Your Situation

Are you looking for ways to sustainably reduce engineering cost? Are your engineering cost increasing due to too many variants, rework and inefficient workflows? Do you have specific targets to reduce your cost? How to improve engineering processes? Looking for ideas to use Lean Development to make your engineering processes more efficient? Tangible improvements with measurable results need clear concepts and excellent change management. Today engineering management must have a clear concept how to assess cost and productivity and how to best implement objective-driven improvements.

Our Solution

Vector Consulting Services supports companies in improving their efficiency and in reducing engineering cost:

  • Vector Efficiency-Check to evaluate your cost reduction potentials
  • Analyzing, evaluating and optimizing cost structures
  • Reducing rework and complexity
  • Implementing variant management
  • Utilizing different engineering locations and suppliers
  • Automating processes with suitable engineering and management tools
  • Lean Development and Toyota Production System (TPS) in product engineering
  • Introducing product families to optimize platform strategies

Your Benefits

Many clients are working with Vector Consulting Services to identify efficiency potentials and to sustainably improve productivity. We deliver measurable results instead of mere theoretic analyses.

 

Reference Project

Initial Situation

An automotive supplier faced the clear need to reduce engineering cost in order to remain competitive against global competition. It became immediately obvious that he would not succeed with implementing the necessary changes on his own. The risk was too high that targets would only partially be achieved and that employees would try to stick to existing structures.

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Solution

With support of VCS the efficiency program got a concrete focus and clear – organization-wide – objectives. First the cost drivers had to be measured and evaluated. This was not trivial as the available data from projects did not provide sufficient insight into the cost of specific process steps, cost of non-quality, late changes and rework. There were many efficiency levers, such as variant management or the cost of non-quality, but it was also obvious that by covering only the engineering side they would not materialize. We therefore integrated product management, product marketing and operations into the efficiency project. On that basis the necessary improvements in requirements engineering and change management could be systematically implemented. Afterwards the results had to be safe-guarded to ensure sustainability and to avoid that savings would get lost in complexity increases.

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Results

The systematic requirements and change management achieved a cost reduction in product development of 12%.

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Improve your Efficiency

Cost pressure? Inefficient product development and service? Looking for tailor-made improvements?

  • Contact us to discuss your challenges or to conduct the Vector EfficiencyCheck.
  • Read our white papers on efficiency improvement and lean development.