Conveyors worked example

Andon Response Time Cost with units lost during andon delay of 240 units: a worked example

What does the result look like when units lost during andon delay reaches 240 units? The full calculation is worked below with real intermediate numbers. a production manager needs to quantify the cost of slow response to line-down andon calls

The inputs for this scenario

  • Units lost during andon delay: 240 units (raised for this scenario; the documented default is 95)
  • Value per delayed or lost unit: 6.4 $ / unit (unchanged)
  • Standing labor during response delay: 210 $ (unchanged)
  • Escalation, scrap, or expedite adders: 125 $ (unchanged)

Working through the calculation

  • Applying the documented formula (Andon delay cost = lost units × value per unit + standing labor + escalation adders) to the inputs above produces each figure below.
  • At this operating point the engine returns 1,871 $ / event for andon response delay cost, the number this scenario is built around.
  • At this operating point the engine returns 7.8 $ / unit for cost per lost unit.
  • At this operating point the engine returns 1,536 $ for lost unit value.
  • At this operating point the engine returns 335 $ for labor and escalation adders.

How this compares with the baseline

  • Against the tool's baseline example, where units lost during andon delay sits at 95 units and the headline result is 943 $ / event, this scenario comes in 98.41% above the baseline at 1,871 $ / event.
  • A figure at this level is achievable when units lost during andon delay is genuinely sustained, not just peaked for a shift. It prices a single representative event; multiply by event frequency, and recheck the inputs, before drawing annual conclusions.

Results at a glance

  • Andon response delay cost: 1,871 $ / event (headline result)
  • Cost per lost unit: 7.8 $ / unit
  • Lost unit value: 1,536 $
  • Labor and escalation adders: 335 $

Run it with your numbers

  • Every input above is editable in the live Andon Response Time Cost calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.