Manage Product Cost and innovation across development life cycle

1. ConverBiz Bringing Data
Pursuing Excellence
Partnering Organizations
Product Cost Analytics Overview
ConverBiz Technologies

2. ConverBiz Bringing Data Closer......© 2013 ConverBiz – Proprietary and Confidential© 2013 ConverBiz – Proprietary and Confidential
Product Cost Analytics Overview
Strategic Sourcing Tactical SourcingAgile PLM
Product Cost Mgmt
Key Features
 Supplier Rationalization
 Spend projectionAnalysis
 Target cost control
Key Features
 Assembly Costing Analysis
 Commodity based Analysis
 Price/Cost Trend Analysis
 BOM ComparisonAnalysis
PCM Analytics Solution
Key Values
 Self Service Reporting on PCM
Data.
 Pre-built PCM Dashboard
 Tested with Agile 931 and OPLA
331
 Simplicity and Flexibility to
business needs

3. ConverBiz Bringing Data Closer......Copyright © 2013, ConverBiz and/or its affiliates. All rights reserved.
Business Challenges
• Getting Complete visibility into managing cost with latest
design and with best negotiated price from partners.
• Complexity to get comprehensive insights into product
cost (Material cost and Non Material Costs) at early design
cycle in one dashboard.
• Getting insight into changing price trends of cost of
product of different parameters.

4. ConverBiz Bringing Data Closer......© 2013 ConverBiz – Proprietary and Confidential© 2013 ConverBiz – Proprietary and Confidential
Product Cost Analytics Overview
• What is top Cost drivers with current
design and latest quote/price ?
• What is Material Cost, Non Material Cost
components ?
• Who is best of supplier for this product ?
• Sourcing and RFQ Status ?
• Supplier Response performance and
leadtime.
• Price Trend by qty and effective date
• Target cost vs Cost Analysis
• What is spend by Supplier ?and Item
• Which supplier is preferred and aligned
with our strategic goals ?
• What if analysis of spend projection.
Assembly
Cost
Analysis
Commodity/
Product line
Analysis
• What are my commodity wise
spending breakup ?
• What is product line spending
breakup ?
• Which are commodity wise supplier
breakup ?
Spend
Projection
Analysis
1.Sourcing/Res
ponse Status
2.Target Cost
vs Cost Analysis
Product Cost Analytics
(PCA) is custom solution
built on Oracle Product
Lifecycle Analytics (OPLA).
This comes with Out of box
Dashboards, Dimensional
Data model and Data
Integration.

5. ConverBiz Bringing Data Closer......Copyright © 2013, ConverBiz and/or its affiliates. All rights reserved.
Product Cost Analytics Features
• Self service reporting Capability to business users on Product Cost
Dimensional model implemented with Oracle BI technology platform (ODI
and OBIEE) integrated with Oracle Agile Product Cost Management source.
• Assembly Costing Analysis on cost categories (Material and Non Material
Cost ), Roll up cost estimate, Target Cost etc.
• Assembly Cost Comparison of product BOMs.
• Supplier comparison Analysis.
• Key Insights into top Cost drivers of the product.
• Supplier Spend projection and analysis.
• Commodity based Product Cost analysis.
• Sourcing / Response performance.
• Product cost and Target Cost trend Analysis.

6. ConverBiz Bringing Data Closer......Copyright © 2013, ConverBiz and/or its affiliates. All rights reserved.
Sample BOM
Assembly Number: 200-0001
Assembly Name: Nextgen Modile phone
Assembly Revision: A
Approval Date: 1-Sep-15
BOM
Level
0 1 2
Part Number Part Name Revision Quantity
1 * 200-0002 Nextgen Mobile phone - Model X B 1
2 * 300-0001 Flash memory A 1
2 * 300-0002 Display Module A 1
2 * 300-0003 Touch screen B 1
2 * 300-0004 Application processor A 1
2 * 300-0005 SDRAM-Mobile DDR B 1
2 * 300-0006 Baseband B 1
2 * 300-0007 Camera Module A 1
2 * 300-0008 RF Tranceiver A 1
2 * 300-0009 GPS Receiver A 1
2 * 300-0010 Power IC RF Function A 2
2 * 300-0011 Bluetooth A 3
2 * 300-0012 Memory MCP A 4
2 * 300-0013 FEM A 1
2 * 300-0014 Power IC Application Processor A 1
2 * 300-0015 Audio Codec A 2
2 * 400-001 Label A 10
2 * 500-001 Dust Cover A 3
2 * 600-001 Packaging A 3
2 * 700-001 User Manual A 1
2 * 700-002 Guarantee Card A 1
Non Material Cost Attributes Cost Category
RM Freight_Unit Raw Material Non Material
Shipper Label Cost_Unit Raw Material Non Material
Component Scrap_Unit Raw Material Non Material
Unit Dose Labor_Unit Packaging Primary Components
RM Packaging Cost_Unit Packaging Primary Components
Pallet Cost_Unit Packaging Secondary Components
Granulation Labor Cost_Unit Labor
Packaging Labor_Unit Labor
Overhead_Unit Overhead
Overhead Fixed_Unit Overhead
Overhead Variable_Unit Overhead
RM Testing_Unit Testing
Fin Goods Testing_Unit Testing
Profit Margin_Unit Profit
Contract Adj Profit
Pricing Scenario
Quantity Break Quantity
1 100
2 150
3 200

7. ConverBiz Bringing Data Closer......© 2013 ConverBiz – Proprietary and Confidential© 2013 ConverBiz – Proprietary and Confidential
Assembly Costing Analysis
Drill Down on Raw
Material Cost

8. ConverBiz Bringing Data Closer......© 2013 ConverBiz – Proprietary and Confidential© 2013 ConverBiz – Proprietary and Confidential
Cost Pareto Chart
Top Cost drivers for
80% of Product Cost

9. ConverBiz Bringing Data Closer......© 2013 ConverBiz – Proprietary and Confidential© 2013 ConverBiz – Proprietary and Confidential
Supplier Spend Projection/Analysis

10. ConverBiz Bringing Data Closer......© 2013 ConverBiz – Proprietary and Confidential© 2013 ConverBiz – Proprietary and Confidential
Commodity Analysis

11. ConverBiz Bringing Data Closer......© 2013 ConverBiz – Proprietary and Confidential© 2013 ConverBiz – Proprietary and Confidential
Sourcing Status / Response performance
Sourcing Status RFQ by Life Cycle Response Performance by Supplier

12. ConverBiz Bringing Data Closer......Copyright © 2013, ConverBiz and/or its affiliates. All rights reserved.
Other Services
• Architecture and Strategy Roadmap for Enterprise BI
Systems.
• Onsite/Offshore DW Production support
• Services for troubled/failed implementations
• Analytics Dashboards for Big Data sources using Open
Source BI Platforms and Cloud technologies.

13. ConverBiz
www.ConverBiz.com
#7, 6th Cross, Panduranga Nagar, Bangalore-560076, India
sridhar@converbiz.com
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