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Domain Logic Specification

Detailed technical logic for all MfgIQ costing components.


Technical Specifications

Module Documentation Key Logic Covered
BOM BOM Setup Part hierarchy, technical specs, and assembly structure
Material Material Costing Gross/Net weight, Yield %, and RM Rates
Operations Operations & Routing Setup/Cycle time, MHR, and Batch logic
Scrap Scrap & Yield Cascading scrap and compounding losses
Outside Outside Processes Lot charges, per-kg rates, and logistics
Overheads Overheads Factory and Admin overhead allocation
Logistics Logistics & Packaging Packaging standards, shipping terms, freight
NRE NRE & Tooling Tooling costs, prototyping, proration logic
Transparency Explainability Framework Data lineage and mathematical transparency
Governance Manual Overrides Justification logs and approval workflows
History Versioning Immutable snapshots and revision control
Maturity Costing Maturity The journey from First Guess to Final Sample
Principles System Invariants The core 3 rules and design philosophy
"Nit-Picks" Implicit Specification Rounding, UOM, and technical edge cases
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Core Costing Formula

All costing in CostEngine follows a standardized, defendable formula to ensure mathematical transparency.

\text{Total Cost} = \text{BOM} + \text{Sourcing} + \text{Processing} + \text{Overheads}

Breakdown:

  1. BOM (Bill of Materials): The cost of all technical components and raw materials defined in the BOM setup.
  2. Sourcing: Costs associated with outside processes (heat treatment, plating) and bought-out items.
  3. Processing: Internal manufacturing costs derived from routing (MHR × Time).
  4. Overheads: Factory loading, administrative costs, and contingency margins.

Documentation Goals

The goal of this section is to provide unambiguous rules for developers and transparent logic for estimators.

Why this matters

We didn't just build this to crunch numbers. We built it to:

  1. End the "Estimator Variance": No matter who quotes the part, the math should be identical.
  2. Win the Negotiation: When a customer asks "Why?", you have the proof right there in the logic.
  3. Save your "Tribal Knowledge": Move the formulas out of people's heads and into a system everyone can use.

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