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Non-recurring Engineering
Non-recurring engineering (NRE) cost refers to the one-time cost to research, design, develop and test a new product or product enhancement. When budgeting for a new product, NRE must be considered to analyze if a new product will be profitable. Even though a company will pay for NRE on a project only once, NRE costs can be prohibitively high and the product will need to sell well enough to produce a return on the initial investment. NRE is unlike production costs, which must be paid constantly to maintain production of a product. It is a form of fixed cost in economics terms. Once a system is designed any number of units can be manufactured without increasing NRE cost. NRE can be also budgeted and paid via another commercial term called Royalty Fee. The Royalty Fee could be a percentage of sales revenue or profit or combination of these two, which have to be incorporated in a mid to long term agreement between technology supplier and the OEM. In a project-type (manufacturing) ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Research
Research is creative and systematic work undertaken to increase the stock of knowledge. It involves the collection, organization, and analysis of evidence to increase understanding of a topic, characterized by a particular attentiveness to controlling sources of bias and error. These activities are characterized by accounting and controlling for biases. A research project may be an expansion of past work in the field. To test the validity of instruments, procedures, or experiments, research may replicate elements of prior projects or the project as a whole. The primary purposes of basic research (as opposed to applied research) are documentation, discovery, interpretation, and the research and development (R&D) of methods and systems for the advancement of human knowledge. Approaches to research depend on epistemologies, which vary considerably both within and between humanities and sciences. There are several forms of research: scientific, humanities, artistic, eco ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Design
A design is the concept or proposal for an object, process, or system. The word ''design'' refers to something that is or has been intentionally created by a thinking agent, and is sometimes used to refer to the inherent nature of something – its design. The verb ''to design'' expresses the process of developing a design. In some cases, the direct construction of an object without an explicit prior plan may also be considered to be a design (such as in arts and crafts). A design is expected to have a purpose within a specific context, typically aiming to satisfy certain goals and constraints while taking into account aesthetic, functional and experiential considerations. Traditional examples of designs are architectural and engineering drawings, circuit diagrams, sewing patterns, and less tangible artefacts such as business process models.Dictionary meanings in the /dictionary.cambridge.org/dictionary/english/design Cambridge Dictionary of American English at /www. ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Research And Development
Research and development (R&D or R+D), known in some countries as OKB, experiment and design, is the set of innovative activities undertaken by corporations or governments in developing new services or products. R&D constitutes the first stage of development of a potential new service or the production process. Although R&D activities may differ across businesses, the primary goal of an R&D department is to new product development, develop new products and services. R&D differs from the vast majority of corporate activities in that it is not intended to yield immediate profit, and generally carries greater risk and an uncertain return on investment. R&D is crucial for acquiring larger shares of the market through new products. ''R&D&I'' represents R&D with innovation. Background New product design and development is often a crucial factor in the survival of a company. In a global industrial landscape that is changing fast, firms must continually revise their design and range of ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Physical Test
A physical test is a qualitative or quantitative procedure that consists of determination of one or more characteristics of a given product, process or service according to a specified procedure.ASTM E 1301, Standard Guide for Proficiency Testing by Interlaboratory Comparisons Often this is part of an experiment. Physical testing is common in physics, engineering, and quality assurance. Purposes Physical testing might have a variety of purposes, such as: * if, or verify that, the requirements of a specification, regulation, or contract are met * Decide if a new product development program is on track: Demonstrate proof of concept * Demonstrate the utility of a proposed patent * Provide standard data for other scientific, engineering, and quality assurance functions * Validate suitability for end-use * Provide a basis for Technical communication * Provide a technical means of comparison of several options * Provide evidence in legal proceedings Performance testing Some physical ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Budget
