1 Keysight Technologies Drive Down the Cost of Test Using the ENA Series of Network Analyzers Application Note
2 Introduction From the 1970s onward, the growth of personal computers and consumer electronics equipment for home and personal use has increased dramatically. Additionally, the price for these types of equipment has been decreasing year by year with a steady increase in competition. The top priority of each manufacture in this industry is the same -- how to reduce manufacturing costs. For many years the acquisition of test and measurement equipment and the costs of testing in the production lines were viewed as a necessary evil. However, the importance of testing has been increasing in proportion with technology advancements, such as product complexity and size. As a result, reducing the cost of test for production lines is very dificult to achieve. In this application note, we discuss the contributions of Keysight Technologies, Inc. s ENA Series of Vector Network Analyzers (ENA, hereafter) to drive down the cost of test in production lines. Agenda: Total cost of ownership (TCO) and Cost of test (COT) Value of ENA TCO simulation with ENA Conclusion
3 03 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note Total Cost of Ownership (TCO) and Cost of Test (COT) The recent boom of smart-phones, feature phones, tablet PCs, and lat screen televisions has generated intense competition between manufactures of inal products and components/ modules used in these products. The product life-cycle has been getting shorter and shorter with the continuous price reduction in the market. How to reduce costs maintaining and/or increasing the quality of products is indispensable and there is only one way to win. Total cost of ownership Total cost of ownership (TCO, hereafter) is deined to be the total cost to own and operate a piece of equipment over its useful life for testing. There are two core elements in the TCO; capital expenses (acquisition cost) and operating expenses. Operating expenses provide an area for much greater latitude in terms of what is included in the TCO model. The following lists the element in the operating expenses: Preventive maintenance costs Repair costs Downtime mitigation costs (i.e. spare units, etc.) Technology refresh (i.e. enhancements, upgrades, etc.) Training & education Resale value or disposal cost Facilities (i.e. space cost, electricity expense, etc.) Others (i.e. consumables, etc.)
4 04 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note Cost of test Cost of test (COT, hereafter) is deined the total cost to be spent for an equipment in the testing process in production lines at a speciic timing. (i.e. test and measurement equipment, automatic component handling machines, etc.). COT varies during the useful life of the equipment as shown in igure 1. Figure 1 shows the change of COT from t0 to t3. At the acquiring timing t0, COT consists of capital expenses and initial operating expenses like training and education in addition to other costs (a). At t1, the capital expenses still remain as depreciation expenses, but initial operating expenses are removed. After t2, capital expenses are removed and maintenance expenses are majority of the COT (b). This maintenance cost will increase at some time when product obtains a discontinued status and the oficial maintenance service from an equipment supplier ends(c). t1 TCO = COT x Useful life Cost of Test (COT) (a) Operating expenses Total cost of ownership (TCO) (c) Capital expenses (Depreciation in years) (b) t0 t1 t2 t3 COT: Average of cost of test Time Useful life (a): Education and training cost (b): COT down because of end of depreciation (c): COT up because of maintenance cost increase Figure 1. Change of cost of test Here COT is deined as average of COT in its useful life, then TCO can be expressed as TCO = COT x Useful life
5 05 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note Thus, COT is the required expense for testing and measuring a device under test (DUT hereafter) like equipment, component, and module to specify and assure the performance and quality. After the 1990s, manufacturing costs have been going down due to manufacturers striving to meet market prices to remain competitive as shown in igure 2. Manufacturing costs is nowadays about one-ifth of that in early 1990s. However, the COT has not changed and is almost the same as it was twenty years ago, due to the fact that test and measurement requirements in the production lines have become more complex to test advanced technology performance. In the total cost of a product, it is reported that cost spent in the production line is about 12% in average (*). COT occupies one-third of this cost and reaches 4%. Driving down the cost of test is the key factor to win the business in this very competitive market. Mfg conversion cost (per unit) Manufacturing cost COT 1995 Years 2010 Figure 2. Cost of manufacturing vs. COT Total cost of product Material cost 75% Development cost 7% Support cost (Marketing/Repair/Sales) 6% Manufacturing cost 12% COT 4% Mounting/ Assembly 8% Figure 3. Total cost of product
