the product development company® Data Sheet WindchilP Cost REDUCE PRODUCT COSTS AND IMPROVE PRODUCT MARGINS Windchill Cost allows manufacturers to track both target and actual cost, and provide real-time cost visibility throughout the product development lifecycle. Now you can efficiently track the cost of all parts and products, analyze the cost impact of design alternatives, and empower users to ensure products are launched at target cost. The result: optimized profit margins. While product cost is a major concern for manufacturers, the majority of companies struggle to accurately track, measure, and communicate it beginning early in the product development process, where cost decisions have the greatest impact. This difficulty is due to the complexity introduced by frequent changes to the bill-of-material (BOM), part design, and suppliers. While there are specific costing methods and tools that generate data to help estimate cost, they are usually relevant only at select stages of the product lifecycle. Furthermore, these tools are disconnected from the actual BOM that is managed in key enterprise business systems, such as PLM (product lifecycle management). Consequently, changes either to the BOM or to the approved manufacturers list, for example, are typically tracked manually, and the results are not readily visible or accessible to engineers when they're making decisions regarding new parts An efficient product development process relies on automatically incorporating product changes in cost analysis. This approach not only creates accurate, up-to-date cost reports, but also allows cost analysis to be performed on every product design change and product configuration. Enter Windchill Cost-a solution that enables industry best practices and delivers real-time product cost estimates throughout the entire product development lifecycle. Windchill Cost delivers a number of important benefits: it makes product cost analytics an integral part of the standard product development process; it complements existing cost-estimate tool investments by utilizing different cost models for parts and assemblies based upon lifecycle stage; and it rolls up cost information for different BOM configurations. Above all, Windchill Cost empowers users to make smarter decisions to ensure that products meet all cost targets. Cost Status (Cost Model compared to Target Cost) Cost Rollup Estimate $206.82 Target Cost Cost Estimate Status Cost Estimate Confidence Part Cost Cost Model Total Cost by Estimate Type Improve product decisions by understanding the cost impact of change throughout the standard development process. Page 1 of 3 | Windchill Cost

Data Sheet Launch products at - or under - target costs With traditional costing methods, manufacturers often wait until after the product design has been completed before they estimate product costs, so they can avoid the difficulties of incorporating frequent product changes. Unfortunately, by the time a design is complete, the majority of product costs have already been locked-in, resulting in missed targets and costlier products. A more efficient solution is to leverage real-time cost analysis in a design-to-cost process. Using Windchill Cost, product designers and other stakeholders can...

Data Sheet Multiple Cost Estimation Techniques Windchill Cost allows users to record multiple cost estimates per part. Costs can be based on actual cost from an ERP system, estimates from the engineering group, or future projected costs. Windchill Cost generates reports showing if parts and products meet cost targets, with analysis to support product costing • Manage cost targets, multiple cost estimates per part, and estimate confidence level for each part • Quickly identify products that are over cost targets and view visual feedback of the parts within a product that • Drill down into cost-breakdown...