Production of steel powder by rotating electrode processes: Economic analyses

Powder metallurgy has emerged as a leading near net shape technology because of its efficient use of materials, precise tolerances and suitability for high volume production. As useful and cost effective as the technology is, successful implementation depends on the availability of high quality, low cost metal powders. Technical cost models are useful tools for identifying the cost drivers of a manufacturing process, which can aid manufacturers in minimizing unnecessary costs without impacting negatively the added value of the manufacturing process. The results of a case study are used to identify the manufacturing cost drivers for steel powder production by the rotating electrode process. Sensitivity analyses reveal that there are several areas that could be targeted for reducing manufacturing costs; material cost, batch utilization, helium consumption and process yields proved to have the greatest effect on powder cost.