What’s new in Teamcenter Product Cost Management?

By Emilia Maier

The intense competition to lead the market puts pressure on manufacturers to speed up throughput for new and smart products. With the new version 9.0 of Teamcenter Product Cost Management, we support you in the cost calculation for new product development initiatives or various product optimizations to fulfill new orders.

More accuracy for cost calculation by updated reference data

With the updated reference data for machines, labor rates, and electricity rates, etc. we offer you an objective and up-to-date foundation for your product decisions.

Machines of the latest technical generation are added to the reference database, to reflect more accurate cycle times, energy consumption and ultimately a more precise cost calculation. Especially machines used for tool costing work centers such as drilling, eroding, milling, and turning were reevaluated and replaced with the latest generation.

A detailed description of machine configurations provides cost engineers a better understanding of the machine and the cost differences of the same machine type.

Since the amount of software increases in almost all industries, manufacturing companies need to calculate new product development projects with a high amount of software development. To support the new industry developments the reference database was expanded with the skill level “Software Developer”. Further, to help cost engineers to validate the lower skill level “unskilled worker“ during negotiations with suppliers, the wage research was improved and the minimum wage for many countries was added as a reference value.

Usability improvements in the framework for Excel-based parametric models

The technology-driven costing which is a framework for Excel-based parametric models represents a comprehensive cost model, based on the specific technology knowledge of costing experts (e.g. casting). The cost model supports purchasers, unexperienced cost estimators to easily calculate casting parts. This approach leads to reduced calculation time and error-prone, increased automation and standardization. The technology-driven costing provides unskilled estimators the possibility to do precise, accurate and detailed costing.

The new version supports administrators in implementing Excel-based cost models into Teamcenter Product Cost Management by increasing the usability of configurations and making this process simpler.

Automated simulations of differences between calculations

Cost engineers can quickly simulate cost differences between calculations, by using delta simulations. They can use this simulation capability to compare a brownfield calculation, which could be a supplier quote, with a greenfield should cost calculation. Based on this they can rule out the difference due to manufacturing location and supply chain decisions.

Enhanced the publish part capabilities and introduction of new roll-up and calculation engine

In “Quotation Calculation” and “New Product Development Profitability Tracking”, enhancements of the publish parts capability to even better enforce reuse of calculations within your costing community. We introduced several enhancements within the publish parts capability mainly with a focus to improve usability. For example, additional notifications to keep the user better informed or validations to prevent duplicate calculations, etc.

Our next-generation roll-up and calculation engine allow administrators to configure more sophisticated calculation methodologies, for example, full flexibility to configure the overhead costs. Additionally, new use cases are exposed since all manufacturing cost types can be leveraged in the program profitability calculation.

Reliable tool cost estimates through advanced feature recognition with NX Feature2Cost

Tooling estimators can automatically and accurately determine tooling production costs using the integrated capabilities in Teamcenter Tool Costing. The digitalized process, from part design to tooling cost estimate, can replace the time-consuming manual job tasks. This provides tool manufacturers and buyers a unique advantage in this highly-competitive industry.

With NX Feature2Cost for stamping, tooling manufacturers can analyze the major cost drivers for progressive die tools such as bending, cutting, embossing and drawing. These recognized features along with their parameters are seamlessly transferred to Teamcenter Tool Costing. After providing additional information, such as the production site, the system can precisely calculate the tool cost. By being able to quickly provide accurate quotations, tooling manufacturers are positioned to win more orders and increase their profitability.

Certification for Amazon Web Services

Implementation projects of Teamcenter Product Cost Management can be executed faster and at lower investment costs by leveraging Amazon Web Services to host the application and database servers.

Spanish language

Teamcenter Product Cost Management is now also available in the Spanish language to help serve our diverse customer base.

Performance optimizations

The performance in Teamcenter Product Cost Management was increased significantly in the area of using master data and mass data changes. Depending on the bill of material size and master data configuration, the achieved performance improvements are up to 75%.

Auditing capabilities for administrators

Administrators need capabilities for auditing to ensure a certain level of security and integrity within their user community. Thus, the auditing framework was extended by logging all: create, remove, update and delete operations within user management. Administrators can now ensure continuous security.

The new and optimized capabilities in Teamcenter Product Cost Management, not only enable you to analyze your potential more precisely but also provide you the decisive time advantage in turbulent markets. Learn more about Teamcenter Product Cost Management version 9.0.

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This article first appeared on the Siemens Digital Industries Software blog at