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The challenge of the Semiconductor Industry

Since the cost factors became one of the most important measurement in the semiconductor’s manufacturing, the industries trying to purchase of the cheaper equipments and they even willing to consider to purchase of the refurbish equipment just in the name of “Cost Down”. But the question is if the cheap equipments are really able to reduce the cost of manufacturing? here are the few factors need to take into consideration seriously:

The measure of manufacturing cost is not only depend on the equipment cost but the performance of the equipment itself. for example, if the equipment with 30% price higher compare to the cheapest equipment but it can produce 50% more throughput, then this will actually justified of the price whereby the unit cost will be cheaper after all. the throughput is affected by many factors included of the stability of the equipment itself to reduce of the downtime which will improve of the equipment utilisation therefore the overall equipment efficiency is achievable compare to the “Use equipment” which might have the cheapest initial investment but the cost of maintenance and production time lost are contributed back to the cost of ownership.

Presently, an engineer with the technical knowledge is still not sufficient to ensure the Overall Equipment Efficiency is achievable whereby the OEE is the main contribution to the cost of manufacturing. Today engineer need to have the economic knowledge as well so that they can take into account the economic factors together with the technological factors for all their equipment selection decision. moving forward the technological economic will be the important subject to replace of the conventional economic theory which was first founded more than 200 years ago.

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Author:

Ph.D student in Bulacan State University

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