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A Case Study in Product Costing Software: How Axcelis Technologies Saved 10% on a Large Spend
Technology Category
- Analytics & Modeling - Predictive Analytics
- Functional Applications - Product Lifecycle Management Systems (PLM)
Applicable Industries
- Semiconductors
Applicable Functions
- Product Research & Development
- Quality Assurance
Use Cases
- Predictive Maintenance
Services
- Software Design & Engineering Services
- System Integration
The Challenge
Axcelis Technologies, a semiconductor manufacturing equipment company, faced significant challenges in controlling and reducing costs. As a relatively small company, they needed a software solution to help eliminate costs and save money. The primary purpose of value engineering at Axcelis is to reduce costs and increase margins by redesigning or modifying designs. However, the process is complex and depends on when the team enters the process. The company adopted aPriori, a product costing software, to address these challenges. Initially, it took time to set up the software properly and learn how to use it to its maximum potential. The goal was to streamline the process and save on material costs and labor hours.
About The Customer
Axcelis Technologies is a company that has been in business for over 35 years, specializing in building semiconductor manufacturing equipment, particularly ion implantation systems. These systems are critical in the integrated circuit (IC) manufacturing process. Despite being a relatively small company, Axcelis has a strong focus on value engineering to reduce costs and create more efficient processes and products. The company needed a software solution to help eliminate costs and save money, leading them to adopt aPriori, a product costing software. The business excellence manager at Axcelis, who has a background in value engineering, Six Sigma, and strategic sourcing, played a key role in this adoption.
The Solution
Axcelis Technologies adopted aPriori, a product costing software, to address their cost control and reduction challenges. The software allows for automated cost analysis, enabling faster and more accurate cost quotes. This capability is crucial for value engineers who need to make informed decisions quickly. aPriori can run several different scenarios at once, allowing Axcelis to adjust costs on the fly. The software also helps in cost avoidance by identifying suppliers that offer parts at higher costs than alternatives. By scanning through 100 machined and sheet metal parts, aPriori helped Axcelis identify cost and design outliers, leading to more informed supplier negotiations. The platform's ability to manipulate data and run different iterations while waiting for quotes has been instrumental in making cost-effective decisions.
Operational Impact
Quantitative Benefit
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