Want to determine components of mold cost:
1. Split cost components;
2. Determine calculation formula for cost components;
3. Determine source and accuracy of data;
4. Form a model based on previous steps.
Standardized mold cost accounting method:

 

From perspective of cost structure of mold processing, whether it is design costs, material costs, profits and management expenses, or debugging transportation costs and standard parts costs, as long as you patiently collect data and calculate carefully, it is relatively easy to identify and calculate; the most difficult part of mold processing cost is processing fee, which is also the most expensive part for manufacturers. During processing process, from initial rough machining to subsequent finishing machining, then to subsequent EDM, wire cutting, polishing, etc., it is still difficult to identify corresponding costs for labor and mold investment if you are not a person with relevant work experience. However, you can know approximate cost structure of this type of parts by learning from experience among different suppliers and summarizing.
Mold supply chain model:
There is a corresponding time period during mold manufacturing and processing. Through time period and manufacturing process, looking for average price on the market to make an estimate can get rid of a certain amount of water. For example, some positions are in double shifts and some positions are in single shifts. Based on details given by supplier, we can check whether processing time matches, then infer supplier's cost structure.
 
Only by understanding supplier's supply chain and knowing his supplier's cost level can you know supplier's cost level. Generally speaking, traditional mold factories have three profit points: material fees, processing fees and management fees; therefore, you must have an understanding of price of raw materials.
Cost of die-casting molds consists of following components:
1. Design costs;
2. Material costs;
3. Processing costs;
4. Management and labor costs;
5. Inspection fees;
6. Mold trial costs;
7. Transportation costs;
8. After-sales expenses;
9. Taxes
Material costs and design costs are relatively visible. Other costs such as manufacturing costs, debugging, transportation, verification, management costs, profits, and others are black boxes, and a mold cost accounting mechanism should be established. Supply chain information sharing level needs to be further strengthened: such as design change information, demand forecast, etc.
 
Cost of a mold basically includes above 9 parts of cost. Generally, mold factory will also include auxiliary expenses of about 5% of mold cost, and the rest is profit part of mold.

It is closely related to labor costs, so it is necessary to understand wage levels in region where supplier is located to better estimate labor costs. Mold design generally includes CAD structural design & 2D drawings, CAE mold flow analysis and CAM programming. But when considering mold design costs, we usually only consider costs of CAD and CAE.
Design fee generally depends on size and complexity of mold. In fact, quotations quoted by mold factory are different. In Ningbo, large molds generally account for 2% of the total cost, and small mold design costs are 2.5% to 3%. Generally, salary of a mold design engineer is about 8K~12K. A large mold factory with more than 10 years of experience can get between 15W~25W, and a technical director can get more than 30W.
Design generally includes CAD structural design & 2D drawings, CAE mold flow analysis, and CAM production department programming.

Materials of die-casting mold mainly include cost of mold base (base) and mold core (core). Mold bases are divided into homemade mold bases and standard mold bases. Since the larger tonnage of mold, the greater travel requirements for processing equipment of mold base, so most mold factories purchase outsourced mold bases and purchase standard mold bases.
 

Note: Imported 8418 is generally 35% more expensive than domestically produced, imported H13 is basically more than 40% more expensive than domestically produced. Small molds have little impact on price due to small weight of inserts. However, price difference between medium and large molds will increase. According to empirical data, price of molds using imported materials will be 15-20% higher than using domestic materials.
The greater tonnage of mold, the larger mold base. Generally, the larger mold base, the lower cost. Cost is calculated directly according to weight, but gap between mold feet must be removed. base materials are generally 45#, 50#, and 55# steel. Cost of 50# steel base is 12~13 yuan/Kg.
Material of mold base is selected according to design life of die-casting mold. Since mold life of aluminum alloy is generally 80,000 to 100,000 mold times, mold base can be reused to meet life span of 30W to 40W. Therefore, we need to consider reuse of mold bases in our daily copying of molds.
Generally, die-casting mold cores are H13, SDK61, 2344, 8407, etc.
But they are actually same brand with similar ingredients. Difference lies in the control of content of impurities (S, P, etc.), which results in different thermal fatigue endurance.

 

Mold number of soft mold is very low, only a few hundred mold times. You can not use mold base and directly use mold core material instead.
Main material cost is cost of mold base and mold core. It should be noted that if mold life has expired and you are ready to make a replica mold, you need to identify whether mold base can be reused; if it can be reused, cost of replica molds can be significantly reduced. Heat treatment cost: For die-casting molds, heat treatment cost is also a big part, including cost of quenching and tempering, vacuum quenching, nitriding and other steps. Specific cost depends on size of supplier. SWPH13 Beilun Xingbo is about 8 yuan, and there is a discounted price of 6~6.5 yuan/Kg at annual volume conference; nitriding treatment is 2~3 yuan/Kg; material of ASSAB is about 25 yuan, and negotiated price is about 17 yuan.
Raw material information sources and tracking management:
Collect raw material prices through professional websites.
Regular updates, such as monthly updates.

including machine tools, spark machines, wire cutting and other equipment costs and labor costs such as mold matching and polishing. Generally, processing cost of mold cannot exceed 20% of the entire mold cost.
 

It mainly conducts process inspection and subsequent factory inspection on key dimensions of mold, electrodes, and core. Inspection cost accounts for 1-2% of the total cost.

Generally, constant internal indicator of mold companies is 2 mold trials. Trial fee for molds below 800T is 1-1.5%; trial fee for molds above 800T is 2%. Trial mold cost of aluminum alloy die-casting is relatively cheap, while trial mold cost of magnesium alloy die-casting will be higher, because magnesium alloy has higher safety performance requirements for materials; unit price of magnesium alloy materials is higher; furnace with magnesium alloy die-casting is different from that of aluminum alloy. It should be noted that number of mold trials should generally not exceed 3 times. If it exceeds 3 times, mold trial costs should be borne by mold factory itself, because this is due to problems with their molds that require multiple mold trials. In addition, parameters of equipment must be adjusted accurately to ensure smooth mold testing.
Transportation cost depends on geographical distribution of customer, generally 0.5%, and 1.5% for long distances. Molds are heavy goods, and only one mold may be installed in one truck during a single shipment, so transportation cost will be higher.

After-sales service fees generally account for 5%, except for molds with special requirements.
Generally, company will bear 9% of tax after removing material deduction.
Above costs can basically represent quotations of 90% of Ningbo mold companies, and general gross profit is 15%-18%.
Excluding equipment depreciation, bank loans, pension insurance and other factors, a mold company can guarantee a net profit of 5%-8%, which is quite good.