Challenge
A leading automotive supplier needed to analyze and optimize the purchase prices of suppliers and effectively structure the sales prices of finished parts to car manufacturers. This involved precisely analyzing raw material prices, logistics costs, personnel costs and energy and gas costs. These external cost factors were to be compared with the actual prices from contracts.
Approach
We developed a comprehensive data model that integrated data from various sources. This model enabled a detailed analysis and comparison of external cost factors with actual purchase prices. In addition, we implemented a user-friendly front end that presented the analysis results in graphical and tabular form. This tool was developed specifically for purchasers, commodity managers and sales employees to ensure optimal utilization and interpretation of the data. Development was iterative, based on user feedback from a Figma mock-up to the final solution. The technical integration into the customer infrastructure enabled easy operation and maintenance by the customer’s IT department.
Results
The new data model and reporting frontend provided the automotive supplier with greater transparency regarding its cost structures. This improved the company’s position in price negotiations with suppliers and end customers. The insight into the cost components leads to more strategic decisions regarding purchase and sales prices and strengthens competitiveness. The customer reported optimized margins and increased efficiency throughout the supply chain.