# Process Validation (PQ) Lot Count and Cost Calculator for Medical Devices

> Source: https://netray.co/tools/medical-device-ppq-lot-count-and-validation-cost-calculator
> Publisher: Netray (netray.co), AI and integration engineering for ERP and manufacturing systems.
> Section: Free Tools

## Short answer

Costs a process performance qualification build from lot count, lot size, unit cost, destructive samples, test cost, labor and line downtime, and nets off units you can sell.

## Category

cost-finance

## Industry

Medical Devices

## Audience

- Validation engineer
- Quality manager
- Operations manager
- Estimator

## Tool

**Kind:** calculator

**Currency:** $

**Inputs:**

#### Number of PQ lots

**Key:** lots

**Type:** slider

**Default:** 3

**Min:** 1

**Max:** 10

**Step:** 1

**Unit:** lots

**Help:** Three is common practice, but the number should be justified statistically or by risk, not by habit.

#### Units built per lot

**Key:** units_lot

**Type:** number

**Default:** 1200

**Min:** 1

**Step:** 50

**Unit:** units

#### Standard cost per finished unit

**Key:** unit_cost

**Type:** number

**Default:** 42

**Min:** 0

**Step:** 1

**Unit:** $/unit

**Help:** Material plus conversion cost at standard.

#### Destructive or consumed test units per lot

**Key:** sample_lot

**Type:** number

**Default:** 80

**Min:** 0

**Step:** 5

**Unit:** units

**Help:** Seal strength, burst, tensile, sterile barrier and similar tests that consume the unit.

#### Lab cost per consumed test unit

**Key:** test_cost

**Type:** number

**Default:** 18

**Min:** 0

**Step:** 1

**Unit:** $/unit

**Help:** Internal fixture time or outside lab fee.

#### Extra inspection and data review hours per lot

**Key:** insp_hrs

**Type:** number

**Default:** 40

**Min:** 0

**Step:** 2

**Unit:** hrs

#### Burdened labor rate

**Key:** rate

**Type:** number

**Default:** 75

**Min:** 0

**Step:** 1

**Unit:** $/hr

#### Line time displaced per lot

**Key:** down_hrs

**Type:** number

**Default:** 16

**Min:** 0

**Step:** 1

**Unit:** hrs

**Help:** Production hours the line would otherwise have earned revenue.

#### Contribution lost per displaced line hour

**Key:** down_rate

**Type:** number

**Default:** 350

**Min:** 0

**Step:** 10

**Unit:** $/hr

#### Non-consumed units you can later sell

**Key:** sellable_pct

**Type:** slider

**Default:** 60

**Min:** 0

**Max:** 100

**Step:** 5

**Unit:** %

**Help:** Depends on customer approval and whether PQ units are released commercially.

**Outputs:**

#### Total units built

**Key:** built

**Expr:** lots * units_lot

**Format:** integer

#### Units consumed by testing

**Key:** consumed

**Expr:** lots * sample_lot

**Format:** integer

#### Gross build cost

**Key:** build_cost

**Expr:** built * unit_cost

**Format:** currency

#### Recovered value from saleable units (at cost)

**Key:** recovery

**Expr:** sellable_pct / 100 * (built - consumed) * unit_cost

**Format:** currency

**Description:** Conservative recovery at standard cost, not selling price.

#### Testing cost

**Key:** test_total

**Expr:** consumed * test_cost

**Format:** currency

#### Extra labor cost

**Key:** labor_total

**Expr:** lots * insp_hrs * rate

**Format:** currency

#### Displaced production contribution

**Key:** down_total

**Expr:** lots * down_hrs * down_rate

**Format:** currency

#### Net PQ cost

**Key:** net_cost

**Expr:** build_cost - recovery + test_total + labor_total + down_total

**Format:** currency

**Primary:** true

**Chart:**

#### Net PQ cost vs number of lots

**Type:** bar

**X:** lots

**From:** 1

**To:** 10

**Steps:** 10

**Series:**

- net_cost

**Disclaimer:** A budgeting estimate. The number of lots and samples for a validation must come from your validation master plan and a documented rationale, such as a statistical sample size or risk assessment, not from cost alone.

## Content

**Intro:** Process validation is one of the larger one-time costs in launching or transferring a medical device product. Quoting it badly either eats the margin or gets the budget cut after the protocol is signed. This calculator builds a transparent estimate you can paste into a quote or a project plan.

**Sections:**

#### How to use it

**Body:** Set the number of PQ lots and the units per lot from your draft protocol. Enter your standard unit cost and the number of units consumed by destructive or functional testing per lot. Add the extra inspection and data review hours, the burdened labor rate, and the production hours the line loses to the build. Finally, estimate the share of the remaining units you can later ship. Some customers approve PQ lots for commercial release, others require quarantine or scrap. The bar chart shows how net cost scales if the validation rationale calls for more lots.

**Bullets:**

- Pull unit cost from your ERP standard cost rollup
- Ask the customer in writing whether PQ units may be sold
- Count consumed units from the sampling plan in the protocol
- Include fixture and gauge time if you test in house

#### Method and assumptions

**Body:** Net cost equals gross build cost, less recovered value of units that can be sold, plus testing, extra labor and displaced production contribution. Recovery is valued at standard cost, which is conservative because the commercial price is higher. Displaced contribution represents the margin the line would have earned on normal work during the build, and is a real opportunity cost on a constrained line. The model is deterministic and ignores one-time equipment qualification (IQ and OQ) costs, which you can add as separate lines.

#### Choosing the lot count

**Body:** Many programs default to three consecutive lots, but regulators and ISO 13485 clause 7.5.6 expect the validation approach to be justified. Where a characteristic is attributes-based, a success-run sample size such as 59 units with zero failures supports about 95% confidence of 95% reliability. Where variables data exist, a Ppk target with a confidence bound is common. Use the chart to see whether adding a fourth lot is a material change in cost, then weigh that against the risk of an inconclusive result and a repeat build.

#### Common mistakes

**Body:** The usual errors are leaving out line displacement, assuming all PQ units are saleable without customer approval, and forgetting that a failed lot means a repeat build with a deviation and root cause. Include a contingency line in your quote equal to the cost of one extra lot if the process is new or the customer specification is tight. Also remember that revalidation after a significant change, such as a new tool or a material change, repeats part of this cost.

**Cta:** If you want PQ cost and lot status pulled from your ERP work orders and inspection results, we can build that tracker so budgets and actuals line up.

**Faq:**

#### How many lots are required for process validation?

**Answer:** No regulation fixes the number at three. The requirement is a documented, justified approach that shows the process consistently meets requirements. Three lots are customary, but a statistical or risk-based rationale for more or fewer is acceptable and expected to be written down.

#### Can PQ units be sold?

**Answer:** Only if the customer and your procedures allow it. Units must be fully conforming, traceable, and released through the normal process. Many device customers require approval before validation lots are released commercially, so confirm in writing and set the saleable percentage accordingly.

#### Does this include IQ and OQ cost?

**Answer:** No. This estimates the PQ build. Installation and operational qualification typically add equipment time, calibration, challenge testing at worst-case settings, and engineering hours. Add them as separate lines in your project budget.

#### Why include displaced line contribution?

**Answer:** Because on a constrained line, hours spent on validation are hours not spent on revenue work. Excluding them understates the true cost and leads to underpriced validation services or optimistic internal budgets.

## Search terms

process validation cost calculator, PQ lot cost medical device, PPQ build cost estimate, how many lots for process validation, IQ OQ PQ cost estimate, validation budget medical device, destructive testing cost calculator, process performance qualification cost

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