk) and statistical process control (SPC) to advance their manufacturing performance in this study. Manufacturing costs should decrease during this effort yet the end product quality will either remain steady or advance.

Objectives: The main goal of this research involves studying how spindle speed and feed rate alongside cutting depth influence process capability together with costs in manufacturing. The research targets to determine performance levels which achieve minimal cost together with minimum defects.

Methods: The research gathers production data from ABC Manufacturing Limited during three experimental trials which tested different operational parameter settings for Main Bore and Seal Groove and Lug Hole operations. Process monitoring with Statistical Process Control (SPC) tools along with process capability indices (Cp, Cpk) provides assessment capabilities for the process performance. Each manufacturing trial contains a calculated cost evaluation and the results demonstrate the relationship between optimized processes and decreased expenses.

Results: Procedures that enhance Cp and Cpk lead to significant decreases in manufacturing expenses. Tests 1 through 3 yielded job costing results of Rs. 139.71/job then Rs. 139.21/job and lastly Rs. 138.75/job in that order. The findings demonstrate that better process capability results in substantial decreases of defective parts per million (PPM).

Conclusions: Research findings prove that process costs decrease substantially while product quality advances when process parameters receive enhancements through Statistical Process Control (SPC) and process capability indices. The research delivers operational guidelines which ABC Manufacturing Limited with similar organizations can use to conserve costs and maintain product consistency and minimize waste.