Assess Coating Equipment by Total Cost, Not Purchase Price: TCO Fundamentals

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Assess Coating Equipment by Total Cost, Not Purchase Price: TCO Fundamentals

Article ID 09-006Coating equipment

Coating equipment should be assessed by total cost rather than purchase price. Focusing on TCO fundamentals, this article sets out practical checks on required specifications, guaranteed and actual performance, operating conditions, consumable parts, inspection, and maintenance to prevent equipment stoppages and protect quality and productivity.

Contents
  1. 011. Purchase-price comparisons overlook other costs
  2. 022. TCO is the total cost over the equipment's life
  3. 033. Assess spray booths for filter costs and cleaning workload
  4. 044. Assess drying ovens for fuel costs and defect risks
  5. 055. Assess compressors for electricity costs and compressed air losses
  6. 066. Operating cost becomes particularly important for VOC treatment equipment
  7. 077. Robots cannot be assessed by the robot price alone
  8. 088. Small-looking fixtures affect substantial costs
  9. 099. Quality losses are less visible but substantial costs
  10. 1010. Include operator workload in TCO
  11. 1111. TCO considerations for Vietnamese factories
  12. 1212. Basic perspectives for TCO comparison
  13. 1313. The value of TCO according to CoatureVietnam
  14. 14Summary

When coating equipment is introduced, purchase price is often the first focus.

Which equipment is cheaper? Which supplier has the lowest quotation? How far can the initial investment be reduced?

Purchase price is, of course, important. Capital investment has a budget, and spending cannot be unlimited.

However, judging coating equipment solely by purchase price can create a substantial burden later.

Equipment purchased cheaply may have high electricity costs, high fuel costs, frequent filter replacements, substantial paint waste, difficult cleaning, difficult maintenance, increased defects and recoating, wastewater and waste disposal costs, or lengthy parts replacement that frequently stops the line.

Such equipment may look inexpensive at purchase but becomes expensive over the long term.

Coating equipment must be assessed by the actual costs of continued use rather than purchase price alone.

This approach is called TCO, short for Total Cost of Ownership. The Japanese rendering means total ownership cost. Put simply, it is the total cost from purchasing equipment through its continued use.

1. Purchase-price comparisons overlook other costs

Comparing equipment quotations by purchase price alone is straightforward.

Supplier A: 100. Supplier B: 120. Supplier C: 150.

Listed this way, Supplier A looks cheapest.

However, many costs arise after equipment is introduced.

Electricity. Gas. Compressed air. Water consumption. Filters. Replacement parts. Cleaning. Maintenance. Paint waste. Recoating. Waste paint disposal. Sludge disposal. Wastewater treatment. Losses from line stoppages. Safety measures. Operator workload.

Including these costs shows that equipment with the lowest purchase price is not necessarily the best equipment.

Operating costs after introduction can be substantial for coating equipment. Equipment should therefore be assessed by the cost of continued use rather than its price at purchase.

2. TCO is the total cost over the equipment’s life

TCO may seem like a difficult accounting term, but the idea is simple.

It considers costs throughout the period of use, not only at purchase.

Coating equipment TCO broadly includes the following costs.

1. Initial costs

Equipment price. Transport. Installation work. Electrical work. Piping work. Ductwork. Foundation work. Commissioning. Training.

2. Operating costs

Electricity. Gas. Water. Compressed air. Fuel. Exhaust treatment equipment operation.

3. Consumables

Filters. Nozzles. Hoses. Seals. Belts. Pressure gauges. Safety valves. Adsorbents. Catalysts. Fixtures. Hangers.

4. Maintenance costs

Periodic inspections. Cleaning. Parts replacement. Repairs. Manufacturer service. Maintenance personnel’s labor time.

5. Quality losses

Recoating. Rework. Scrap. Inspection labor. Complaint handling. Delivery delays.

6. Environmental compliance costs

Waste paint disposal. Waste thinner disposal. Sludge disposal. Wastewater treatment chemicals. VOC treatment. Odor control. Filter disposal.

The true cost of equipment must therefore be considered more broadly than purchase price.

3. Assess spray booths for filter costs and cleaning workload

Spray booths must not be selected solely by purchase price and size.

Many costs arise during booth operation.

Exhaust fan electricity. Filter replacement. Booth cleaning. Paint mist treatment. Circulating water management for wet booths. Sludge disposal. Odor control. Exhaust duct cleaning.

For example, even a low-cost booth will clog filters quickly if mist collection efficiency is poor. Poor extraction allows mist to return into the booth, increasing defects and cleaning workload. Poor sludge management in a wet booth increases odors and wastewater treatment loads.

Low equipment price can therefore be accompanied by high daily operating costs.

The following questions matter in booth selection.

  • How frequently must filters be replaced?
  • Is the structure easy to clean?
  • Is mist collection efficiency sufficient?
  • Is extraction effective at the working position?
  • Does the booth prevent odors and dust from escaping?
  • Is sludge treatment easy to manage?

