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Within the context of the large-scale application of industrial robots, methods of analyzing the life-cycle cost (LCC) of industrial robot production have shown considerable developments, but there remains a lack of methods that allow for the examination of robot substitution. Taking inspiration from the symmetry philosophy in manufacturing systems engineering, this article further establishes a comparative LCC analysis model to compare the LCC of the industrial robot production with traditional production at the same time. This model introduces intangible costs (covering idle loss, efficiency loss and defect loss) to supplement the actual costs and comprehensively uses various methods for cost allocation and variable estimation to conduct total cost and the cost efficiency analysis, together with hierarchical decomposition and dynamic comparison. To demonstrate the model, an investigation of a Chinese automobile manufacturer is provided to compare the LCC of welding robot production with that of manual welding production; methods of case analysis and simulation are combined, and a thorough comparison is done with related existing works to show the validity of this framework. In accordance with this study, a simple template is developed to support the decision-making analysis of the application and cost management of industrial robots. In addition, the case analysis and simulations can provide references for enterprises in emerging markets in relation to robot substitution.

Comparative Analysis of the Life-Cycle Cost of Robot Substitution: A Case of Automobile Welding Production in China