Enterprise Cost Management techniques provide collaborative approaches to reducing costs. Through strategic ECM, companies can align corporate strategy and functional area execution, allowing them to formalize goals, establish accountability metrics and tracking to ensure timely plan completion and drive external collaboration with multiple groups like partners and suppliers.

Disciplined organizations reap benefits such as:

• A structured approach to help manage cost
• Family-based sourcing strategies
• Visual depiction of Supply Chain, Engineering, Purchasing, and Product Assembly
• Total Cost of Ownership (TCO)-based decision making
• Enhanced spend analytics accelerate analysis
• Risk-sharing implementation structure

CGN Global's Product Lifecycle Cost Management is a proven Enterprise Cost Management approach for cost control and profit margin improvement. It enables companies to achieve target cost structure by providing a framework to foster internal/external collaboration for opportunity generation and execution most efficiently within agreed-upon schedules. Our PLCM service establishes a division-wide cost management program that includes Idea Generation, Idea/Project definition, tracking, LOS reporting, and governance. Past programs have identified 4 - 8% cost reduction opportunities with realized results between 2 - 4 %.

Global Sourcing and Procurement can account for more than 50 percent of the total cost of manufacturing in most industries. Therefore procurement organizations are playing a more strategic role than ever before, helping companies achieve and sustain a competitive advantage by keeping costs low, providing goods and services efficiently and effectively, and drawing on the innovation and quality insights of suppliers.

Well-designed sourcing initiatives can generate substantial savings – up to 10 to 15 percent of a company’s purchasing costs and sometimes as much as 35 to 40 percent.

We work closely with our clients to deliver and sustain those cost improvements, improve cross-functional collaboration, develop new capabilities and more streamlined processes, and build stronger, more productive supplier relationships. By drawing on our global network of procurement experts in countries and offices around the globe, CGN can help companies develop customized plans to generate significant savings quickly.