Select spray booths by the burden of daily use as well as purchase price.

4. Assess drying ovens for fuel costs and defect risks

Drying ovens are among the largest energy consumers in coating equipment.

Electric ovens consume electricity. Gas ovens consume gas. Hot-air circulation ovens require fan power. Exhaust treatment adds further fuel or electricity requirements.

Check fuel costs and energy efficiency as well as purchase price.

Drying ovens also complete the development of film performance. Insufficient drying causes poor adhesion, insufficient hardness, insufficient chemical resistance, and recoating. Excessive heating risks discoloration, gloss changes, and substrate deformation.

Drying oven TCO must therefore include quality losses as well as energy costs.

Check the following items.

  • Can the required temperature be reached consistently?
  • Is temperature distribution inside the oven good?
  • Can the temperature reached by the workpiece be checked?
  • Is insulation performance sufficient?
  • Are exhaust heat losses excessive?
  • Can operation be adjusted to production volume?
  • Is cleaning and inspection easy?
  • Are VOC or odor controls needed?

Drying ovens should be assessed by fuel costs, quality, and exhaust treatment together with purchase price.

5. Assess compressors for electricity costs and compressed air losses

Compressors operate continuously in many factories and therefore significantly affect electricity costs.

Select compressors by operating efficiency as well as initial price.

Compressed air costs money to produce. Air leaks, excessive pressure, piping losses, and wasteful air blowing increase electricity costs.

A low-cost compressor with poor efficiency can become expensive over the long term.

Unstable compressed air also affects coating quality.

Poor spray gun atomization. Uneven film thickness. Surface roughness. Uneven color. Operator readjustment. Paint waste.

These should also be considered part of TCO.

Check the following compressor items.

  • Is there a capacity margin above the required air volume?
  • Does pressure at points of use remain sufficient during simultaneous use?
  • Is energy efficiency good?
  • Does the piping design minimize leaks?
  • Is condensate management easy?
  • Are filters easy to replace?
  • Is a backup compressor needed?

Assess compressors through electricity costs, air losses, and quality effects as well as equipment price.

6. Operating cost becomes particularly important for VOC treatment equipment

Exhaust treatment equipment may be introduced for VOC or odor control.

Thermal oxidation. Regenerative thermal oxidation. Catalytic treatment. Adsorption. Absorption.

These systems effectively address environmental requirements, but judging them solely by installation cost is risky.

VOC treatment systems can have substantial operating costs.

Fuel. Electricity. Catalyst replacement. Adsorbent replacement. Filter replacement. Pretreatment equipment cleaning. Disposal of spent adsorbents or catalysts. Periodic inspections. Effects of equipment stoppages.

Exhaust containing substantial dust, mist, tar, or moisture requires properly designed pretreatment to avoid reducing treatment performance.

VOC treatment equipment addresses environmental requirements while potentially imposing significant long-term operating costs.

The following checks are therefore necessary.

  • What is the VOC concentration in the exhaust?
  • What is the exhaust air volume?
  • Are dust or tar components present?
  • Is pretreatment required?
  • What are fuel and electricity costs?
  • What are catalyst and adsorbent replacement intervals?
  • Has the option been compared with switching to low-VOC paints or powder coating?

VOC measures must be assessed through paint, process, and operations as well as additional equipment.

7. Robots cannot be assessed by the robot price alone

Painting robots must also be assessed beyond their own purchase price.

Robots involve many associated costs.

Robot. Control panel. Safety fencing. Explosion-protected specifications. Spray gun. Supply equipment. Fixtures. Hangers. Teaching. Programming. Film thickness checks. Operator training. Spare parts. Periodic maintenance.

Buying a robot does not immediately produce stable quality.

Defining workpiece conditions. Stable fixtures. Standardized hanging. Gun distance. Output. Movement speed. Overlap width. Teaching. Condition control for product changes.

Without these preparations, rework and defects remain after robot introduction.

Assessing only labor cost reduction is insufficient.

The following benefits should be considered.

  • Lower defect rates
  • Reduced paint consumption
  • Reduced operator workload
  • Reduced hazardous work
  • Reduced quality variation
  • Standardization of skilled techniques
  • Reduced rework labor

Assess robots by whether they suit the factory’s coating conditions and can be used effectively over time, rather than simply whether they are expensive or cheap.

8. Small-looking fixtures affect substantial costs

Fixtures and hangers may appear to be minor items in capital investment.

However, poor fixtures generate many losses.

Workpieces are difficult to hang. Hanging varies. Coating surfaces are hidden. Workpieces sway. Grounding is inadequate for electrostatic coating. Thick film buildup requires stripping. Contact scratches occur. Robot coating paths become inconsistent.

These conditions increase paint waste, defects, recoating, and operator workload.

