OUGHTA COST PURCHASING PROCESS

摘要

A computer system (10) for developing what the cost of a part should be for purposes of facilitating a purchasing transaction, based upon the assumption that both parties are world-class competitors. The developed cost of the part is based on input data including material costs (Figs. 2-7), labor costs (Fig. 8), capital costs (Fig. 9), manufacturing costs (Figs. 10-14) and overhead (Figs. 15, 16) assuming that the best practices in design, manufacturing, supply chain management, labor rates, uptimes and yields will be employed and the supplier will continue to be the best in its industry. The system generates detailed reports (Figs. 17, 18) showing how the developed cost was determined for use in open fact-driven discussions with the supplier thereby eliminating requesting quotes, factor cost analysis and target costing. Upon agreement on the cost of a component or process, a mutually satisfactory agreement on price will result.