Creating A Cost Model for Capital Equipment
Brose is a global supplier of automotive systems for seats, doors, and drives. This project created a cost model for capital equipment that provides the engineering and purchasing departments a transparent method of approximating the investment required to create a new product or expand production capabilities. It improves productivity, establishes a solid basis for cost of capital and value-added services, and provides a knowledge base for new engineers and buyers to understand equipment costs.
Thomas Barlow – Master of Science Mechanical Engineering
Nirav Suraiya – Master of Business Administration
Markus Gehrig – Manager of Production Equipment Purchasing
Joseph LaRussa – Director of Industrial Engineering, Seats Division
John Branch – Ross School of Business
Robert Inman – College of Engineering
About Tauber Team Projects:
The 2019 Tauber Team Projects resulted in $390.3 million in savings according to sponsoring company calculations, an average of $30 million per project over three years.
Each two to three person Tauber Team consists of graduate engineering and graduate business students. Along with receiving high-level corporate support from the sponsoring company, each team is advised by a College of Engineering and a Ross School of Business faculty member and overseen by a Tauber Institute Co-Director. The projects begin on-site in May and continue for 14 weeks. Students present the results of their projects and compete for over $40,000 in scholarships at the U-M Tauber Institute's annual Spotlight! Event held each September in Ann Arbor, Michigan. Spotlight! provides outstanding opportunities for students and corporate partners to establish relationships while exploring innovations in operations and manufacturing.