6 06 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note COT is inluenced and varied by the performance and quality of the testing and the measurement equipment used in the production lines. This formula is used to approach the COT by structured method: Definition and Key Parameters for Cost of Test Development Built-in self test Standard Platform Labor Rates Duration Ramp to Volume Equipment Delivery Product readiness Labor Rates Duration Equipment Capital Cost Expense Cost Quantity of systems Number of Test Points Quality (process and product) Useful life COT = D$ + V$ +E$ + R$ D$ + V$ + E$ + R$ N Recurring Test times Yields Labor Rates Utilization Uptime Support Spares & PM # of Units Volume N The depreciated capital cost is not the only cost to consider. There are many factors that need to be counted to obtain the total cost of test Figure 4: Deinition and key parameters for Cost of Test Development costs (D$) represent the cost to design and develop a test station. It is necessary to determine the software, ixture and necessary equipment for every test point and troubleshoot the process. Additionally, it is also important to consider what documents need to be made, evaluate the quality, design of technician labor rates and system management. Ramp to volume costs (V$) represent the cost to expand a test station number. All engineering support for test, veriication, mechanical preparation is in it. Procurement and purchasing costs and management costs are also included. Equipment costs (E$) consist of the purchase price or integration cost for every test point, including troubleshooting costs. Maintenance and scrap cost is also included. Recurring costs (R$) represent daily operating cost and labor, support labor of engineers and managers, support material cost for spares or equipment failure and preventive maintenance cost. Finally, the cost is divided by # of units (N), and COT per one device under test is calculated by this formula.
7 07 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note Vector network analyzer in COT This application note focuses on the contributions vector network analyzers provide (VNA hereafter) to drive down the COT. The table below shows the VNA performance and characteristics that impact the COT. Table 1: Factors relating to the drive down the cost of test Product Attributes Support Attributes Categories Factors Price Speed Dynamic range Stability/ accuracy Small trace noise Compatibility User I/F Upgradeability Quality/ durability De-factor Standard Warranty, repair cost Support tools/ application expertize Mfg. capacity/ global company Built-in self test Development Standard platform Labor rates Duration Equipment delivery Ramp to volume Product readines Labor rates Duration Capital cost Expense cost Quantity of systems Equipment Number of test points Quality (process and product) Useful life Test times Yields Labor rates Recurring Uptime Support Spares & preventive maintenance # of units Volume : Heavily related : Related Vertical axis shows factors of cost in the COT formula, and horizontal axis shows VNA s performance and product attributes. A single, black checkmark represents that the VNA s attribute is related to a COT factor, and double, red checkmark means that the VNA attribute is heavily impacts the COT factor. Because each VNA has different attributes, every VNA has different contributions to the COT. The next section discuss how the ENA can contribute to drive down COT.
8 08 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note Value of ENA Fast speed, small trace noise, and superior stability ENA has remarkable advantages relating to operating costs, explained in previous section. Additional advantages include the acquisition costs against former HP/Agilent VNAs (i.e., 8753 series) and other VNAs in the market. Overall, ENA can help you reduce COT. ENA is designed speciically for use in production lines of electrical components and modules. ENA contributes to minimize the COT in production lines by shortening the test time and increasing the yield, and leads the way to reduce the costs of products, components, and modules. Definition and Key Parameters for Cost of Test Development Built-in self test Standard Platform Labor Rates Duration Ramp to Volume Equipment Delivery Product readiness Labor Rates Duration # of Units Equipment Capital Cost Expense Cost Quantity of systems Number of Test Points Quality (process and product) Useful life COT = D$ + V$ +E$ + R$ N D$ + V$ + E$ + R$ Recurring Test times Yields Labor Rates Utilization Uptime Support Spares & PM Volume N The depreciated capital cost is not the only cost to consider. There are many factors that need to be counted to obtain the total cost of test R$ Recurring Test times Yields Labor Rates Utilization Uptime Support Spares & PM Fast measurement speed Small trace noise Good stability Figure 5. First, let s see how the ENA s fast measurement speed, small trace noise, and superior stability contributes to decreasing the COT in production lines. Measurement speed, trace noise, and stability are related to the test times and yields heavily as shown in table 1. We will discuss each of them in the following section.
