The Use of Process Based Parametric Estimation Tools to Improve Supply Chain Value
Langridge, A
Galorath International

The use of high level parametric tools has been accepted across a wide swath of the engineering industry for many years, there are many skilled practitioners applying good quality tools, both commercial and bespoke, to generate the effort, schedule and cost for complex projects.

The acceptance that using high level drivers such as weight, modified by parameters that represent people, technology and process generates a valid estimation of the effort, schedule and cost of the development and production of elements within a project has provided a platform for the extension of parametric applications into the realm of the manufacturing process and detailed analysis of value within a design and manufacture supply chain.

This paper will look at the benefits of applying a process based parametric tool to

  • The design activity to generate lower cost solutions
  • The supply chain to ensure that the suppliers are delivering best value
  • Suppler development activities
  • Support best practise dissemination across the enterprise boundary to the first and second tier suppliers

    A case study will also be described that shows how the application of these tools within a supply chain development activity brings benefits to both the OEM and the supplier in terms

  • Faster response to requests for information across the supply chain
  • Transparency of information between companies
  • Reduced time and effort to support the estimation activity
  • Reduced cost