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  • AUTO1024 MGMT DESIGN AND DEVELOPMENT PRESENTATION

    Diunggah oleh

    karthik prakash
    8 tayangan7 halaman
    The document presents a proposal to reduce the fuel tank capacity of a small passenger vehicle from 55 litres to 40 litres. This would save on material costs, reducing the weight of the vehicle and improving fuel efficiency slightly. The main benefits are a material cost saving of $1.42 per vehicle and a total savings of almost $30,000 per year. The risks include the vehicle having a smaller driving range and the small car market declining in popularity. Overall, the presentation concludes the proposal would lead to a cost savings and profit over a 3 to 10 year period.

    Deskripsi Asli:

    Management Design and Development

    Judul Asli

    Presentation 1

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    The document presents a proposal to reduce the fuel tank capacity of a small passenger vehicle from 55 litres to 40 litres. This would save on material costs, reducing the weight of the vehicle and improving fuel efficiency slightly. The main benefits are a material cost saving of $1.42 per vehicle and a total savings of almost $30,000 per year. The risks include the vehicle having a smaller driving range and the small car market declining in popularity. Overall, the presentation concludes the proposal would lead to a cost savings and profit over a 3 to 10 year period.

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    © All Rights Reserved
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    Tandai sebagai konten tidak pantas
    8 tayangan7 halaman

    AUTO1024 MGMT DESIGN AND DEVELOPMENT PRESENTATION

    Diunggah oleh

    karthik prakash
    The document presents a proposal to reduce the fuel tank capacity of a small passenger vehicle from 55 litres to 40 litres. This would save on material costs, reducing the weight of the vehicle and improving fuel efficiency slightly. The main benefits are a material cost saving of $1.42 per vehicle and a total savings of almost $30,000 per year. The risks include the vehicle having a smaller driving range and the small car market declining in popularity. Overall, the presentation concludes the proposal would lead to a cost savings and profit over a 3 to 10 year period.

    Hak Cipta:

    © All Rights Reserved
    Unduh sebagai PPTX, PDF, TXT atau baca online dari Scribd
    Tandai sebagai konten tidak pantas
    dari 7

    AUTO1024 MGMT DESIGN

    AND DEVELOPMENT
    PRESENTATION

    Presented By:
    Clint Johny- s3528355
    Daniel Lambert- s3583918
    Vignesan Ganesan - s3553418
    Jithin Wilson- s3576916
    Karthik Prakash- s3585631
    Kaifeng Liang- s3557410
    CURRENT VEHICLE

    Type Small passenger vehicle


    Engine 4Cyl, 1.8 litre
    Fuel tank capacity 55 litre
    Fuel consumption 7.1 litres per 100km (approximate)
    Driving range 700km (approximate)
    - Vehicle sold only in Australia

    - Currently we are selling 20 000 cars/year

    - Corolla and Mazda3 have a strong


    presence in this market ( together they
    account for 10% total cars sold)

    - Our strategy is to reduce cost of


    production rather than increasing our
    market share
    MARKET BACKGROUND

    - People are driving shorter distances

    - Most people don’t pay a great deal of


    attention to how often they refuel

    - Going from refuelling every 18 days to


    every 14 days would not be a huge
    inconvenience for most

    The new car market in Australia is growing at 2.3 percent/year


    PROPOSED CHANGE

    Current Fuel Tank Proposed Fuel Tank


    Capacity 55 Litres Capacity 40 Litres
    HDPE (5.1kg)
    HDPE (3.6kg)
    Materials EVOH (0.16kg)
    Materials EVOH (0.11kg)
    PVC (0.045kg)
    PVC (0.030kg)
    HDPE = $0.94/kg
    Cost of material+ EVOH = $5.31/kg Cost of material+ Same as previous
    PVC $0.87/kg Total material cost $3.77/ea
    Total material cost $5.19/ea Manufacturing
    Blow Moulding, process Same as previous
    Manufacturing Process
    assembly, installation
    Manufacturing cost
    Manufacturing cost $65 Same as previous
    Initial Cost Nil Initial cost $100 000 (estimated)

    Time to implement < 1 year


    BENEFITS

    Less material

    Proposed tank requires 1.5kg less material


    This results in a material saving of $1.42ea
    Almost $30 000 per year in savings

    Reduced weight

    Better fuel economy by approximately 0.5%

    1g/km reduced CO2 emissions


    RISKS AND RISK MANAGEMENT

    Tank range Small Car Market

    Risk Risk
    - Australia is a pretty big country - Small car market sales down
    compared with recent years
    - May deter would-be customers
    from purchasing vehicle - SUV’s becoming more popular

    Management Management
    - Over 50% of car-owning - Hope for the best?
    households have more than 1 car

    - Larger cars reserved for long


    journeys, Therefore small car not
    required for this
    CONCLUSION

    - Smaller tank = less materials = cost saving


    - ROI of 3 years
    - 5 year profit over $50k
    - 10 year profit just under $30k (over 9000)

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