9 09 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note Typical Examples of ENA Contributions to Drive Down the COT Fast measurement speed E5072A 23 ms E5071C 41 ms 8753ES 848 ms Figure 6. Measurement speed comparison: 1601 points, full 2-port cal, 1 GHz to 1.2 GHz IFBW = 6 khz (8753ES), 500 khz (E5071C and E5072A) The measurement throughput (the time taken to test one DUT) directly impacts the COT. However, the test requirements have been becoming complex and precise according to the trend of increasing complexity and high performance and quality of DUTs. As a result, even in the testing in production lines, the test limit has been becoming strict and the measurement speed has not been able to increase due to necessity of very detailed measurements. For example, with SAW ilter tests which is used in handset devices, millisecond order measurements are required to produce huge amounts of devices. To achieve this, recent VNAs have a wider RBW (IFBW), faster measurement and CPU performance, and faster error calculation compared to the legacy VNAs. Segment sweep function also helps users to tailor the sweep condition so that minimum but necessary test point is measured. Reducing measurement time luctuation is also important for fast measurement time testing, because the luctuation limits the maximum performance of auto-test and handling machines. The ENA was designed to minimize the measurement time luctuation and provide one of the most stable measurement times in the market. Another key factor for fast SAW ilter/duplexer measurement is having a small trace noise for its pass band test under fast measurement condition. We ll discuss detail about it in the following section, but E5071C ENA can measure a single-ended to balanced SAW ilter by up to 3 times faster than other comparable VNAs in the market. 3x faster Other VNA Figure 7. Segment sweep Figure 8. Total cycle time example
10 10 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note In case of the ilter testing which is used in the base transceiver stations (BTS) of wireless communication infrastructure, both the insertion loss and rejection band measurements must be done at a time and this requires a very wide dynamic range. To measure the rejection performance, a VNA often needs to have more than 120 db dynamic range. Normally, this measurement needs to use very narrow RBW to cover a wide dynamic rage, but using the narrow RBW takes measurement time. If a VNA has a small measurement uncertainty, the wider RBW can be used and the measurement time is gets shorter. In addition to the superior stability, the ENA minimizes the uncertainty of measurements thanks to the quality of circuit design and measurement algorithm. As a result, to get the same dynamic range, ENA can use a wider RBW than other VNAs and this makes the measurement throughput shorter than other VNAs. For example, in the test of highrejection BTS ilters that requires > 120 db dynamic range, E5072A ENA shows 16 times faster throughput than other comparable VNAs in the market. Small trace noise Figure 9. Trace noise comparison At the high signal level measurement, like pass-band evaluation of the ilter, high-level trace noise is one of the important factors that impacts accurate test and yield. This is because large high-level trace noise reduces tolerant of the test margin. Thus it s important for users to check and keep the trace noise level small enough at DUT s test frequency so that misjudgments don t happen during the test. Because high-level trace noise is proportional to SQRT(RBW), you can maintain the trace noise small by selecting narrower RBW. Because ENA has smaller high-level trace noise than other comparable VNAs in the market, ENA can use a wider RBW than other VNAs to have the same amount of trace noise, and this also makes the measurement throughput shorter than other VNAs.
11 11 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note Superior measurement stability Stability shows that immunity of an instrument from the changes of the measurement environment, such as the time and temperature. The stability performance is one of the key speciications which show the design quality of an instrument. In the production lines, an instrument often runs continuously around the clock (24 hrs x 7 days) to produce the planned numbers of DUTs. However, the environment around the instrument is unfortunately not stable during the production, and luctuates. To get a stable measurement result in such a luctuating environment, it is indispensable that the instrument has a superior stability performance. If using an unstable instrument, frequent recalibration is necessary and the line must be stopped and this increases the downtime. Also, the uncertainty of a measurement result which is caused by the instability of an instrument must be added to the tolerances of a go-no-go limit in testing in addition to the uncertainty of DUTs. This directly impacts to the decrease of the yield of production lines and increases the COT. Test result of stable instrument # of unit Unstable instrument Fail Figure 10. Stability impacts the yield Pass Fail ENA has a superior stability performance compare to other VNAs in the current market. ENA helps reduce downtime and increases the production yield. Figure 11. shows the measurement luctuation comparison of the pass band of a ilter in a certain time. The luctuation of ENA (E5071C in this case) is very small against that of other VNAs.
