From the Rolls-Royce experimental archive: a quarter of a million communications from Rolls-Royce, 1906 to 1960's. Documents from the Sir Henry Royce Memorial Foundation (SHRMF).
Cost breakdown and analysis for car body production, comparing material and labour costs with competitors.
Identifier | ExFiles\Box 117\2\ scan0109 | |
Date | 22th December 1931 | |
Conclusions Cont'd.{John DeLooze - Company Secretary} (b) Shell £20.0.0. (c) Wings £20.10.0. (d) Trimming £0.0.0. (e) Joiners £10.0.0. (f) Painters £3.10.0. (g) Elect. Wiring £5.0.0d. (h) Smiths £1.0.0d. TOTAL. £69. 5. 0d. When this is deducted from the present material body cost of £135. we are left with total material cost of £69. Wm. remarked that this figure was less than Rover's. WAGES. OR LABOUR COST. A material cost of £69. on a total cost of £135. leaves £66. for labour and overheads and if the latter be 100% on labour, a labour charge of £33. per body results. This was compared favourably with - Rover Wages £12.0.0. per body. Daimler wages £15.0.0. per body. It therefore is necessary for the labour to be reduced from £51. to £33. Ward at present spends £9. wages assembly shell and this charge would not exist with the P.S.C. shell. therefore £9. wages + £9. overheads can be deducted from £51. which leaves £33. for labour. In other words even on the preliminary set up for 10 bodies a week, the labour figure of £33. becomes a possibility if the body is fully tooled. Obviously 5,000 bodies have to be made to pay for the tools. Handwritten notes: 18/8 | - 16/2 | - | ||