Cost Comparison of Industrial Planers in Mass Production vs. Small-Batch Production
I. Breakdown of Core Cost Differences
(I) Direct Material Costs: The Obvious Manifestation of Economies of Scale
Mass production optimizes costs through centralized procurement: a 9.5% discount is available for single purchases of 1000 tons of steel, and a one-year long-term contract can lock in a purchase price 8% lower than the market price. Taking a typical medium-sized planer as an example, the procurement cost of steel per ton is approximately 4300 yuan in mass production, while the price for small-batch, scattered purchases can reach 4680 yuan/ton, a difference of nearly 1200 yuan per unit. Furthermore, mass production allows for larger-scale scrap recycling, with a subsidy of 30 yuan per ton, further reducing costs.
(II) Direct Labor Costs: The Implicit Difference in Working Hour Efficiency
Industrial planer processing involves multiple processes such as planing and milling. Mass production reduces the frequency of equipment adjustments and increases output per unit of working hour. Data shows that the basic labor cost for planer processing is 15-35 yuan/hour. In small-batch production, due to frequent model changes, debugging time accounts for up to 25%, with a single machine labor cost of approximately 2800 yuan. In batch production, debugging time accounts for only 8%, and the single machine labor cost can be reduced to 1600 yuan. As shown in the case of a company in Zhenjiang, when processing sensor housings in small batches, the time spent on equipment debugging led to a 30% increase in labor costs.
(III) Manufacturing Costs: The Magic of Fixed Cost Allocation
Equipment Depreciation: In batch production, the equipment utilization rate is over 85%, and the monthly depreciation amortization per planer is approximately 1200 yuan; in small-batch production, the equipment utilization rate is less than 40%, and the monthly depreciation amortization per machine rises to 2700 yuan. Consumable costs: In small-batch production, low-value consumables such as planers and fixtures are replaced frequently. For example, a regular planer needs to be replaced every 50 pieces processed in small-batch production, while this can be extended to 80 pieces in batch production, resulting in a difference of 400 yuan in consumable costs per unit. Scrap losses: Small-batch production involves frequent trial cuts, with a pass rate typically between 85% and 90%, and scrap losses account for over 12% of costs. In batch production, through stable process control, the pass rate can reach over 99%, and scrap losses are reduced to below 2%. II. Cost Comparison of Two Production Modes (Taking a Medium-Sized Industrial Planer as an Example)
Cost Items
Mass Production (Single Unit)
Small Batch Production (Single Unit)
Difference
Direct Material Costs
18,600 RMB
19,800 RMB
-6.1%
Direct Labor Costs
1,600 RMB
2,800 RMB
-42.9%
Manufacturing Expenses
3,200 RMB
5,600 RMB
-42.9%
Total Costs
23,400 RMB
28,200 RMB
-17%
III. Selection Guide for Distributors
(I) Prioritizing Mass Production Scenarios
Stable target market demand, annual purchase volume exceeding 50 units
Mainly standardized models, customized demand accounting for less than [percentage missing] 10% Focus on cost control; high sensitivity to end-user selling price.
(II) Adaptation to small-batch production: Serving niche markets, requiring frequent updates to machine specifications. Accepting customized orders, such as shipbuilding and aviation-specific planers. Testing new markets, with initial order volumes below 20 units.
(III) Practical cost optimization techniques:
Joint procurement: Collaborate with regional distributors to place orders collectively, breaking through bulk purchase discount thresholds and reducing material costs by 8%-12%.
Process audit: Require manufacturers to provide process lists to verify whether there is excessive processing leading to inflated costs. For example, ordinary planing processes do not need to be charged according to precision milling standards.
Consumables agreement: Clearly define the replacement frequency standards for consumables such as planers and fixtures in the contract, referring to the optimization space of “40% increase in molybdenum wire reciprocating utilization rate” in the Zhikai CNC case.
Post time: Nov-05-2025