How do we define our consulting approach?
In the last 20 years BERODE has intensively dealt with many concepts, approaches, methods and procedures for the reduction of product costs available on the market and has tried them out in a multitude of projects. Be it the classical value analysis according to VDI, target price analyses from the automotive industry, parametric cost estimations, system thinking or other disruptive optimisation approaches.
What can you expect from BERODE?
The expectation of our customers to fulfil high cost reductions in relation to the current series has risen strongly in the last years. In mechanical and plant engineering it is often minus 30 – 40 % in agricultural and construction machinery industry minus 10 %.
What are our success factors?
For this reason, we have defined the success factors for such project goals based on our experience and built our value engineering approach on them.
The following are among the key success factors:
- A well-prepared initial situation, consisting of 3D models, priced parts lists and specifications and a first rough estimate of achievable cost reduction targets.
- The commitment of all employees involved as well as the management and divisional management to achieve the cost optimization goal and to allow degrees of freedom in case of changes.
- The product must be evaluated by means of cost analysis (independent of current purchase prices) in order to provide cost drivers and initial indications for an optimization strategy.
- The development of a functional structure of the product results in a common understanding of the product and takes the identification of new solution ideas to another level.
- Know-how and experience brought in from outside enrich the solution finding process and provide impulses that have not been known in the company before.
- All new solution concepts are immediately evaluated by means of cost analysis in order to verify the right optimization strategy at an early stage and to avoid reactive power.
- The implementation of the optimization concept must be accompanied by a consultant or employees assigned for this purpose. There is a very high risk that the motivation to further implement the concept will decrease. In addition, during the implementation process, lost potential can be compensated for by developing new ideas.
Taking these success factors into account, embedded in a comprehensive value engineering concept, we were able to achieve the goals agreed upon at the beginning of all our cost reduction projects. Frequently, product quality and product performance are also improved.