Direct Materials Costing and Spend Management

It's good to see aPrioriand Akoya talking more about the relationship between product costing, PLM, and Spend Management. In a recent press release, aPriori described the need to develop a "common language" between design engineering and procurement. According to aPriori, "The 'lingua franca' that translates the language of engineering into the language of business is 'cost', specifically, product cost." Akoya, a vendor in a similar space, albeit with a slightly different take on product and should costing, recently published a whitepaper that digs into feature-based analysis in more detail. You can read the whitepaper here (no registration required). While a bit technical, the paper clearly explains the process of should cost analysis and its potential benefits to direct material procurement leaders as well as design engineers. When I look at Akoya and aPriori it gives me hope that an entirely new generation of direct material Spend Management solutions are just starting to come to market.

Jason Busch

Discuss this:

Your email address will not be published. Required fields are marked *