Skip to main content
Log in

A review of conventional and knowledge based systems for machining price quotation

  • Review Article
  • Published:
Journal of Intelligent Manufacturing Aims and scope Submit manuscript

Abstract

Price estimation for the preparation of quotations is critical process for companies that have to struggle to get orders by offering competitive pricing. For machining companies, said process is complex because of the large amount of variation that can occur. In this case, a manufacturing expert is generally in charge of this task. However, manufacturing experts have several other important tasks to which they must attend. The use of software systems that automate the estimation of costs and prices is common, knowledge-based systems are one of the primary alternatives for two fundamental reasons: they behave the same way an expert would and they save and maintain all knowledge within the company regardless of who has worked on them. This paper covers the principal cost and price estimation methods and reviews the knowledge-based systems that have been implemented in the area of machined part manufacturing. Recommendations as to how future knowledge-based systems for the estimation of this type of pricing should develop are also included.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Similar content being viewed by others

References

  • Adams, J. (2001). The feasibility of distributed web based expert systems. IEEE International conference on systems, man and cybernetics.

  • Aderoba A. (1997) A generalised cost-estimation model for job shops. International Journal of Production Economics 53: 257–263

    Article  Google Scholar 

  • Ahmadi J., Tirupati D. (1996) Oars: An order analysis and rescheduling system. Production Planning and Control 7(1): 86–95

    Article  Google Scholar 

  • Amaro G., Hendry L., Kingsman B. (1999) Competitive advantage, customisation and a new taxonomy for non make-to-stock companies. International Journal of Operations Production Management 19(4): 349–371

    Article  Google Scholar 

  • Arezoo B., Ridgway K., Al Ahmari A. M. (2000) Selection of cutting tools and conditions of machining operations using an expert system. Computers in Industry 42: 43–58

    Article  Google Scholar 

  • Beil D., Wein L. M. (2003) An inverse-optimization-based auction mechanism to support a multiattribute rfq process. Management science 49(11): 1529–1545

    Article  Google Scholar 

  • Ben-Arieh D. (2000) Cost estimation system for machined parts. International Journal of Production Research 38(17): 4481–4494

    Article  Google Scholar 

  • Ben-Arieh D., Li Q. (2003) Web-based cost estimation of machining rotational parts. Production Planning and Control 14(8): 778–788

    Article  Google Scholar 

  • Bidanda B., Kadidal M., Billo R. E. (1998) Development of an intelligent castability and cost estimation system. International journal of production research 36(2): 547

    Article  Google Scholar 

  • Boothroyd G., Reynolds C. (1989) Approximate cost estimates for typical turned parts. Journal of Manufacturing Systems 8(3): 185–193

    Article  Google Scholar 

  • Bouaziz Z., Ben Younes J., Zghal A. (2006) Cost estimation system of dies manufacturing based on the complex machining features. International Journal of Advanced Manufacturing Technology 28(3): 262–271

    Article  Google Scholar 

  • Brinke E. T., Lutters E., Streppel T., Kals H. (2004) Cost estimation architecture for integrated cost control based on information management. International Journal of Computer Integrated Manufacturing 17: 534–545

    Article  Google Scholar 

  • Calosso T., Cantamessa M., Vu D., Villa A. (2003) Production planning and order acceptance in business to business electronic commerce. International Journal of Production Economics 85: 233–249

    Article  Google Scholar 

  • Chan D. (2003) Expert system for product manufacturability and cost evaluation. Materials and Manufacturing Processes 18: 313–322

    Article  Google Scholar 

  • Chan D. S. K., Lewis W. P. (2000) The integration of manufacturing and cost information into the engineering design process. International journal of production research 38(17): 4413–4427

    Article  Google Scholar 

  • Chan F. (2005) Application of a hybrid case-based reasoning approach in electroplating industry. Expert Systems with Applications 29: 121–130

    Article  Google Scholar 

  • Chen K.-Z., Feng X.-A., Zhang B.-B. (2003) Development of computer-aided quotation system for manufacturing enterprises using axiomatic design. International Journal of Production Research 41(1): 171–191

    Article  Google Scholar 

  • Chougule R. G., Ravi B. (2006) Casting cost estimation in an integrated product and process design environment. International Journal of Computer Integrated Manufacturing 19: 676–688

    Article  Google Scholar 

  • Cooper R., Kaplan R. S. (1988) Measure costs right: Make the right decisions. Harvard Business Review 66(5): 96–103

    Google Scholar 

  • Cunningham A., Smart R. (1993) Computer-aided parts estimation. AI Magazine 14: 39–49

    Google Scholar 

  • Dewhurst P., Boothroyd G. (1988) Early cost estimating in product design. Journal of Manufacturing Systems 7(3): 183–191

