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Prepare a Cost Time Report (CTR) for each package to calculate the budget in terms of inspection man days required during manufacturing.

 

You can use equipment criticality to assign a factor for calculating man days.

 

For example, for  an equipment with criticality “1” , assign a factor of “1.6”;

 

Now; if the equipment takes 6 months to be manufactured; considering 5 working days per week, you would need 6 X 22 (22 being working days in a month) multiplied by 1.6 (package criticality factor) = 211 man days of inspection.

 

For criticality “2” you can use a factor of “1” and so on.

 

Criticality “3” normally needs a final inspection only; while criticality “4” items are normally inspected at the point of receipt or at site.

 

You may want to add 25% to the total budget to account for uncertainties and any surprises such as:

  •  repeat inspection due to NCR,
  •  cancelled inspection by supplier,
  •  delays,
  •  enhanced inspection due to supplier’s poor performance.

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