Aerospace & Defense
Innovation and collaborative, synchronized program management for new programs
Innovation and collaborative, synchronized program management for new programsExplore Industry
Integration of mechanical, software and electronic systems technologies for vehicle systemsExplore Industry
Product innovation through effective management of integrated formulations, packaging and manufacturing processesExplore Industry
New product development leverages data to improve quality and profitability and reduce time-to-market and costsExplore Industry
Supply chain collaboration in design, construction, maintenance and retirement of mission-critical assetsExplore Industry
Integration of manufacturing process planning with design and engineering for today’s machine complexityExplore Industry
Visibility, compliance and accountability for insurance and financial industriesExplore Industry
Shipbuilding innovation to sustainably reduce the cost of developing future fleetsExplore Industry
Siemens PLM Software, a leader in media and telecommunications software, delivers digital solutions for cutting-edge technology supporting complex products in a rapidly changing market.Explore Industry
“Personalized product innovation” through digitalization to meet market demands and reduce costsExplore Industry
Faster time to market, fewer errors for Software DevelopmentExplore Industry
Knowledge-Based Approach for Product Cost Optimization
Product cost optimization supports the realization of a win-win result for manufacturing companies and their suppliers, at an optimum cost for customers. For that reason, it is necessary to focus on cost optimization right from the beginning of the product lifecycle, i.e., at the conceptualization stage of a new product. Companies can create significant cost optimization through better understanding and evaluation of cost drivers across the entire value chain.
Product Cost Management is a software-enabled methodology that helps manufacturers understand the cost implications of their design and sourcing decisions. This transparency allows them to identify cost saving ideas such as changing materials, simplifying designs, combining parts / functions, or changing production locations. Product Cost Management is a detail-oriented process that systematically determines what a part should cost.
This white paper provides insights on how manufacturers from various industries analyze and optimize costs for manufactured goods during the design phase. It also shares the value of using a knowledge-based costs to negotiate and make process improvements with suppliers.