Software to cut cost of purchased parts at Deere
A
Boothroyd Dewhurst product story
Edited by the Engineeringtalk editorial team
Jan 23, 2002
Deere and Company has purchased a corporate license for Design for Manufacture and Assembly software to reduce the cost of purchased parts in the company's major equipment divisions
Boothroyd Dewhurst has announced that Deere and Company has purchased a corporate license for Design for Manufacture and Assembly (DFMA) software.
Boothroyd Dewhurst said its software could enable Deere to reduce the cost of purchased parts in the company's major equipment divisions.
John Deere is the world's premiere producer of agricultural equipment and the world leader in forestry equipment, as well as major supplier of construction and lawn and turf care equipment.
After an 18-month pilot program proved successful, Deere's cost management group purchased the software as part of the group's continuous efforts in strategic sourcing.
"We have two mandates for the cost management group at John Deere: reduce part costs and increase product reliability," says Rich Norton, Manager, Cost Management.
"The process and materials cost estimating capabilities of DFMA software will assist in achieving both goals." DFMA software is a combination of two complementary tools: Design for Assembly (DFA) and Design for Manufacture (DFM).
Engineers use DFA software to reduce the assembly cost of a product by consolidating parts into elegant and multifunctional designs.
DFM software then allows the design engineer to quickly judge the cost of producing the new design and to compare it with the cost of producing the original assembly.
An extensive library in the software enables product developers to investigate alternative materials and processes for producing parts and helps them select the most cost-efficient design.
The cost management group at John Deere works with cross-disciplinary teams that include members of the supply chain.
The teams review a bill of materials for a part to establish a benchmark.
They then perform DFM analyses of materials and manufacturing processes to re-design the part and provide the supplier with a should-cost estimate based on the new design.
(This was Engineeringtalk's Top Story on 22 January 2002).
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