Cost due to Damage to Equipment
Cost due to Damage to Equipment, Property etc.
- Tooling may have to be redesigned, adding cost.
- Cost due to reduced output and delays for rescheduling.
- Direct loss of equipment or property which has to be repaired or replaced.
- The damaged equipment/machinery remaining out of operation increases overhead cost.
- The loss may also occur due to damage to system, plant, facility or material.
- The damaged equipment operates below par.
- Loss due to reduction in production.