Looking Ahead: Using AI to Build Dynamic Cost Models

How to Analyze Should-Cost Models with Muir AI's Platform: 

1. Muir AI simplifies the complex task of creating should-cost models by providing deep insights into product materials, manufacturing processes, sourcing locations, and component pricing. Here's how you can use the Muir Platform to perform a thorough should-cost analysis for any product. 
2. For each product, include essential fields such as product name, material details, and mass. The Muir Platform can handle data for hundreds or even thousands of complex products, streamlining the process to create dynamic cost models.
3. Muir’s solution will automatically generate a synthetic Bill of Materials (BOM) for each product, using advanced AI. This enables an enhanced understanding of material, manufacturing, and process-related costs. This step helps you identify areas for cost optimization and opportunities for cost reduction.
4. With your data loaded, Muir AI facilitates product benchmarking against market prices or prices supplied to you during negotiations with your suppliers, enabling you to perform a rapid cost analysis against cost information you have on hand in your ERP. With Muir, procurement teams can leverage should-cost estimates against actual costs or quotes, highlighting discrepancies for further review.
5. Muir generates a detailed report, providing a comprehensive view of each product’s cost structure. You’ll uncover insights on cost savings opportunities, and recommendations on opportunities to reduce costs embedded within your product. These insights enable you to optimize procurement cost models and negotiate more effectively with suppliers.
6. Muir AI provides a scalable solution that empowers you to perform rapid and accurate should-cost analysis, enabling data-driven decisions that help you optimize both product design and procurement strategies.

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