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Hardwood sawmill downtime costsAuthor(s): Jan Wiedenbeck; Kyle Blackwell
Source: Southern Lumberman 27-30
Publication Series: Scientific Journal (JRNL)
Station: Northern Research Station
PDF: View PDF (983.04 KB)
DescriptionHow time flies when you don't pay attention to it. With hardwood sawmill operating costs ranging from $4 to $25 per operating minute ($95/MBF to $335/MBF) and gross profit margins ranging from $0.10/BF to $0.35/BF, five extra minutes of downtime per day will cost a sawmill that produces an average of 20,000 BF per day (5 MMBF annually) between $21 and $73 per day in profit. The average is $47, which represents the opportunity cost for the lumber that could have been produced during those 5 minutes.
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CitationWiedenbeck, Jan; Blackwell, Kyle. 2003. Hardwood sawmill downtime costs. Southern Lumberman 27-30
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