    Article  Google Scholar 

  • Di Stefano P. (2006) Tolerances analysis and cost evaluation for production life cycle. International Journal of Production Research 44(10): 1943–1961

    Article  Google Scholar 

  • Doney L. D. (1971) Machine job shop prepares quotations by computer. Industrial Engineering 3: 47–51

    Google Scholar 

  • Downs K. A., Trappey A. J. C. (1992) A sequential block approach to the design of a cost estimating system. Computers and Industrial Engineering 23: 423–426

    Article  Google Scholar 

  • Duan Y., Edwards J. S., Xu M. X. (2005) Web-based expert systems: Benefits and challenges. Information Management 42(6): 799–811

    Article  Google Scholar 

  • Duverlie P., Castelain J. M. (1999) Cost estimation during design step: Parametric method versus case based reasoning method. International Journal of Advanced Manufacturing Technology 15(12): 895–906

    Article  Google Scholar 

  • Er A., Dias R. (2000) A rule-based expert system approach to process selection for cast components. Knowledge-Based Systems 13(4): 225–234

    Article  Google Scholar 

  • Fuchs E. R. H., Field R. R., Roth R., Kirchain R. E. (2008) Strategic materials selection in the automobile body: Economic opportunities for polymer composite design. Composites Science and Technology 68(9): 1989–2002

    Article  Google Scholar 

  • González A., Dankel D. (1993) The engineering of knowledge based systems. Prentice Hall, Englewood Cliffs NJ

    Google Scholar 

  • Grove R. (2000) Internet-based expert systems. Expert Systems 17(3): 129–135

    Article  Google Scholar 

  • Helo P. T. (2006) Product configuration analysis with design structure matrix. Industrial Management and Data Systems 106(7): 997–1011

    Article  Google Scholar 

  • Hicks C., McGovern T., Earl C. (2000) Supply chain management: A strategic issue in engineer to order manufacturing. International Journal of Production Economics 65(2): 179–190

    Article  Google Scholar 

  • Hvam L., Have U. (1998) Re-engineering the specification process. Business Process Management 4(1): 25–43

    Article  Google Scholar 

  • Hvam L., Malis M., Hansen B., Riis J. (2004) Reengineering of the quotation process: Application of knowledge based systems. Business Process Management Journal 10(2): 200–213

    Article  Google Scholar 

  • Hvam L., Pape S., Nielsen M. K. (2006) Improving the quotation process with product configuration. Computers in Industry 57(7): 607–621

    Article  Google Scholar 

  • Jahna-Shahi H., Shayan E., Masood S. H. (2001) Multivalued fuzzy sets in cost/time estimation of flat plate processing. International Journal of Advanced Manufacturing Technology 17(10): 751–759

    Article  Google Scholar 

  • Jiao J., Helander M. G. (2006) Development of an electronic configure-to-order platform for customized product development. Computers in Industry 57(3): 231–244

    Article  Google Scholar 

  • Jung J.-Y. (2002) Manufacturing cost estimation for machined parts based on manufacturing features. Journal of Intelligent Manufacturing 13: 227–238

    Article  Google Scholar 

  • Kadidal M., Bidanda B. (1993) A castability expert system. Computers Industrial Engineering 25: 99–102

    Article  Google Scholar 

  • Kennedy K., Shao D. (1989) The design, implementation and evaluation of a diagnostic expert system for the work order procedures for small manufacturing companies. Computers Industrial Engineering 17: 95–100

    Article  Google Scholar 

  • Kingsman B. G., de Souza A. A. (1997) A knowledge-based decision support system for cost estimation and pricing decisions in versatile manufacturing companies. International Journal of Production Economics 53: 119–139

    Article  Google Scholar 

  • Kingsman B., Hendry L., Mercer A., de Souza A. (1996) Responding to customer enquiries in make-to-order companies: Problems and solutions. International Journal of Production Economics 46–47: 219–231

    Article  Google Scholar 

  • Kirchain, R., & Field, F. R. (2001). Process-based cost modelling: Understanding the economics of technical decisions. In Encyclopedia of Materials Science and Engineering (Vol. 2, pp. 1718–1727). Oxford, UK: Elsevier.

