The cost estimation tool described, explained and where to find information
Explanation of the colors used in the cost estimation model:
The information is first explained and then information about where the information can be found is presented. The source of the information is either labeled as reliable or as an estimation of actual value.
General information
The general information gives just that, general information about the part that makes it easier to separate it from other cases.
Information such as yearly volume and end of production can be used to give an indication of how much savings one could enjoy if a cost reduction is realised.
The manufacturing process is easier to follow in the cost estimation tool if description of the different manufacturing steps are provided, as can be seen in the example to the right.
Where found
Information needed Where to find the information Is the source trustworthy?
• Part number RFQ Letter RFQ - Autoliv & Supplier information Yes
• Drawing RFQ Letter RFQ - Autoliv & Supplier information Yes
• Yearly volume RFQ Letter RFQ - Part description Estimate
• Component name RFQ Letter RFQ - Autoliv & Supplier information Yes
• Process flow PPAP Yes
• Run@Rate date Contract review – A. General Estimate
• SOP/EOP Contract review – A.General Estimate
• Year over year cost down Contract review – A.General Yes