NPI, DFM/DFA & Engineering Change worked example

DFM Savings at 86% implementation capture: a worked example

This scenario runs the dfm savings calculation on the strong side: 86% implementation capture, with every other input held at its documented default. A manufacturing engineer building the business case for a DFM redesign that removes process steps from a high-volume part.

The inputs for this scenario

  • Annual Production Volume: 60,000 units/yr (unchanged)
  • Savings Per Unit: 0.95 $/unit (unchanged)
  • Implementation Capture: 86 % (raised for this scenario; the documented default is 75)
  • DFM Implementation Cost: 18,000 $ (unchanged)

Working through the calculation

  • Applying the documented formula (Net DFM benefit = annual volume x savings per unit x capture% + implementation cost) to the inputs above produces each figure below.
  • At this operating point the engine returns 67,020 $ for total dfm savings cost, the number this scenario is built around.
  • At this operating point the engine returns 1.12 $ / piece for dfm savings cost per unit.
  • At this operating point the engine returns 49,020 $ for variable dfm savings cost.
  • At this operating point the engine returns 18,000 $ for fixed dfm savings adder.

How this compares with the baseline

  • Against the tool's baseline example, where implementation capture sits at 75% and the headline result is 60,750 $, this scenario comes in 10.32% above the baseline at 67,020 $.
  • Use it when deciding whether a proposed DFM change pays for itself, and to rank competing redesign ideas by net annual return. Treat this as a target state: the delta against the baseline quantifies what the improvement is worth before you commit to chasing it.

Results at a glance

  • Total dfm savings cost: 67,020 $ (headline result)
  • Dfm savings cost per unit: 1.12 $ / piece
  • Variable dfm savings cost: 49,020 $
  • Fixed dfm savings adder: 18,000 $

Run it with your numbers

  • Every input above is editable in the live DFM Savings calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.