Expense, manufacturing-operating

The loss of expensive catalyst from the reactor system can be fatal for any process. Physical loss involves the removal of active catalyst from the closed loop of the process. This can include the plating out of metal or oxides on the internal surfaces of the manufacturing plant, failure to recover potentially active catalyst from purge streams and the decomposition of active catalyst by the process of product recovery. The first two can be alleviated to some extent by improvements in catalyst or process design, the last is an intrinsic problem for all manufacturing operations and is the subject of this book. 

Environmental Control Expense Wastes from manufacturing operations must be disposed of in an environmentally acceptable manner. This direct expense is borne by each manufacturing department. Some companies have their own disposal facilities, or they may contract with a firm that handles the disposal operation. However the wastes are handled, there is an expense. Published data are found in the open literature, some of which have been published by Couper (2003k... 

Fixed capital investment Working capital requirements Total capital investment Total manufacturing expense Packaging and in-plant expense Total product expense General overhead expense Total operating expense Marketing data Cash flow analysis Project profitability Sensitivity analysis Uncertainty analysis... 

To operate the chemical plant, some direct expenses must be sustained. Manufacturing costs are the expenses connected with the manufacturing operation of the process plant. These costs can be divided into direct production costs, fixed charges, plant overhead costs and general expenses. Direct manufacturing costs are expenses strongly associated with the manufacturing operations. 

Most solid propellants are limited in their performance by the amount of solid oxidizer that can be added. The addition of too much solids makes the cured propellant brittle and causes complicated manufacturing difficulties because of the very viscous mix in the uncured state. The blending of the oxidizer in the viscous polymer before curing can be an expensive plant operation. 

The cost of manufacturing a product includes the manufacturing cost, overhead, and general expenses. Manufacturing cost includes direct expenses and consists of the cost of raw material, containers, operator and labor costs, and utilities (like electricity, steam, water, fuel, etc.). This cost will depend on the production quantity. In contrast, overhead cost will be constant irrespective of the quantity of material that is being manufactured. Overhead cost may include expenses such as employee salaries, medical services, administration, insurance, depreciation, taxes, etc. General expenses consist of freight and delivery, sales, and R D expenses. 

All expenses directly connected with the manufacturing operation or the physical equipment of a process plant itself are included in the manufacturing costs. These expenses, as considered here, are divided into three classifications as follows (1) direct production costs, (2) fixed charges, and (3) plant-overhead... 

Direct production costs include expenses directly associated with the manufacturing operation. This type of cost involves expenditures for raw materials (including transportation, unloading, etc.,) direct operating labor supervisory and clerical labor directly connected with the manufacturing operation plant maintenance and repairs operating supplies power utilities royalties and catalysts. 

From a practical viewpoint, no manufacturing operation can be considered a success until the products have been sold or put to some profitable use. It is necessary, therefore, to consider the expenses involved in selling the products. Included in this category are salaries, wages, supplies, and other expenses for sales offices salaries, commissions, and traveling expenses for salesmen shipping expenses cost of containers advertising expenses and technical sales service. 

The fermentative process described above is not very atom-efficient - approx. 1 kg of calcium sulfate is formed per kg of lactic acid - and is expensive to operate due to the laborious DSP. It was good enough to compete, at times precariously, with the chemical manufacture of lactic acid [35] but extensive innovations were required to elevate lactic acid to commodity status. 

These scale-up issues present some of the more difficult challenges in crystallization processes, as they do for other engineering operations. In most cases, the products obtained may be handled but with increased capital and operating expense for the cumbersome downstream operations. These costs may exceed those of the other steps in a manufacturing operation. In extreme cases, the products may be unsuitable for commercial use because of the poor physical properties discussed above. 

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