Cost Down Programmes

---

Once the final production design of a product has been approved and ongoing production volumes have been established, an OEMs commercial team focus on possible cost downs that may be achievable by using alternative products or placing longer fixed price commitments.

This process often involves a number of potential supplier meetings, component approval requests and other time related costs. Diamond Electronics has extensive knowledge of managing cost down programmes both for products which have entered production and for pre production Bills of Materials for future products.

During the process we will review all aspects of the BOM including potential approval considerations, component price trends, initial alternative proposals and economic batch management. Our aim is to offer both short and medium term cost targets based on an agreed activity plan.

We will also review the local pricing levels to ensure that sourcing is managed in the most economical part of the world. This is undertaken with our local partners in the key markets.