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Strategic Value Assessment (aSVA)
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The aPriori Strategic Value Assessment (aSVA)

Proof-of-Concept Engagement Demonstrates aPriori’s Value…
and Provides Actual ROI Through Identified Cost Savings

 

The aPriori Strategic Value Assessment (aSVA) is a short-term, proof-of-concept project to confirm the value of the aPriori Enterprise Cost Management Platform prior to a larger-scale deployment. Usually completed over four days, an aSVA applies aPriori’s technology to an organization’s own people, parts and facilities to find real savings in product costs. With the average customer experiencing 4 to 8 times annualized return on investment, an aSVA provides immediate payback, while building a strong business case for a longer-term engagement.

In a recent aSVA, an aPriori customer evaluated design scenarios for 18 of its parts over four days and identified $987,500 in savings.

During an aSVA, customers answer critical questions about aPriori and their business, including:

  • How does real-time cost information empower employees to find cost savings through design and production alternatives?

  • How does aPriori fit into an organization’s processes and culture?

  • What is the return on investment opportunity for a larger-scale implementation?

 

The aSVA Process

 

After a short orientation, the customer’s own employees evaluate aPriori over a three- to four-day period, indentifying real product cost savings using their own parts and projects. aSVA participants – from engineering, manufacturing, sourcing and project management – use aPriori to work on new product introduction (NPI) and value analysis / value engineering (VA/VE) initiatives. During the evaluation, participants can explore design, material, manufacturing and volume changes for parts they are currently working on. The results drive decisions to reduce and avoid cost on existing projects.

Reduce Product Costs

At the conclusion of the hands-on test, aPriori reviews the final results, incorporating participant feedback and a summary of identified cost savings into a final aSVA report. The final report includes:

  • Performance Against Objectives – Confirms the financial and strategic value that aPriori will deliver.

  • Business Case – Outlines how aPriori will identify hard-dollar savings to decrease product costs.

  • Rollout Plan – Recommends an approach to deploy aPriori across the organization.

The world’s leading discrete manufacturing and product companies rely on aPriori to reduce cost of goods sold and significantly improve financial performance. In four days, an aPriori Strategic Value Assessment will demonstrate how your organization can benefit from real-time, predictive and precise product cost assessments.

Design Proposals

$ Cost Savings
(Per Part)

% Cost Savings
(Per Part)

Annual Volume

Annualized Cost Savings

LPG Tank Assembly
$ 16.57
8 %
6,600
$ 109,000
Hydraulic Component Tray
$ 11.99
47 %
2,000
$ 23,980
Cowl Assembly
$ 3.47
20 %
7,000
$ 24,290
Steer Axle Mount Assembly
$ 5.31
25%
2,500
$ 13,275
Step Mount Bracket
$ 0.86
17 %
7,000
$ 12,040
Rear Mount Assembly
$ 1.68
6.2 %
7,000
$ 11,760
Brake Bracket Assembly
$ 0.21
2.0 %
7,000
$ 1,470
Brake Pedal Assembly
$ 0.10
< 1.0 %
7,000
$ 700
 
$195,515

Here’s what our customers have said regarding their aSVAs:

  • “aPriori helps do it right the first time and reduces rework.”
    -Senior Design Engineer
  • “aPriori provides an opportunity to collaborate early with the supplier.”
    -Director of Sourcing
  • “aPriori reduces interruptions to the plant for cost estimates.”
    -Manufacturing Manager
  • “We can now get reliable cost estimates in real-time, rather than having to wait 5-7 days in our old process.”
    -VP of Engineering
  • “The information in an aPriori cost assessment is great decision support for supplier negotiations.”
    -Strategic Sourcing Manager

To learn more about aPriori’s Strategic Value Assessment, contact us at 978.371.2006 or via email at sales@apriori.com.

 

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