The CCO with suppliers
Deploy and apply a target cost design approach
Practical sheet REF: FIC0675 V1
The CCO with suppliers
Deploy and apply a target cost design approach

Author : Patrice QUENDERFF

Publication date: March 10, 2012, Review date: June 12, 2024 | Lire en français

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5. The CCO with suppliers

The CCO application described is generic but is more internally oriented within the company (known as "Make" mode). The application has variations when used in relation to a supplier or industrial partner.

Please note

We are talking here about a supplier who handles both the development and manufacture of the purchased component.

Two elements are particularly significant and differentiating in the implementation of the "Buy" mode:

  • the phase before or after supplier selection;

  • the contract in which specific CCO clauses can be included.

Before selection:

  • you set a target price;

  • you draft the specifications...

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