Jaguar Land Rover optimizes costing with FACTON EPC
FACTON EPC ensures costing data remains consistent / central data pool with all of the relevant calculation parameters.
Jaguar Land Rover (JLR) is relaunching its costing system with FACTON EPC at the core of its Cost Management of New Model Programmes. The British carmaker will use the EPC solution to launch its first, all programmes, centralized database featuring all of the relevant calculation parameters. “Jaguar Land Rover has consolidated and grown into a cohesive whole in recent years. However, in some cases our data structures still reflected our company’s organization under BMW and Ford and thus lacked standardization,” explains Adrian Mardell, Deputy CFO and Operations Controller at Jaguar Land Rover. “The flexibility within FACTON EPC has enabled us to replicate existing data structures, facilitate the cleaning of existing data as well as build in consistency with standardized calculation methods for the first time. The interplay between these elements provides us with solid calculation results.”
EPC software consolidates all of the data required for calculation from existing IT systems – both from the ERP world and from engineering. The underpinning data is automatically updated on a daily basis, which eliminates the need for JLR employees to process it manually. The EPC system also provides maximum clarity; standardized bills of materials are available and can be structured hierarchically.
“Jaguar Land Rover is currently expanding its product portfolio. This means that our data volume will only increase in the future. And reports and scenarios will become more and more complex,” notes Alexander M. Swoboda, CEO of FACTON GmbH. “The foundation for efficient reporting is a standardized data structure across all product lines. FACTON EPC helps provide a solid foundation for decisions JLR will need to make today and in the future.”
The FACTON EPC application puts the “Enterprise Product Costing (EPC)” approach into practice – a cost management method for standardized, enterprise-wide product costing independent of location and department. The aim is to calculate, simulate and evaluate costs early on and throughout every phase of the product lifecycle in order to shed valuable light on cost optimization potential. A unified database paired with standardized processes and methods will help promote a uniform understanding of costs throughout the enterprise to yield comparable, precise calculation results.