A Feature-Based Semantic Model for Automatic Product Cost Estimation

Abstract

Abstract-To address the requirement of dynamic pricing and cost control in high-variation product manufacturing, nowadays many companies face the problem of generating quotes and order prices timely, accurately and consistently. A generic semantic model for the purpose of automatic cost estimation is proposed, in which a new concept named cost feature, is suggested. A cost feature can be identified with data mining methods for different targeted clients or products, and conceptually interfaced with product design and manufacturing features. Feature-based mapping model is used to determine feature scope and cost level defined, including all the dependency relations with other domain features. This model is expected to enable a visual, flexible and semantically consistent scheme to address effective and efficient product cost structures, frequent configuration variations and business changes. A case study is used to illustrate this new method. The preliminary study shows that the proposed method is potentially effective for manufacturers.Index Terms-Cost estimation, semantic modeling, product pricing, associative feature, cost feature. I. INTRODUCTIONIn today's competitive world and the on-line business era, effective and timely cost estimation has a critical role in manufactory's success. In terms of practical applications, industry needs to quickly estimate the price for any new product configuration in a customer order either interactively or automatically by on-line applications. High cost estimation accuracy at the very early stage and effective cost control during the operation phase are essential for the smooth business operation. Quick and accurate cost estimation brings lots of advantages over competitors. Cost estimation can also affect all aspects of production processes and management decisions, such as choosing between producing the product components in-house or outsourcing the product.There have been a number of researchers who studied on accurate cost estimation for manufacturing products which in turn is a part of cost engineering. Cost engineering also defines the process and conditions for forecasting a product's price [1]. There are also lots of methods and tools for doing Manuscript received April 10, 2013; revised July 10, 2013 cost estimation. In general, cost estimation methods have two main categories: traditional and advanced approaches. Traditional cost estimation approach includes bottom-up engineering, analogy, and parametric methods. This approach is fundamentally based on historical data and experience knowledge.Advanced cost estimation approach includes expert judgment, feature-base evaluation, fuzzy logic, neural networks and data mining (DM) methods. This approach is more suitable for complex product and dynamic cost estimation [2]. Cost estimation can be carried out in each stage of a product life cycle, such as conceptualization, concept design, detailed design, prototyping and manufacture. Many researches recognize that up to 80% of the product cost is determined at the concept...

A hybrid cost estimation framework based on feature-oriented data mining approach

“…The initial input of the cost estimation system is the historical data, which is usually available in many companies but in different table forms. To unify the data structures and create a characteristic representation of cost components and calculation algorithms associated, a new feature-based cost estimation model has been introduced by authors [22,23].…”

“…As described in the previous publications [22,23], a cost feature is a set of an object's characteristic attributes and their related functions and servicing methods, which can be associated and constrained to represent the pattern of semantics for the purpose of cost engineering. The cost feature has to consider the variety of cost-related information aspects including quality, operation sequence and time, design, equipment, materials, functions of application, and geometry and non-geometry details, such as tolerance, surface finish, and working allowance.…”

Cost Estimation Aided Software for Machined Parts: An Hybrid Model Based on PLM Tools and Data

“…But the existing models often rely too much on mathematical models and are not prone to be customized to the needs of a given company. Recent research papers show a new trend to get quicker and more precise results by combining several approaches as shown in [11]. As studied in [9], theses new methods provide more promising results and are also increasingly based on the new capabilities of data treatments, semantic researches or machine learning for instance [6][7][8][9][10][11][12][13][14][15][16][17][18].…”

Interoperability Challenges of ERP Implementation in a Collaborative Manufacturing Environment

“…Fourth, develop generic and feature-based cost engineering functionality [9,10]. If the access to precise product and process information for fulfilling potential orders is available, companies can utilize necessary optimization strategies to work out the accurate and timely cost and delivery schedule estimation.…”