The anatomy of product cost - A guide to controlling cost through real-time visibility

Lack of visibility to cost drivers and potential manufacturability issues during the design phase can seriously hinder new product introduction. Design changes to the product in terms of geometry and material, along with other factors, can result in a failure to meet target cost – a problem which is often not discovered until late in the production process. This often results in a cycle of late-stage amendments that can translate to expensive delays in getting to market.

This paper will outline what makes up product costs today and explain how having a better understanding of the True Economic Cost of a product can measurably bene t manufacturing organisations across all sectors.