  • Ko K. H., Pochiraju K., Manoochehri S. (2007) An embedded system for knowledge-based cost evaluation of molded parts. Knowledge-Based Systems 20: 291–299

    Article  Google Scholar 

  • Koonce D., Judd R., Sormaz D., Masel D. T. (2003) A hierarchical cost estimation tool. Computers in Industry 50(3): 293–302

    Article  Google Scholar 

  • Lan C. H. (2002) Optimal control of a multistage machining operation on a computer numerically controlled machine. International Journal of Advanced Manufacturing Technology 20(11): 807–811

    Article  Google Scholar 

  • Lan H., Ding Y. (2007) Price quotation methodology for stereolithography parts based on stl model. Computer and Industrial Engineering 52(2): 241–256

    Article  Google Scholar 

  • Lan H., Ding Y., Hong J., Huang H., Lu B. (2008) Web-based quotation system for stereolithography parts. Computers in Industry 59: 777–785

    Article  Google Scholar 

  • Layer A., Ten Brinke E., Van Houten F., Kals H., Haasis S. (2002) Recent and future trends in cost estimation. International Journal of Computer Integrated Manufacturing 15: 499–510

    Article  Google Scholar 

  • Liu, H., Gopalkrishnan, V., Quynh, K. T. N., & Ng, W. (2008). Regression models for estimating product life cycle cost. Journal of Intelligent Manufacturing. doi:10.1007/s10845-008-0114-4.

  • Locascio A. (2000) Manufacturing cost modeling for product design. International Journal of Flexible Manufacturing Systems 12: 207–217

    Article  Google Scholar 

  • Maropoulos P. G., Baker R. P. (2000) Integration of tool selection with design: Part 1 Feature creation and selection of operations and tools. Journal of Materials Processing Technology 107(1–3): 127–134

    Article  Google Scholar 

  • Maropoulos P. G., Baker R. P., Paramor K. Y. G. (2000) Integration of tool selection with design: Part 2 Aggregate machining time estimation. Journal of Materials Processing Technology 107(1–3): 135–142

    Article  Google Scholar 

  • Maropoulos P. G., Bramall D. G., McKay K. R. (2003) Assessing the manufacturability of early product designs using aggregate process models. Proceedings of the Institution of Mechanical Engineers: Part B—Engineering Manufacture 217(9): 1203–1214

    Article  Google Scholar 

  • Metaxiotis K. S., Askounis D., Psarras J. (2002) Expert systems in production planning and scheduling: A state-of-the-art survey. Journal of Intelligent Manufacturing 13: 253–260

    Article  Google Scholar 

  • Masmoudi F., Bouaziz Z., Hachicha W. (2007) Computer-aided cost estimation of weld operations. The International Journal of Advanced Manufacturing Technology 33(3–4): 262–271

    Google Scholar 

  • Mohamed A., Celik T. (1998) An integrated knowledge-based system for alternative design and materials selection and cost estimating. Expert Systems with Applications 14: 329– 339

    Article  Google Scholar 

  • Mohamed A., Celik T. (2002) Knowledge based-system for alternative design, cost estimating and scheduling. Knowledge-Based Systems 15(3): 177–188

    Article  Google Scholar 

  • Muntslag D. R. (1994) Profit and risk evaluation in customer driven engineering and manufacturing. International Journal of Production Economics 36: 97–107

    Article  Google Scholar 

  • Niazi A., Dai J., Balabani S., Seneviratne L. (2006) Product cost estimation: Technique classification and methodology review. Journal of Manufacturing Science Engineering 128(2): 563–575

    Article  Google Scholar 

  • Ou Yang C., Lin T. S. (1997) Developing an integrated framework for feature-based early manufacturing cost estimation. International Journal of Advanced Manufacturing Technology 13(9): 618–629

    Article  Google Scholar 

  • Oduoza, C. F., & Xiong, M. H. (2008). A decision support system framework to process customer order enquiries in SMEs. The International Journal of Advanced Manufacturing Technology. doi:10.1007/s00170-008-1596-0.

  • Park J., Seo K. (2004) Incorporating life-cycle cost into early product development. Proceedings of the Institution of Mechanical Engineers, Part B (Journal of Engineering Manufacture) 218: 1059–1066

    Article  Google Scholar 

  • Qian L., Ben-Arieh D. (2008) Parametric cost estimation based on activity-based costing: A case study for design and developmen of rotational parts. International Journal of Production Economics 113: 805–818

    Article  Google Scholar 

  • Qiqin C., Shan J., Weidong L., Junmin D. (1996) Application of ie to the plan of production line in factory. Computers Industrial Engineering 31(3): 561–564

    Article  Google Scholar 

  • Ruffo M., Tuck C., Hague R. (2006) Cost estimation for rapid manufacturing—laser sintering production for low to medium volumes. Proceedings of the Institution of Mechanical Engineers, Part B (Journal of Engineering Manufacture) 220: 1417–1427

    Article  Google Scholar 

  • Seo K.-K., Park J., Wallace D. (2002) Prediction of the life cycle cost using statistical and artificial neural network methods in conceptual product design. International Journal of Computer Integrated Manufacturing 15: 541–554

    Article  Google Scholar 

  • Sharma R., Gao J. X. (2002) A progressive design and manufacturing evaluation system incorporating step ap224. Computers in Industry 47(2): 155–167

