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1. Request for price reduction: the vehicle company requires the harness supplier to reduce the price.

Harness quality decreased (new employees, replaced with cheap and shoddy parts, increased output (increased defective products))

2. Bidding (cost and supplier capability)

Supplier capability:

(1) Product price

(2) Production and supply capacity (quantity, location)

(3) Product quality

(4) Purchase ability of parts (improvement of quantity and purchase method)

(5) Design capability (harness design capability, design quality)

(6) Harness test (quality, performance, durability and reliability)

Price=harness parts cost production cost design cost management cost

3. Reduce costs through design

(1) Use of cheap parts: quality decline, durability and reliability decline.

(2) Use of very thin wires: increase the crimping cost due to easy wire breakage.

(3) Use of aluminum conductor: unstable wire supply and increased crimping cost.

(4) Use of multiple communications: electronic products (modules) increase and costs increase.

4. Reduce production costs

(1) The skilled workers were replaced by new employees.

(2) Change production location: move to mainland China.

(3) Move to overseas production: Southeast Asia.

(4) Use automation instead of manual work.

(5) Lean production.

2、 Cost analysis of harness

1. The connotation of harness cost

Wire - 30% ordinary wire, heat-resistant wire, special wire

Parts - 30% terminal, connector, rubber ring, protector

Processing cost - 30% cutting and crimping, insertion, assembly, inspection, labor cost

Management and sales expenses - 10% of various other expenses (design expenses, etc.)

2. Key points of cost reduction

Wire cost - copper core cost accounts for 80% and resin sheath cost accounts for 20%. It is cheaper to use thin thread.

Parts - PVC tape<cloth tape, it will be cheaper to use PVC tape.

Processing cost - processing time × Labor cost=processing cost

Carry out production or automation in places with low labor costs to reduce staff costs and processing time.

3、 Reduce costs through harness design

1. Reduce wire diameter

(1) Designed according to rated current value: (European and American series) (Japanese series) FUSE 15A downstream 0.75SQ

(2) According to FUSE fuse design: (Japanese) FUSE 15A downstream 0.5SQ

Key words: maximum allowable current of wire

● Heat-resistant temperature, FUSE fusing characteristics, voltage drop

● Allowable current value and impulse current value of wires

● Wire smoke characteristics and rated current

2. Optimal component configuration and wiring

Re-discuss BCM, SW configuration - right BCM - left BCM CPU (body control module)

Undo duplicate path:

3 routes from the front cabin to the interior - 2 routes or 1 route

Left and right path of body harness - left path and right door harness

3. Absorb the difference between high and low matching

Other basic configurations

Top configuration - advanced equipment: very cheap basic harness advanced equipment

4、 Cut the cost of harness production - the whole vehicle company and the harness company all benefit

1. Reduce labor costs

(1) Change of production location: Vietnam, Myanmar, Cambodia, inland China

(2) Professionals: new employees, simplified operation (operation standard), reduction of protective parts, abolition of double lock, reduction of back insertion rate, and reduction of articulation

(3) Automatic production: fully automatic production until the wire is put into, cut off, crimped, inserted and sub-packed.

2. Reduce 7 major wastes (lean production):

Eliminate the waste of excessive production, excessive inventory, waiting, processing, redundant actions, handling, defective products and rework.

3. Use cheap and high-quality raw materials:

(1) Replace cheap raw materials.

(2) Product quality decline: negotiate with the supplier again and purchase together. Raw materials are supplied by the main engine factory to the harness factory.

5、 Summary

Reduce harness costs

1. Reduce copper content of wires

2. Reduce the length and number of wires (increasing multiple communication will increase vehicle cost, reduce wiring harness and increase CPU)

3. The cheapest design

4. Design wiring harness that is easy to produce (anyone can produce it, and machinery can also produce it)

5. Enterprises implement lean production