How companies can reduce SMT assembly costs

Presently, China has become the manufacturing plants worldwide. Facing the market competition, how to continuously improve product quality, reduce the product cost, improve the efficiency, and shorten lead times is a major part of manufacturing company management.

SMT is surface assembly technology, which is one of the most popular technologies and techniques in the electronic assembly industry at now.

SMT basic process flow includes: stencil printing( or dispensing), Solder Paste Testing, mounting,

Curing, reflow soldering, test, repair.

Firstly, the composition of SMT production cost.

Product production cost is the actual consumption of direct materials in the production process, direct labor, Including costs due to product quality problems, and the sum of other direct or indirect costs. In the questionnaire of the production cost composition for SMT enterprises, the proportion is: equipment and maintenance account for 40% ~43% of the total cost, material loss accounts for 19%~22%, product repair and maintenance costs accounted for 17% ~ 21%, labor costs accounted for 15% ~ 17% of SMT total cost, other costs accounted for 2%. From the above, SMT production costs are mainly concentrated in equipment and other fixed assets, repair and maintenance costs, loss of raw materials and scrap, as well as SMT production material costs. Therefore, we can start from the above aspects to reduce production costs.

Secondly, reduce costs from five aspects of cost.

After understanding the cost composition of production, waste in production, and bottlenecks, we can control and manage them in a targeted manner to achieve the purpose of reducing costs.

  1. Equipment: in production, it is necessary to improve the efficiency of equipment operation. For large orders, we can operate for 24 hours. The placement machine should use non-stop refueling methods to reduce the waste of time caused by refueling.
  2. Materials: we should reduce loss and waste, accurately calculate the materials used in each batch of products, and control consumption to the minimum under the premise of ensuring quality.
  3. In terms of quality cost: strengthen quality management, especially for product prevention, which can better control the cost of repair and maintenance.
  4. Labor cost: According to the method of IE, we can “cancel, merge, rearrange, simplify” to existing production personnel, production processes, and on-site layouts that are unreasonable, uneconomical, and unbalanced.
  5. In terms of operating methods: make the good production plan, formulate standard working hours, standard operations and main procedures must have process regulations or work instructions, and the workers should strictly follow the process documents to operate. 

In addition, we can also reduce costs from the PCBA production site, such as: improving production quality, improving productivity, strengthening inventory management, shortening the production line, increasing utilization and increasing machine efficiency.

PCBFuture’s PCB Assembly service adopts the advanced management mode, combines the process, quality control, components soucing cycle management, and import the 5S, IE, JIT operation methods, improves production efficiency, optimizes the entire production process, and reduces production costs to the lowest level. To improve the competitiveness of enterprises. 


Post time: Oct-20-2020