A budget is a calculation plan, usually but not always financial plan, financial, for a defined accounting period, period, often one year or a month. A budget may include anticipated sales volumes and revenues, resource quantities including time, costs and expenses, environmental impacts such as greenhouse gas emissions, other impacts, assets, Liability (financial accounting), liabilities and cash flows. Companies, governments, families, and other organizations use budgets to express strategic planning, strategic plans of activities in measurable terms. Preparing a budget allows Company, companies, Public authority, authorities, private entities or Family, families to establish priorities and evaluate the achievement of their objectives. To achieve these goals it may be necessary to incur a Deficit spending, deficit (expenses exceed income) or, on the contrary, it may be possible to save, in which case the budget will present a Surplus (economics), surplus (income exceed expense ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Profit (accounting)
Profit, in accounting, is an income distributed to the ownership , owner in a Profit (economics) , profitable market production process (business). Profit is a measure of profitability which is the owner's major interest in the income-formation process of market production. There are several profit measures in common use. Income formation in market production is always a balance between income generation and income distribution. The income generated is always distributed to the Stakeholder (corporate), stakeholders of production as economic value within the review period. The profit is the share of income formation the owner is able to keep to themselves in the income distribution process. Profit is one of the major sources of economics , economic well-being because it means incomes and opportunities to develop production. The words "income", "profit" and "earnings" are synonyms in this context. Other terms See also * Gross income * Net profit * Profitability index * Rate ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Cost-of-production Theory Of Value
In economics, the cost-of-production theory of value is the theory that the price of an object or condition is determined by the sum of the cost of the resources that went into making it. The cost can comprise any of the factors of production (including labor, capital, or land) and taxation. The theory makes the most sense under assumptions of constant returns to scale and the existence of just one non-produced factor of production. With these assumptions, minimal price theorem, a dual version of the so-called non-substitution theorem by Paul Samuelson, holds.Y. Shiozawa, M. Morioka and K. Taniguchi 2019 ''Microfoundations of Evolutionary Economics'', Tokyo, Springer. Under these assumptions, the long-run price of a commodity is equal to the sum of the cost of the inputs into that commodity, including interest charges. Historical development of the theory Historically, the best-known proponent of such theories is probably Adam Smith. Piero Sraffa, in his introduction to the firs ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Economics
Economics () is a behavioral science that studies the Production (economics), production, distribution (economics), distribution, and Consumption (economics), consumption of goods and services. Economics focuses on the behaviour and interactions of Agent (economics), economic agents and how economy, economies work. Microeconomics analyses what is viewed as basic elements within economy, economies, including individual agents and market (economics), markets, their interactions, and the outcomes of interactions. Individual agents may include, for example, households, firms, buyers, and sellers. Macroeconomics analyses economies as systems where production, distribution, consumption, savings, and Expenditure, investment expenditure interact; and the factors of production affecting them, such as: Labour (human activity), labour, Capital (economics), capital, Land (economics), land, and Entrepreneurship, enterprise, inflation, economic growth, and public policies that impact gloss ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Reserve (accounting)
In financial accounting, reserve always has a credit balance and can refer to a part of shareholders' equity, a liability for estimated claims, or contra-asset for uncollectible accounts. A reserve can appear in any part of shareholders' equity except for contributed or basic share capital. In nonprofit accounting, an "operating reserve" is the unrestricted cash on hand available to sustain an organization, and nonprofit boards usually specify a target of maintaining several months of operating cash or a percentage of their annual income, called an operating reserve ratio. Types of reserves in accounting treatment There are different types of reserves used in financial accounting, including capital reserves, revenue reserves, statutory reserves, realized reserves, unrealized reserves. Equity ''reserves'' are created from several possible sources: * Reserves created from shareholders' contributions, the most common examples of which are: ** ''legal reserve fund'' – it is requ ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Product Lifecycle Management
In industry, product lifecycle management (PLM) is the process of managing the entire lifecycle of a product from its inception through the engineering, design, and manufacture, as well as the service and disposal of manufactured products. PLM integrates people, data, processes, and business systems and provides a product information backbone for companies and their extended enterprises. History The inspiration for the burgeoning business process now known as PLM came from American Motors Corporation (AMC). The automaker was looking for a way to speed up its product development process to compete better against its larger competitors in 1985, according to François Castaing, Vice President for Product Engineering and Development. AMC focused its R&D efforts on extending the product lifecycle of its flagship products, particularly Jeeps, because it lacked the "massive budgets of General Motors, Ford, and foreign competitors." After introducing its compact Jeep Cherokee (X ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