A cheap fixture that makes daily work difficult and prevents stable quality is not an inexpensive choice in practice.

Fixtures are more than tools. They are important equipment determining coating quality and workability.

Check the following items when considering fixture TCO.

  • Ease of hanging
  • A shape that does not obscure coating surfaces
  • Ease of stripping
  • Electrical continuity
  • Durability
  • Resistance to deformation
  • Operator workload
  • Effects on defect rates
  • Effects on paint consumption

Investment in fixtures is investment in stable quality and reduced workload.

9. Quality losses are less visible but substantial costs

Quality losses are easily overlooked in TCO assessment.

Even inexpensive equipment becomes costly if it increases defects.

Quality losses include the following.

  • Recoating
  • Rework
  • Scrap
  • Repeat inspection
  • Customer complaints
  • Delivery delays
  • Operator overtime
  • Material waste
  • Reduced trust

For example, poor booth extraction increases dirt defects. Poor oven temperature distribution causes undercuring. Unstable compressed air increases surface roughness. Poor fixtures produce uneven film thickness.

Losses from these defects can exceed differences in equipment price.

It is important to assess how much a capital investment can reduce quality losses.

10. Include operator workload in TCO

Operator workload cannot be ignored when considering coating equipment costs.

Equipment is difficult to use. Cleaning is difficult. Filter replacement is difficult. Fixtures are heavy. Workpieces are hard to hang. Odors are strong. Mist returns. Rework is frequent.

These conditions burden operators.

A greater workload reduces efficiency and increases fatigue. Quality variation becomes more likely. It can also contribute to staff turnover risk.

Equipment that is hard on operators can therefore become expensive for the factory over the long term.

When selecting equipment, check whether operators can use it safely, consistently, and without undue strain.

This is an important perspective in CoatureVietnam’s principle, “Coating the Future with Science and Care.”

11. TCO considerations for Vietnamese factories

Vietnamese factories sometimes prioritize initial price in capital investment.

This is natural. Investment budgets are constrained, and costs need to be controlled.

However, selecting low-cost coating equipment can result in the following problems.

  • Unstable spare parts supply
  • Slow maintenance response
  • High electricity costs
  • Frequent filter replacement
  • Time-consuming cleaning
  • Frequent equipment stoppages
  • Defect rates that do not improve
  • Difficulty using robots or automated equipment effectively
  • Later requirements for exhaust, wastewater, or odor controls

All of these are costs that arise later.

Reducing initial price is important. However, if it increases long-term costs, it does not constitute real cost reduction.

12. Basic perspectives for TCO comparison

The following perspectives make equipment comparisons easier to organize.

1. Initial costs

Check equipment, construction, transport, installation, commissioning, and training costs.

2. Operating costs

Check electricity, gas, water, compressed air, and fuel consumption.

3. Consumables

Check replacement costs for filters, nozzles, hoses, seals, catalysts, adsorbents, and other items.

4. Maintainability

Check ease of inspection, cleaning, and parts replacement.

5. Parts supply

Check whether replacement parts are readily available or require lengthy imports.

6. Quality effects

Check effects on defect rates, recoating, rework, and film thickness variation.

7. Operator workload

Check ease of work, safety, and whether cleaning or replacement is physically demanding.

8. Environmental requirements

Check costs for VOCs, odors, dust, wastewater, and sludge treatment.

9. Future capability

Check capability for product changes, increased production, paint changes, and automation.

Organizing the assessment this way makes the true equipment cost clearer.

13. The value of TCO according to CoatureVietnam

CoatureVietnam does not consider TCO merely a cost calculation.

It is an approach to improving coating processes over the long term.

Purchase-price assessment makes equipment selection a short-term decision. TCO assessment includes quality, safety, the environment, productivity, and operator workload.

It matters to business leaders and factory managers, as well as production engineering, quality assurance, purchasing, and coating operations.

CoatureVietnam does more than sell equipment. We work together to consider whether it will deliver real value in daily operations.

Which equipment stabilizes quality? Which reduces operator workload? Which reduces environmental risks? Which contributes to long-term factory profitability? These questions matter beyond which equipment is cheapest.

This perspective is fundamental to CoatureVietnam’s equipment improvement support.

Summary

Coating equipment must not be judged solely by purchase price.

Even inexpensive equipment may have high operating costs, high consumable costs, difficult maintenance, increased defects, increased paint waste, greater operator workload, or later environmental compliance costs.

In these cases, it becomes expensive over the long term.

Capital investment requires consideration of the actual costs of continued use as well as initial price.

This is the fundamental principle of TCO.

Assessing coating equipment through TCO is more than cost management. It protects quality, protects operators, reduces environmental risks, improves productivity, and protects factory profitability.

CoatureVietnam values equipment decisions based on total cost and operational value rather than purchase price.

Coating the Future with Science and Care. Putting this into practice begins with a long-term view of equipment investment.

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