Joined-up thinking for disjointed procedures

Cost management needs a holistic approach, considering the product, its design, the manufacturing process and the business systems that support and deliver it.

Each of these, when viewed in isolation, ignores the bigger picture. But as we address each area in turn, we’re able to build a comprehensive, quantifiable model for your future cost management process.

Product Design

This is a fundamental concern that has been sorely neglected in recent years. It is here that the tangible aspects of customer value are defined and where cost is baked in.

To begin, QFD is used to define your product in terms of customer value. Then Value Analysis/Value Engineering and DFMA are employed to identify cost management opportunities within the product design.

During this process we are likely to:

- Eliminate excessive costs of minor functions
- Justify any increased costs for highly important functions

By this stage our cost management specialists are beginning to add value to your product.

Business Systems Analysis

Value Stream Mapping and Activity Based Costing (ABC) are used to identify and quantify waste throughout your Value Stream.

Value Stream Mapping is a simple visual tool to depict your full material and information flows. It illustrates how your business currently operates (The Current State Map) and how it should operate after improvement (The Future State Map).

Our cost management specialists combine this process with Activity Based Costing. This shows where costs arise and accumulate throughout the business. As a result, the costs of both value-added and non value-added activities become clear and accountable.

By combining these tools, we’re able to analyse your entire operation and establish a programme of works designed to eliminate waste.

With your new objectives in place, the new model contributes to an enhanced Future State Map, committing your business to see these improvements through to implementation.