Too good to be true.

Large volumes, few variations. Fat margins and no competitive pressure. With machines running round-the-clock. Congratulations if that’s the way your business runs.

The reality is often quite different.

The clock ticks on relentlessly

Offers are prepared under severe time pressure. There is little room for maneuver in the deal. The customer is requesting the best possible prices from the start of production. For subsequent years, he demands savings that often run into double digits. If you make a miscalculation here, you will be out of the race…

…or not, and will end up paying down the road for the mistake you made when costing your offer. These mistakes are difficult to correct after the fact. Safety margins? That’s rubbish.

Cost analysis is a matter of survival

The buyer insists on cost transparency. The emphasis here is on risk avoidance. At the same time, he is expected to reduce material procurement costs year after year. Another reason he needs transparency and the ability to compare. This is why, for him, a thorough price structure analysis using a Cost Break Down (CBD) is no longer just an option. It’s a must.

“Purchasers want to understand manufacturer’s offer in detail, and want to be able to recognize the parameters that flow into the total price. In business the only survivors are those who collaborate as partners and communicate openly. Mid-sized enterprises are able to signal precisely this willingness from the start: using our costing software poseidon®.“
(Norbert R. Heinz)

Cost planning has to start with development

Successful cost engineering begins in the development phase. Design variants must be costed and assessed early and accurately. What does this edge here mean, and what type of wear on the tool will it entail? What are the implications of the cycle time, of rejects?

To good business

It’s all about communicating an adequate understanding of costs to the buyer. After all, he wants to be in good hands with you. Not just today, but down the road as well. Costing in the offer too tight? Price increase after the fact due to imminent insolvency? Nobody out there wants that. Successful business people know the value of a steady, reliable way of doing business.

We help you

We help you fully exploit the options available to you. With us, you will minimize your costs and win new orders. The spiral of success is turning. Preferably always up.