Managing a global product pricing process with PLM
There are a lot of reasons why business owners and stakeholders decide that using a PLM system in their business ventures is the logical next step. PLM simplifies almost every aspect of the production process. From saving time and resources to reducing the number of errors and simplifying the management process, Product Lifecycle Management (PLM) can be a real game-changer for businesses that dabble in many industries. But there seems to be one aspect of running a business that owners are interested in the most – the financial part. Due to the fact that managing a global product pricing process with PLM is a simplified endeavor, you will notice more and more business people reaching out for PLM. At Frontech Solutions EU, we help companies in a number of industries automate their business and track all aspects of the product lifecycle in one place.
Manage a global product pricing process with PLM – and much more
Sometimes, allocating more funds towards a unique PLM system seems like a waste of time, money, and resources. All it takes is a deeper look into the matter to be able to analyze the facts. In reality, PLM lets businesses to make more informed pricing decisions, not to mention it allows them to automate their global pricing strategies. This allows footwear and apparel brands that use PLM to quickly and efficiently implement global changes in order to suit the prices and market demands.
With PLM, many aspects of a business are automated. To give you an example of what PLM can do for you, take a look at the following numbers.
- 850 – the number of hours employees might use on collecting flavor consumption data
- 200 – the number of hours spent assessing whether recipes could be transferred
- 500 – the number of hours spent on preparing summary overview reports
Know that this is a real-life example of a company that will remain unnamed. Had this company decided to use PLM software, it could have automated all of these processes. That means that their employees wouldn’t be spending hundreds of hours on a process PLM can do in 6 times improved speed. And that goes to show that PLM has a great Return on Investment (ROI).
The specifics of translating pricing decisions into product development
As previously mentioned, PLM lets you have an insight into the entire product lifecycle. And pricing is a part of that lifecycle. The real advantage of using PLM software when it comes to pricing is that it allows different audiences to visualize price and cost in a couple of different ways. All of that happens at the same time as understanding how the pricing decisions you make at this point will impact your costs and areas of business down the line. A number of industries can profit from these ground-breaking benefits. At Frontech Solutions, we help businesses in different industries, such as Transportation and Service, and our PLM solutions can increase your business productivity, save your time, and help you monitor the entire manufacturing process.
Let’s say you are on the verge of launching a new product. You need to create the best business plan that will help you achieve long-term profit. That’s where our PLM solutions come into play. You can create a five-year plan that will factor in all the costs that await. At the same time, you will be able to model how to achieve the lowest cost entry to the market, all with the help of simplified calculations. As if these benefits weren’t enough, the results of these cost targets will also be available to product developers and manufacturers in the same system that helps them develop formulas.
Visualize the impact of the cost
Managing a global product pricing process with PLM is so handy because you have a lot of tools at your disposal. These tools can help you predict the impact of the cost of the ingredients you are planning on using. Consequently, that will allow you to understand a wide-reaching impact all of your choices have. Based on a few variables, such as the manufacturing plant and material costs, the system will calculate the total cost of the formula. This calculation lets product developers decide which ingredients meet their budget.
Negotiate with sellers
Arguably, one of the most responsible parts of any business endeavor is negotiating a price for your product. While PLM software can’t negotiate the price instead of you, it can help you forecast the potential of the finished products. And that is data you can use to later negotiate the price. Although speaking of all the effects PLM has on global product pricing, just saying that it can help you negotiate the price with suppliers and sellers would be an understatement.
With a PLM system in place, any employee from any department can make a well-informed decision. Employees can forecast, predict, and decide how the choices they make can have a different impact on product costs. This eliminates any last-minute decisions somewhere in the middle of the life cycle process. In return, that leads to more effective costing decisions that will take your entire manufacturing process to another level.
Premier PLM solutions at your fingertips
The effects unique PLM solutions have on the entire manufacturing process are undeniable. And with great ROI and a simple-to-use system, PLM is a piece of software your business has been in dire need of. At Frontech Solutions, we serve a number of industries that can greatly benefit from the product lifecycle management system. Once you get in touch with us and schedule a consultation, you will get access to the best PLM for your business. Track all the aspects of a successful business in one place and enjoy great efficiency. Frontech Solutions are at your complete disposal.