Improve profits by managing costs accurately in the early design phase

Secure future product margins in the early stages, when the design is evolving and master data is incomplete. With the SAP Product Lifecycle Costing solution, you can gain visibility across teams, proactively manage costs, and support new product innovations and customer-specific engineered products.

• On-premise deployment or cloud deployment
• Flexible user interface to create costing structures and simulations
• Open integration with ERP solutions from SAP or any other costing data source
• Extensibility framework to adjust to customer needs
• Precise cost prediction with machine learning

Key benefits

Increase profitability

Use early product engineering, quotations, and lifecycle costing to help increase profitability.

Optimize costs and maximize revenue

Calculate and model various cost scenarios while designs are still evolving and master data is only partially available.

Go to market quickly and cost-effectively

Achieve leaner processes and accelerate research and development by enabling collaboration and reducing expenses.

Key features

Product cost calculation and simulation

• Support modern, real-time cost calculation using SAP HANA
• Handle calculations flexibly with manual override and recalculation capabilities
• Enable versioning, what-if simulation, and target costing

Data modeling and extensibility

• Use custom attributes, fields, and formulas
• Access multiple costing sheets and component splits
• Manage local master data maintenance as well as integration with enterprise and Microsoft Excel software

Inbound and outbound integration

• Import data from SAP ERP, Microsoft Excel, and other applications using the API
• Export data to Microsoft Excel and other applications using the API

Pricing

• Use the price selection strategy for components and activities
• Support different currencies and dimensions
• Calculate overhead cost through any number of costing sheets

Analytics and reporting

• Apply management reporting
• Use project analysis and reporting across the product lifecycle, costing categories, and other dimensions
• Access version comparison

Advanced technology

• Expand your visibility by leveraging all existing cost-relevant information
• Identify cost drivers quickly by using a real-time calculation engine powered by SAP HANA
• Optimize product costs along multiple dimensions by embedding what-if analysis