Basis for negotiation for a plastic part
Negotiation success of EUR 60,000 after cost estimate with 4cost-aces
Initial situation & task
- The purchasing department needs information in order to obtain convincing arguments for savings in negotiations with the supplier in three days.
- Internally, there are no experts in the field
- Obtaining comparative quotations is not feasible in terms of time
Approach
- Client sends all known information to 4cost
- The experts at 4cost carry out a quick estimate with 4cost-aces
- After 24 hours, results received as a report including detailed output
- Negotiated with the supplier on this basis
Results
- During the negotiation, a saving of over EUR 60,000 was achieved for the first annual call-off
Negotiation leverage overheads (overhead and margin)
Negotiation success of 3 x 20 % price reduction after overhead cost analysis with 4cost
Initial situation & task
- The purchasing department wants to verify the price of a supplier
- In addition to the parametric analysis of manufacturing costs, an overhead cost analysis is to be carried out
- Purchasing wants to have two levers (arguments) of “cost optimisation” in hand
Approach
- Manufacturing costs parametrically evaluated with 4cost-aces
- Overhead costs parametrically evaluated with 4cost-scenarioanalyser
- Supplier confronted with results of 4cost
- High potential identified
Results
- 3-year contract signed with an annual saving of 20 %