Reference Case Study:
International consumer product company having major profitability challenges with a high end product
High end product having too high Cost of Goods Sold (COGS) compared to set gross margin target. Cost saving alternatives, which would compromise customer experience, were not an option.
Established cross-organizational product COGS management process, focusing on early product development phase as 80% of the product COGS is fixed at that phase.
Major COGS Optimization Initiative (involvement of approx. 50 people company wide) did lead to significant reduction of BOM cost, warranty and production costs of the product in the scope.