In the early stages of a product development process, the estimated manufac
turing cost is the primary information needed to determine the profitabilit
y of a product. The mure reliable is the cost estimating process, the more
likely the right decision will be made. In this research, a framework to es
timate the lowest product manufacturing cost from its AND/OR tree represent
ation of alternate processes is developed. Although, thr manufacturing cost
considered is focused on processing and material handling costs, the frame
work also makes provision for the inclusion of other sour ces of costs such
as fixture and set-up costs. To show the full scope of the system, the agg
regate estimates of these other sources of costs have also been modelled an
d included in the framework. Unlike some earlier research which analyses a
single arbitrary process sequence, the cost estimation system developed cho
oses the best process sequence from among all feasible alternative sequence
s. The process sequence selection is based on the minimization of the total
manufacturing cost from among all the feasible process sequences. Because
it is assumed that the process costs are sequence-dependent, a mathematical
model combined with a heuristic solution are employed to determine the low
est manufacturing cost estimate and consequently, the minimum cost process
sequence. By providing the complete overview of the framework, future devel
opment and enhancement is easier and more transparent to undertake.