Calculate target prices and target manufacturing costs

Calculate target prices and target manufacturing costs

The calculation of target prices and target manufacturing costs has only one thing in mind: The streets are paved with gold. You only have to pick it up. Depending on the project focus, this requires either

a) part maps and geometric analysis for drawing parts; or
b) classification of catalog components or assemblies.

From these data, price and cost drivers can be determined algorithmically and automatically, price and cost formulas can be derived and target prices and target manufacturing costs can be calculated fully automated with PartExplorer. In this way you avoid the superfluous Sisyphean task of classical calculation methods.

The following use cases will then become a piece of cake:

  • Show you suppliers which parts you are buying too dear and which price you will accept in the future.
  • Give your suppliers the target price you are willing to pay for new parts.
  • Choose the most favorable sourcing strategy or manufacturing methods for your drawing parts.
  • When it comes to product development, opt for features that can be produced at lower costs than comparable products.

For determination of price and cost drivers as well as for derivation of a target price and manufacturing cost formulas we highly recommend NLPP® from our cooperation partner Saphirion®. Among other things non-linear methods are used here, which exclude negative prices.  In addition a PartExplorer Plug-in is available for NLPP, which ensures seamless integration.

Benefit of calculating target prices and target manufacturing costs:

  • Reduce purchase prices and manfuacturing costs

Measures to achieve calculation of target prices and target manfacturing costs:

  • Process planning and implementation concepts
  • PartExplorer
  • NLPP
  • PartscapeNavigator