Estimate of Cost $aving
 
You may be able to achieve tremendous cost savings in areas never noticed before. Just think of the difference in labor costs:  U.S. labor cost is about $40~$50/hour, while in China it is just about $4~5/hour.
Now do your homework and see:
Cost Saving Worksheet
Calculate Cost saving  
Production Volume:
 (pcs/month)
Estimated cycle time* per piece:
 (minute)
Weight per piece:
 (lb)
 
The labor saving you have=$
 (/month)
* Cycle time per piece may include those for design, tooling, manufacturing operations, QC, sort, shipping, warehousing, etc.
Note: The cost here is a rough estimate. It is for your reference only. 
If you see a negative or small cost savings, it is because one or more of the following apply: 
  1. The volume is not high enough.
  2. The part is highly automated and involves less labor time (this maybe due to the high volume leading to high degree of automation). 
  3. There is some fixed cost for importing, so if the volume is too small, the savings would not be  significant or there are no savings. 
In general, the parts that are good for offshore sourcing are higher volume and more labor-intensive. 
 

Disclaimer: The cost savings shown here is a rough estimate in the ideal situation and based on some assumptions. The real cost savings can only be calculated when a specific products with engineering print or samples is evaluated. For a quick and accurate cost saving estimate, please contact us. Thank you.