Product Costing - SitechPLM

Make smarter product costing decisions early within the lifecycle

Teamcenter Product costing

Product Costing

Many corporations are nevertheless the use of isolated databases and spreadsheets, even for cost calculations within the early tiers of the product improvement method. Typically, business enterprise resource planning (ERP) structures do no longer offer sufficient aid for a dependable fee evaluation in the early stages of product improvement.

Teamcenter® product costing affords a company-huge platform for creating and handling calculations and captures the enterprise’s inner costing expertise centrally. Teamcenter product costing also gives the potential for records alternate among ERP and product lifecycle management (PLM). Product costing makes use of the technique of the classic overhead calculation based totally on a backside-up method. This approach is based totally on a detailed product structure and defines using materials and the procedure fees. Calculations are primarily based on modern benchmark information for production technologies, machines, materials, and worldwide labor costs. Various departments, such as cost engineering, purchasing, controlling and sales, can paintings collectively with the aid of the use of Teamcenter to attain the maximum gain.

Product costing permits you to make smarter selections early in the lifecycle. Read greater beneath.

Teamcenter Design to Cost


You can constitute the complete charge structure of your merchandise in Teamcenter product costing, and price engineers can see the impact of improvement-associated adjustments at the fee at any time. You can discover the fee drivers early within the development technique, and advocate opportunity solutions. With the possibilities for price simulation in Teamcenter product costing, which include evaluation of manufacturing technologies, you could also reproduce extraordinary scenarios for production.

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Profitability Calculation

With the profitability calculation, executives can comfortable product investments by using predicting future unit costs and prices over the whole product lifecycle. You can transparently destroy down annual costs, revenues, and coins flow and offer the premise for applicable signs, including an internal charge of return, internet present value, and payback intervals. Using the discounted cash flow calculation, you can determine the profitability of your projects and examine initiatives to make great investment selections.

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Teamcenter Profitability Calculation
Teamcenter Purchase Price Analysis

Purchase Price Analysis

With the purchase rate evaluation protected with Teamcenter product costing, as a buyer or procurement officer, you may run dependable value estimates of supplier parts on one of a kind commodities (“shadow calculations”). Teamcenter product costing additionally facilitates you in fee shape negotiations and price engineering workshops with suppliers. Based on these value estimates, you can negotiate future target prices or buy expenses primarily based on dependable price info. If favored, you can set up an open-ebook coverage.

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Quotation Costing

Teamcenter product costing helps in growing speed and accuracy of request-of-citation responses which facilitates companies to win more commercial enterprise. It helps you negotiate together with your clients using “optimized however understandable” price facts in custom designed codecs. You can use and explain this information in open-book conversations with the customer’s costs specialists to set up your charge. By supplying a clear fee shape and plausible breakdown of the product fees, you have a stronger negotiating function in cost negotiations.

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citation costing accuracy
Teamcenter Target Costing

Target Costing

Cost engineers can use Teamcenter product costing to determine product price within the early ranges of initial costing and target costing. You can calculate complex assemblies and variations as it should be and speedy. The entire price shape of your merchandise and editions based at the bills of substances and bills of the procedure can be reproduced. You also can decide and itemize direct charges and overheads, manufacturing steps and approaches, and materials and process parameters.

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