Faster, Clearer, Safer: Boost Sales Offer Efficiency with Cost Engineering Software

When working with next-tier suppliers, there's no need to recreate calculations from scratch, as the existing knowledge is leveraged. Moreover, by incorporating embedded cost structures for processes and materials, suppliers can easily benchmark their offers against industry standards based on best-practice greenfield calculations, ensuring competitive pricing. 

Another key focus of the sales offer process is the analysis of purchased parts. By carefully examining the costs associated with components sourced from sub-suppliers, companies can identify potential savings and ensure competitive pricing.

Finally, by including suppliers in calculations, transparency in the purchasing process is increased. This approach ensures a more accurate representation of costs throughout the supply chain.

Being part of a competitive industry, suppliers are often faced with tight deadlines and a high volume of requests from OEMs. The pressure to respond quickly to numerous requests while maintaining accuracy can be overwhelming, potentially leading to errors or missed opportunities.

OEMs are increasingly demanding comprehensive cost transparency from their suppliers, which can go as far as open book accounting. This demand for detailed cost breakdown has even become standard in some industries and markets. Meeting these demands while protecting proprietary information and meeting supplier financial targets can be a difficult balancing act for suppliers.

Projects rarely remain static from start to finish. Suppliers must be prepared to handle changes and adjustments throughout the process. This flexibility is crucial, but it can be time-consuming and error-prone without the right tools to quickly recalculate and update offers.

Beyond external challenges, suppliers must maintain robust internal financial controls. This includes accurate profitability analysis and effective cost management across all operations. Balancing these internal needs with external pressures requires sophisticated tools and processes.

Working with next-tier suppliers brings additional complexity. Delays in receiving information or variations in sub-supplier costs can significantly impact a supplier's ability to provide timely and accurate quotes to OEMs. Reducing dependency on these external factors is critical to remain competitive.