On the last blog post (Product Cost Management – What is it?), I talked the different ways that my colleagues and I have seen the meaning of Product Cost Management take shape over our careers and PCM’s development. Culture, Goals, Incentives – before attempting to put in place any process, people, or tools, the organization first has to ask the tough strategic questions.
One important thing for people who are navigating the map to realize is that Culture, Process, Team, and Tools are all interconnected and influence one another (see the top right in the header of the map).
Like all high level maps, there are cities and even countries shown on it that have more detailed maps of their own. Eric, this is a very good overview of the product costing software that is available on the market. And to complete your list of software vendors, you should know us ?? Since 2000 we develope software for product costing including calculation data.


Different processes and different participants are appropriate at different points in the cycle.
For example, if you are at the beginning of the PCM journey, it is likely that your company is not ready for all the processes shown. Part of the presentation was showing their map of the social media sphere that has become viral on the internet and the de facto standard many people use to orient themselves to the social web.
PLM, ERP) that may be customized, and (c) specialty Best-In-Class (BIC) tools that focus on PCM processes.
I am the owner of ORAGO, a german software company that offers product costing & project controlling software. I really liked that idea, and I’m a big believer in 1-page maps that give the reader an overview of a complex subject, as well as a starting point to dig for deeper detail.


And the big question: What is the priority of PCM and how much investment (honestly) will we make to close the gap from between today’s state to our goal? In the PCM World Map, many of the major BIC software systems are shown in a 2×2 diagram. The company may not have reached a capability level to benefit from some processes, people, or teams.
Once the company answers these questions, it can talk about the strategic structures that drive behavior (roles, incentives, and leadership support).



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