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The Sicherheitskoeffiezient can play a role within differently ranges:

  1. in the technology (e.g. in the firmness interpretation of machines, vehicles and buildings),
  2. in the marketing and management.

Marketing and management

In the marketing and management it is a risk measure, which is used in the context of the break even point analysis with uncertainty. The safety factor expresses, over how much normal extent of utilization, or also utilization of capacity may sink, before the break even point is reached.

  • SK = 1 - XB/X

where:

  • XB - Quantity of the break even point
  • X - Quantity during normal extent of utilization

Example

  • XB = 500 pieces
  • X = 1500 pieces
  • SK = 1 - XB/X = 1 - 500/1500 = 2/3 = 0,6

Conclusion: The output may decrease/go back around 60%, before the break even point is reached.


Articles in category "Safety factor"

We found here 4 articles.

S

» Safety equivalent
» Safety factor
» Secretary problem
» Sunk costs

Related Websites

We found here 3 related websites.

  • factor of safety: Information From Answers.com
    Note: click on a word meaning below to see its connections and related words. The noun factor of safety has one meaning: Meaning #1 : the ratio of the.

  • Factors of Safety
    A Page Information on Safety Factors. ... The factor of safety also known as Safety Factor, is used to provide a design margin over the theoretical design ...

  • Safety Factor
    Safety factor is the structural strength divided by the minimum structural ... The greater the safety factor, the lower the likehood of structural factor ...

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