The client is a global company that manufactures and distributes a range of large-scale industrial screw air compressors. Their new compressor utilised a new PMSyncRel motor whose design did not achieve the expected cost target - Pacellico was engaged to review the design and find solutions to reduce the cost by 20%.
Client situation
The client had designed a new air compressor which employed a bespoke water-cooled high-output permanent magnet motor. The final motor cost exceeded the target cost by 20%; additionally, a full DFM process had not been initiated.
Our approach
The new design was analyzed at the component level to determine the principal cost drivers and initiate a full review of the proposed component suppliers. A technical sourcing activity down to the raw material level was conducted globally, resulting in a TCO net improvement of 23%.
Solution and outcome
- CR of 23% for the motor assembly delivering a potential cost saving of USD 1.2M/year
- Transfer of critical components from local suppliers to global sources
- Savings of 23% resulting in USD 70k margin improvement
- 100% capacity increase
- Transfer of production to fit-for-purpose suppliers based in CEE and SE Asia
* Permanent Magnet Synchronous Reluctance (PMSyncRel)