Hiller Associates & CIMdata, Inc. conducted an on-line survey to better understand the emerging discipline of Product Cost Management (PCM) within discrete manufacturing industries. The analysis shows that product cost is one of the top attributes that must be delivered by product development. However, very few companies are able to consistently meet their product profit targets at launch. Certainly, one major cause of this is product cost overruns. Although companies are very interested in PCM, they have a difficult time knowing where to begin. Companies believe the biggest bottlenecks to improving their PCM are their culture and lack of a consistently defined and executed PCM process. Culture and process are seen as much bigger challenges than having the wrong team of cost experts or insufficient software tools. This report provides a detailed overview of the findings.
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