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Product Cost Management

Product Cost Management

To win new business, automotive suppliers must demonstrate capabilities to meet target price estimates, and act as true collaborators in reducing program costs. With an integrated product cost management solution that combines the power of a PLM platform with sophisticated product cost management tools, suppliers can forecast and analyze target costs, best cost-based purchase prices and profitable sales prices.

To win new business, automotive suppliers must demonstrate capabilities to meet target price estimates, and act as true collaborators in reducing program costs. With an integrated product cost management solution that combines the power of a PLM platform with sophisticated product cost management tools, suppliers can forecast and analyze target costs, best cost-based purchase prices and profitable sales prices.

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Automotive cost management and profitability analysis during new product development and introduction (NPDI)

Cost Estimation & Management Software for Automotive Supplier

Discover how a cross-functional collaborative cost estimation and management solution can help your company define profitability at an early stage of the product lifecycle.

Product Cost Management

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OEMs and Tier 1 suppliers expect price reductions from downstream suppliers as part of their continuous improvement initiatives. In the pursuit of vendor consolidation, automakers are looking for suppliers that can demonstrate capabilities to meet target price estimates and act as true collaborators in helping to reduce program costs. The ability to accurately estimate costs is critical for automotive suppliers to win or lose business.

Our integrated product cost management solution combines the power of the world’s leading global PLM platform with sophisticated product cost management tools all in one system. Auto suppliers can implement standardized costing methods and analyze accurate estimates of product costs.

The knowledge of cost drivers and how engineering changes affect estimates are critical in realizing product cost targets. Integration with the PLM platform enables cost engineers to work within the context of the product lifecycle to obtain reliable cost estimates regarding target costs, best-cost-based purchase prices and profitable sales prices.

Product Cost Management

Solution Capabilities

Bill of Materials Management

By providing a common source of BOM information across your organization that is flexible and scalable, you can meet and exceed the market demand for more innovative and varied product offerings.

Design-to-Cost

View the entire price structure in our solution for product costing, and cost engineers can see the impact of development-related changes on the price at any time to identify cost drivers earlier.

Profitability Calculation

With the profitability calculation, executives can secure product investments by predicting future unit costs and prices over the entire product lifecycle to transparently break down annual costs, revenues, and cash flows.

Purchase Price Analysis

Run reliable cost estimates of supplier parts on different commodities ("shadow calculations") to help in cost structure negotiations with suppliers to negotiate future target prices or purchase prices based on reliable cost details.

Quotation Costing

Supports speed and accuracy of request-of-quotation responses which helps companies to win more business and negotiate with customers using "optimized but comprehensible" cost data in customized formats to establish your price.

Target Costing

Determine product cost in the early stages of preliminary costing and target costing for the entire price structure of your products and variants based on the bills of materials and bills of process.

Tool Purchase Price Analysis

Cost engineers can use our solution to do shadow calculations as a plausibility check on the calculations of their suppliers. Extract costing information such as technology data, part descriptions or 3D-data to create cost calculations.

Tool Quotation Costing

Our parametric calculation solution for tool costing enables an optimum balance between accuracy and time-based calculation effort with precise tool calculations and transparent cost breakdowns in a short time frame.

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