Democratization of Cost

A Product Cost Management platform provides early visibility to cost, consistency of costing practices across all members of the product team and higher throughput of cost optimized parts, all leading to a more cost-conscious culture where everyone is considering profitability with each decision they make.

Some of the key capabilities and benefits provided to core members of the product team include:

Group/Activities	Benefits/Outcome
Design / Engineering  Generate cost estimates for individual components or complete BOMs representing logical functional groups and complete products.  Continuously monitor product designs against both cost and weight targets.  Identify and eliminate cost drivers early in the product development process  Compare alternative designs to identify optimal cost outcomes.(NPI and ECOs)	 Launch new products at or below target cost/weight  Reduce the number of Value Engineering projects, and “get it right the first time”  Accelerate TTM by eliminating wait time for quotes on new product designs.
Sourcing  Evaluate multiple sourcing/manufacturing scenarios before sending an RFQ to suppliers  Understand true manufacturing cost before negotiating with suppliers  Cost optimize a larger volume of components/products using batch costing capabilities	 Avoid overpaying for outsourced parts  Achieve annual cost reduction goals  Negotiate more effectively with suppliers by concentrating on manufacturing data vs. commercial pricing.
Cost Engineering  Conduct detailed cost analysis on complex components to identify and eliminate cost drivers  Cost optimize a larger volume of components/products using batch costing capabilities  Amplify your cost knowledge throughout the enterprise by partnering with aPriori to refine and maintain cost models/data leveraged by the entire product team	 Achieve or exceed annual cost reduction objectives, even with limited manpower  Increase value of individuals and the entire program by identifying greater savings for the company.  Effectively provide “at elbow” service to the product team by embedding your knowledge and experience in aPriori.