Design to cost project for the cabin equipping the new generation of tractors
Objective & context
We worked on the design to cost optimization for the new cabin equipping the multi range tractors of the German and French agricultural machine manufacturer. The aim is to design the future generation of the cabins and reduce the production costs to fit the profitability targets of the cabin project but also to contribute to the profit generation of the different tractors project (small-medium, medium and large size).
Organize the multi disciplinary teams per work package set up around the common profitability goals.
Define the cost drivers per commodity (by leading the workshops of brainstorming with engineering, purchasing and project management team)
Ascertain the target price for each sub system and commodity at early stage of the cabin design.
Follow the full cabin line up costs and define the opportunities and risks lists per commodity.
Manage the outsourced and internal cost target studies and assist the buyers for their understanding and negotiations with suppliers.
Added value & customer benefits
We obtained total 7% reduction on the project comparing to the previous generation of the cabs with some commodity costs negotiated with suppliers down to -30%. During our mission we also helped to adapt the customer’s “luxury conception culture” in the design phase to the cost target-oriented approach by sub-system managed by cost integration and their cost drivers understanding, particularly on the interfaces.