Heat Treatment, Furnaces & Thermal Processing worked example

Heat Treat Cost per Part at 110% cost capture percent: a worked example

What does the result look like when cost capture percent reaches 110%? The full calculation is worked below with real intermediate numbers. Use it when quoting outsourced or in-house annealing, hardening, tempering, stress relieving, carburizing, or nitriding work by part.

The inputs for this scenario

  • Finished parts in heat treat lot: 500 parts (unchanged)
  • Heat treat cost rate: 2.75 $ / part (unchanged)
  • Cost capture percent: 110 % (raised for this scenario; the documented default is 100)
  • Fixed batch or certification adder: 250 $ (unchanged)

Working through the calculation

  • Applying the documented formula (Captured heat treat lot cost = finished parts × heat treat cost rate × cost capture percent) to the inputs above produces each figure below.
  • At this operating point the engine returns 1,763 $ for total heat treat lot cost, the number this scenario is built around.
  • At this operating point the engine returns 3.53 $ / part for heat treat cost per part.
  • At this operating point the engine returns 1,513 $ for captured variable heat treat cost.
  • At this operating point the engine returns 250 $ for fixed batch or certification adder.

How this compares with the baseline

  • Against the tool's baseline example, where cost capture percent sits at 100% and the headline result is 1,625 $, this scenario comes in 8.46% above the baseline at 1,763 $.
  • A figure at this level is achievable when cost capture percent is genuinely sustained, not just peaked for a shift. It models a flat per-part rate and one fixed adder, so it will not reflect furnace load limits, fixture costs, energy surcharges, or scrap and rework from out-of-spec hardness unless you build those into the inputs.

Results at a glance

  • Total heat treat lot cost: 1,763 $ (headline result)
  • Heat treat cost per part: 3.53 $ / part
  • Captured variable heat treat cost: 1,513 $
  • Fixed batch or certification adder: 250 $

Run it with your numbers

  • Every input above is editable in the live Heat Treat Cost per Part calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.