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Transforming Product Cost Management at GE Aviation with aPriori
Technology Category
- Application Infrastructure & Middleware - Middleware, SDKs & Libraries
- Functional Applications - Manufacturing Execution Systems (MES)
Applicable Industries
- Aerospace
- Cement
Applicable Functions
- Procurement
- Product Research & Development
Use Cases
- Additive Manufacturing
- Inventory Management
The Challenge
GE Aviation, a leading provider in the Aerospace and Defense industry, aimed to advance their product cost management technologies. The company wanted to build a business culture where everyone was focused on product cost and had the tools to do so. However, they faced challenges around cost data. The data was available but was hidden among disparate and discrete systems, making it difficult for users to access and utilize the right information. Additionally, the company struggled with departmental and organizational silos, which led to connected handoffs and interdependencies that cost valuable time and money. The company needed a solution that would consolidate and streamline cost data, break down silos, and provide the right cost estimation tools for different phases of the product life cycle.
About The Customer
GE Aviation is a leading provider in the Aerospace and Defense industry with 48,000 employees and a revenue of $10.2 billion. The company set a company-wide vision to advance state-of-the-art product cost management technologies. They aimed to build a business culture where everyone was focused on product cost and had the tools to do so. However, they faced challenges around cost data and departmental silos. They needed a solution that would consolidate and streamline cost data, break down silos, and provide the right cost estimation tools for different phases of the product life cycle.
The Solution
GE Aviation turned to aPriori to build product cost models for more than half of their products to automate product costing. The first step was to create a data lake, bringing all the disparate information together and making it accessible to the entire team. They then worked on stitching the data together and publishing data sets so that the data is usable in the lake. Data cleanup and sourcing were also critical elements to their process. To break department silos, GE created a culture around product cost management which included representatives from design engineering, commodity buyers, manufacturing engineers, and cost analysts. They also implemented an automated approval process which enabled their domain experts to pass their stamp of approval on designs, data, and costs before they moved forward. Security protocols were also put in place to ensure the safety of their defense and commercial programs.
Operational Impact
Quantitative Benefit
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