12 12 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note Good stability Elapsed time after calibration: 5 min Elapsed time after calibration: 120 min Pass Pass 120 min. later Better stability ensures the better test quality. Pass Fail More straightforward, better stability reduces the frequency of calibration which means engineers can save time and cost Figure 11. Stability comparison. Other company s VNA shows fail after 120 minutes later.
13 13 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note See how ENA s superior stability and lower trace noise reduces COT This is a simulation example that shows how the ENA s 4 times better stability and 10 times better trace noise compared to the 8753ES series contributes to reduce the COT. Assumption is that a customer has been testing using the 8753ES series vector network analyzer. For the required test, 8753ES takes 20 seconds for one DUT test. The left bar in the following igure shows operation cost when testing 100 DUTs by the 8753ES. The cost was calculated as 0.38 cents for each 100 DUTs. Then middle bar shows what if there is a VNA with 4 times better trace noise but at the same trace noise level. Thanks to the good stability, the calibration period can be extended. This increases the average throughput and reduces the COT by 33 % or 0.12 cents. Additionally, the good stability reduces technicians work time by 45 minutes per day because of less calibration requirements, and it allows them more time for other tasks. The right bar shows ENA s assumption with 4 times better stability and 10 times better trace noise than that of 8753ES. Better trace noise allows you to use wider IFBW but still keeps the same level of yield. In this calculation, it reduces COT by 93% or cents per 100 DUTs test. Operation expenses per 100 DUTs High volume manufacturing case Operation expenses [$] 0.38 Operation expenses per 100 DUTs 0.26 Better stability but worse trace noise Better stability AND better trace noise x4 better stability reduce COT by 33% or per 100 tests Technician has 45 minutes free time per day because of less calibration time x4 better stability AND x10 better trace noise reduces COT by 93% or per 100 tests Technician has 45 minutes free time per day because of less calibration time Figure 12. Operation expense simulation
14 14 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note Other aspects reducing COT Here are other ENA values to reduce COT in various stages. Reduce development costs Many sample programs and easy-to-access embedded/web help iles (operation manual) helps reduce development cost of the production line. Common command structure in the ENA series using industry standard SCPI structure helps write programing code easily with a small amount of education and training time. 50 sample programs on the help and web Figure 13. sample programs example Quick access to the help ile and search target command Figure 14. Embedded help ile and command ind page Drop-in legacy VNAs by code translator (E5071C/72A) The E5071C and E5072A have an 8753 code compatible mode in which the analyzer automatically translates the 8753 s remote programming commands for operation on the E5071C/E5072A. This enables you drop-in replacement in the automated test environment.
15 15 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note Reduce ramp to volume Short delivery time Short delivery time of the ENA has been recognized as one of the key advantages for manufacturing customers. By centralizing manufacturing facilities and optimizing supply chains, like using common components as much as possible, Keysight has realized and provided the delivery beneit to our customers. Reduce equipment expense 3-year standard warranty ENA also offers 3-year standard warranty. Keysight s ability to offer a three-year standard warranty is the result of ongoing quality initiatives that, between 2002 and 2012, yielded unprecedented improvements in product reliability. This combination of reliability and coverage brings you three key beneits: increased conidence in instrument uptime, reduced cost of ownership and greater convenience if service. It s just one more way our solutions help you achieve your business goals. When you choose Keysight, you get greater reliability standard. Upgradeability ENA is a safe investment because of its lexibility. You can easily upgrade the necessary features of the ENA whenever you need the feature. This includes not only software options like time-domain mode or frequency offset mode, but also hardware options such as maximum frequency, number of test ports, and a high stability option. Re-sale value Keysight products have credible resale value as shown in the igure below in commercial second-hand market. Also we have a program to buy old equipment from you when you buy a new VNA from Keysight. Please contact your sales representative for details. Figure 15. Typical price selling in the second market
