Magna Steyr - saving double-digit millions of euros across entire product lifecycle

MAGNA STEYR manufactures a coupe on behalf of Peugeot. The development phase started in 2008, with ambitious cost targets from the outset, and was due to be completed in only 18 months through the use of virtual design and manufacturing development techniques. For the first time, MAGNA STEYR was completely responsible for the development, purchasing and production of the specific vehicle components - accounting for 40% of the material cost.

MAGNA STEYR asked PA, along with the local project team, to draw up a cost reduction programme, to close the gap with the originally defined target costs for the vehicle components. As a result, they saved double-digit of millions of euros across the lifespan of the product, both in terms of part costs and machinery and development costs. The change request management improved cost transparency and eliminated the risk of cost increases.

To find out how PA can realise product cost optimisation in your business, please contact us now.