Navigating Cost Drivers and Sustainability in PCB Production: A Comprehensive Guide
August 22, 2024 | Michael Marshall, NCAB GroupEstimated reading time: 2 minutes

In May, I had the privilege of presenting "Cost Drivers in PCB Production" to attendees at the SMTA Wisconsin Expo. This presentation, one of our most popular, received tremendous feedback, inspiring us to share our insights more broadly through a comprehensive white paper on the subject.
One of my favorite examples to share from this white paper which really illustrates the impact of both cost and sustainability is panel utilization. Utilization is the percentage of the working panel allocated to the specific array. Pricing is based on the entire working panel. If you have a PCB that takes up two-thirds of a panel, there is not enough space left on the panel to fit a second board but you still pay for all the wasted material. In addition, this results in excess material waste.
Consider these three panel options below. We can see the large waste strips (or wasted area) in panelization 1. In panelization 2 and 3 we have removed these waste areas. The smaller array allows more boards per panel and helps keep a high material utilization and also a low material demand.
In these examples, panelization 3 is the lowest cost option. It has the same composition as the actual PCB but ends up in the recycling bin after the PCB is depaneled. Option 1 is a very common request however it comes at a premium and increased waste over option 3 which has a higher panel utilization and also a smaller material demand due to the reduced number of smaller rails.
This visual is a tangible example of cost driver and sustainability impact, and how they can relate to one another. In this white paper we dive into more than 20 examples categorized into two types: hard cost drivers and soft cost drivers, providing insights into their impacts and effective management strategies, while also keeping in mind the aspects that contribute to the sustainability impacts of a PCB.
Hard cost drivers encompass direct, tangible costs that are quantifiable and associated with the physical aspects of a project. These costs are typically straightforward to estimate and track, making them critical components of project budgeting. In the white paper, we break down aspects like board size, layer count, and via types
Soft cost drivers, on the other hand, are indirect costs related to the electrical design, engineering analysis, drafting, and modeling. Hiring skilled professionals, using advanced design software, and conducting feasibility studies are integral to this phase. While these costs are not directly tied to physical components, they are essential for ensuring that the project’s feasibility, safety and adherence to desired specifications.
We invite you to explore this detailed article on cost drivers and sustainability impacts, helping you get your design right from the start. You can download the full Cost Drivers white paper here.
Michael Marshall is a field application engineer at NCAB Group.
Suggested Items
QD-OLED to Account for 73% of OLED Monitor Shipments in 2025, Driven by Advancing Technology and New Products
04/16/2025 | TrendForceTrendForce’s latest investigations reveal that ongoing advancements in OLED displays are propelling the growth of QD-OLED monitor shipments. QD-OLED’s share of OLED monitor shipments is expected to rise from 68% in 2024 to 73% in 2025, highlighting its strong competitiveness in the high-end monitor market.
Tariff Uncertainty Weighs on Display Demand, Pricing, and the Supply of AMOLED Materials,
04/09/2025 | TrendForceTrendForce reports that the U.S. began implementing reciprocal tariffs on April 9th, based largely on trade deficits. Consequently, Asia—particularly Southeast Asia, a key hub for the consumer electronics supply chain—has been significantly impacted.
Cirtronics to Lead Robotics Commercialization Discussion at 2025 Robotics Summit & Expo
04/09/2025 | CirtronicsCirtronics, a leading contract manufacturer specializing in complex robotics builds, will host a must-attend panel discussion at the Robotics Summit & Expo, April 30 – May 1 at the Boston Convention & Exhibition Center.
LG Display’s Guangzhou LCD Plant Officially Transferred to CSOT, Boosting Its Share of Large-Generation LCD Capacity to 22.9%
04/01/2025 | TrendForceLG Display’s Guangzhou Gen 8.5 LCD line was officially transferred to CSOT today (April 1st) and renamed “T11”.
Real Time with... IPC APEX EXPO 2025: LPKF's Advancements in Laser Depaneling Technology
03/25/2025 | Real Time with...IPC APEX EXPOIn this recent interview, Jake Benz from LPKF Laser and Electronics discusses advancements in laser depaneling technology, focusing on speed and quality. He highlights the previous negative reputation of laser depaneling and shares insights from nearly two decades of experience. As customer needs evolve, traditional companies are exploring laser technology.