16 16 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note TCO Simulation with ENA Here shows a scenario when introducing ENA in the production line instead of the 8753 series by using trade-in promotion program. As shown below, the scenario shows a positive NPV under a 10% capital cost. High volume test $0.004 Total Cost of Ownership Cost per Test (average costs over time) $0.003 Cost per Test [$] $0.003 $0.002 $0.002 Operating expenses $0.001 $0.001 $0.000 Operating expenses Capital expenses E5071C 8753X Figure 16. TCO - Cost per test comparison Free cash flow [$] 30,000 20,000 10,000 0 (10,000) (20,000) (30,000) (40,000) (50,000) Yr0 Yr1 Yr2 Yr3 Yr4 Yr5 Yr6 Yr7 Yr8 Yr9 Yr10 Yr11 Free cash flow Trade-in credit Purchase Product comparison DUT Assumption Operating expense cost reduction per test Cash low/yr and NPV impact Opportunities E5071C and 8753ES Component test for handset, like SAW ilter or duplexer E5071C can measure x10 faster than the 8753ES, corporate tax 20%, capital cost 10%, depreciation 5 years - 96% CF +$20k/yr, NPV +$106k 2-port to multi-port testing. Multi-site test for further fast through-put and lowers the cost. Figure 17. Free cash low simulation Considering the risk that the operation expense becomes larger for old equipment after the support period, replacing the legacy equipment with a new one at the proper time will be a critical business decision.
17 17 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note Conclusion We discussed the definition of TCO and COT in this application note, then shown that the vector network analyzer is one of a key contributors to reduce COT of your DUT. The Keysight ENA is a mid-performance VNA series with superior cost performances in the current market. ENA is designed for use in production lines and has various advantages which help and contribute to drive down the COT at each useful product life cycle. In the initial phase, its superior supportability, functions, information as well as financial program support decreases purchasing and developing costs. In the running test phase, its superior measurement speed, small trace noise, and better stability contributes to reduce the COT drastically. At the end phase, its upgradability and great resale value positively impacts to your company s bottom line and makes it easy to prepare for future test needs. Add the ENA to your line and drive down the cost of test. D$ + V$ + E$ + R$ Development Sample programs Embedded help command finder Ramp to volume Short delivery Equipment 3-year warranty Upgradeability Recurring Fast measurement speed Small trace noise Command compatible Re-sale value Good stability # of Units Volume N Figure 18. ENA contribution to drive down the cost of test References and Links For the latest line-up of the ENA series network analyzer, visit Keysight ENA Series Vector Network Analyzer Web Page White Paper: The Real Total Cost of Ownership of Your Test Equipment, literature number EN Managing Your Test Equipment s Total Cost of Ownership, literature number EN
18 18 Keysight Drive Down the Cost of Test Using the ENA Series of Network Analyzers - Application Note mykeysight A personalized view into the information most relevant to you. LAN extensions for Instruments puts the power of Ethernet and the Web inside your test systems. Keysight is a founding member of the LXI consortium. Three-Year Warranty Keysight s commitment to superior product quality and lower total cost of ownership. The only test and measurement company with three-year warranty standard on all instruments, worldwide. Keysight Assurance Plans Up to five years of protection and no budgetary surprises to ensure your instruments are operating to specification so you can rely on accurate measurements. Keysight Technologies, Inc. DEKRA Certified ISO 9001:2008 Quality Management System Keysight Channel Partners Get the best of both worlds: Keysight s measurement expertise and product breadth, combined with channel partner convenience. For more information on Keysight Technologies products, applications or services, please contact your local Keysight office. The complete list is available at: Americas Canada (877) Brazil Mexico United States (800) Asia Paciic Australia China Hong Kong India Japan 0120 (421) 345 Korea Malaysia Singapore Taiwan Other AP Countries (65) Europe & Middle East Austria Belgium Finland France Germany Ireland Israel Italy Luxembourg Netherlands Russia Spain Sweden Switzerland Opt. 1 (DE) Opt. 2 (FR) Opt. 3 (IT) United Kingdom For other unlisted countries: (BP ) This information is subject to change without notice. Keysight Technologies, 2014 Published in USA, October 11, EN
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