    Article  Google Scholar 

  • Shehab E. M., Abdalla H. S. (2001) Manufacturing cost modelling for concurrent product development. Robotics and Computer-Integrated Manufacturing 17(4): 341–353

    Article  Google Scholar 

  • Shehab E., Abdalla H. (2002a) An intelligent knowledge-based system for product cost modelling. International Journal of Advanced Manufacturing Technology 19(1): 49–65

    Article  Google Scholar 

  • Shehab E. M., Abdalla H. S. (2002b) A design to cost system for innovative product development. Proceedings of the Institution of Mechanical Engineers, Part B (Journal of Engineering Manufacture) 216: 999–1019

    Article  Google Scholar 

  • Shehab E. M., Abdalla H. S. (2006) A cost-effective knowledge-based reasoning system for design for automation. Proceedings of the Institution of Mechanical Engineers, Part B (Journal of Engineering Manufacture) 220: 729–743

    Article  Google Scholar 

  • Silva C., Roque L., Almeida A. (2006) Mapp–a web-based decision support system for the mould industry. Decision Support Systems 42(2): 999–1014

    Article  Google Scholar 

  • Stockton D., Wang Q. (2004) Developing cost models by advanced modelling technology. Proceedings of the Institution of Mechanical Engineers, Part B (Journal of Engineering Manufacture) 218: 213–224

    Article  Google Scholar 

  • Taiber J. G. (1996) Optimization of process sequences considering prismatic workpieces. Advances in Engineering Software 25(1): 41–50

    Article  Google Scholar 

  • Tang D., Eversheim W., Schuh G., Chin K. (2003) Concurrent metal stamping part and die development system. Proceedings of the Institution of Mechanical Engineers, Part B (Journal of Engineering Manufacture) 217: 805–825

    Article  Google Scholar 

  • Tu Y. L., Xie S. Q., Fung R. Y. (2007) Product development cost estimation in mass customization. IEEE Transactions on Engineering Management 54(1): 29–40

    Article  Google Scholar 

  • Veeramani D., Joshi P. (1997) Methodologies for rapid and effective response to requests for quotation (RFQs). IIE Transactions 29(10): 825–838

    Google Scholar 

  • Venkatadri U., Srinivasan A., Montreuil B., Saraswat A. (2006) Optimization-based decision support for order promising in supply chain networks. International Journal of Production Economics 103: 117–130

    Article  Google Scholar 

  • Vidal, J., Lama, M., Bugarin, A., & Barro, S. (2003). Workflow-based information system for furniture budgeting. Emerging technologies and factory automation, 2003. Proceedings. ETFA ‘03. IEEE Conference.

  • Wang H., Zhou X. H., Ruan X. (2003) Research on injection mould intelligent cost estimation system and key technologies. International Journal of Advanced Manufacturing Technology 21(3): 215–222

    Article  Google Scholar 

  • Wang S., Shen W., Hao Q. (2006) An agent-based web service workflow model for inter-enterprise collaboration. Expert Systems with Applications 31(4): 787–799

    Article  Google Scholar 

  • Wei Y., Egbelu P. J. (2000) A framework for estimating manufacturing cost from geometric design data. International Journal of Computer Integrated Manufacturing 13: 50–63

    Article  Google Scholar 

  • Xie S. Q. (2006) A decision support system for rapid one-of-a-kind product development. International Journal of Advanced Manufacturing Technology 28: 643–652

    Article  Google Scholar 

  • Xie S. Q., Tu P. L., Aitchison D., Dunlop R., Zhou Z. D. (2001) A www-based integrated product development platform for sheet metal parts intelligent concurrent design and manufacturing. International Journal of Production Research 39(17): 3829– 3852

    Article  Google Scholar 

  • Xie S. Q., Tu Y. L., Liu J. Q., Zhou Z. D. (2001a) Integrated and concurrent approach for compound sheet metal cutting and punching. International Journal of Production Research 39(6): 1095–1112

    Article  Google Scholar 

  • Xie S., Tu Y., Fung R., Zhou Z. (2003) Rapid one-of-a-kind product development via the internet: A literature review of the state-of-the-art and a proposed platform. International Journal of Production Research 41(18): 4257–4298

    Article  Google Scholar 

  • Zhang Y. F., Fuh J. Y., Chan W. T. (1996) Feature-based cost estimation for packaging products using neural networks. Computers in Industry 32(1): 95–113

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to José Luis López-Cuadrado.

Rights and permissions

Reprints and permissions

About this article

Cite this article

García-Crespo, Á., Ruiz-Mezcua, B., López-Cuadrado, J.L. et al. A review of conventional and knowledge based systems for machining price quotation. J Intell Manuf 22, 823–841 (2011). https://doi.org/10.1007/s10845-009-0335-1

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s10845-009-0335-1

Keywords

Navigation