What is the structure of the costing model and how can the figures be interpreted? Which arguments put forward by the supplier in negotiations are valid and which counter-arguments can be used to refute them?
The implementation of the potential cost reductions resulting from a costing/cost analysis proves time and again to be a significant challenge for businesses, especially when external support on costing is involved and their assignment has been completed and the results handed over.
Realising potential
cost reductions
We are not satisfied with just making our customers aware of the largest possible cost reductions (should costs), we are interested in Procurement actually realising this potential when negotiating prices. This ability focuses on a stable customer-supplier relationship while at the same time effectively bringing home the envisaged costs.
