NPI, DFM/DFA & Engineering Change worked example

Launch Delay Cost at 50% unrecoverable share: a worked example in npi, dfm/dfa & engineering change

This worked example runs the launch delay cost numbers for a tougher week than the baseline: 50% unrecoverable share instead of the typical 70%. Estimate the cost of a launch slip from delay duration, weekly margin lost, the unrecoverable share, and expedite cost.

The inputs for this scenario

  • Delay duration: 6 weeks (held at the documented default)
  • Margin lost per week: 18,000 $ / week (held at the documented default)
  • Unrecoverable share: 50 % (the input this scenario stresses; the baseline uses 70)
  • Expedite and rework cost: 12,000 $ (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: Total launch delay cost = delay weeks × margin lost per week × unrecoverable share + expedite and rework cost.
  • Total launch delay cost works out to 66,000 $ at these inputs, and this is the headline figure for the scenario.
  • Launch delay cost per unit works out to 11,000 $ / piece at these inputs.
  • Variable launch delay cost works out to 54,000 $ at these inputs.
  • Fixed launch delay cost adder works out to 12,000 $ at these inputs.

How this compares with the baseline

  • Against the tool's baseline example, where unrecoverable share sits at 70% and the headline result is 87,600 $, this scenario comes in 24.66% below the baseline at 66,000 $.
  • Use it during a schedule slip, an engineering change review, or a make-vs-pay-to-recover decision to quantify the cost of being late before you authorize recovery spend. A result at this level usually justifies acting on the stressed input before touching anything else, because every other figure in the table is downstream of it.

Results at a glance

  • Total launch delay cost: 66,000 $ (headline result)
  • Launch delay cost per unit: 11,000 $ / piece
  • Variable launch delay cost: 54,000 $
  • Fixed launch delay cost adder: 12,000 $

Run it with your numbers

  • To rerun this with your own numbers, open the live Launch Delay Cost calculator, set unrecoverable share to your actual value, and adjust the remaining inputs to match your operation.

Last reviewed 2026-05-12.