SAP Product Lifecycle Costing (PLC)

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SAP Product Lifecycle Costing (SAP PLC)

Saptix helps you quickly and accurately calculate costs and other key details for products and quotes early in the development process.

Protect and Improve Your Profits With SAP PLC

SAP Product Lifecycle Costing (SAP PLC) is an SAP solution that helps you calculate product costs based on the features of each production stage. With SAP PLC, you can simulate and compare different options to gain better visibility and control throughout the product lifecycle.

This solution helps you reduce future risks and improve your profit margins. SAP PLC works with both structured data (like BOMs and routings) and unstructured data (such as custom formulas, variable units, and text items). It allows companies to organize and standardize cost calculations across the business using common criteria in a single format.

You can deploy SAP PLC either on-site or in the cloud. It can be used as a stand-alone tool or integrated with your current solutions.

How Can SAP PLC Benefit Your Business?

Preliminary Cost Estimates
Build a pricing structure and prepare early cost estimates, even when you don’t have complete details like master data or prices.
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Quotation Costing
Estimate costs for custom and complex customer products using different pricing strategies. Easily compare the original quote with any revised versions.
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Lifecycle Costing
Assess and optimize costs at every stage of production, from manufacturing to product delivery. Create multiple calculation versions to achieve maximum profitability.
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Better Decision Making
SAP PLC offers “what-if” simulation scenarios, helping you make the best product costing decisions throughout the entire product lifecycle.
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Data Categorization
Organize and quickly find calculations and different versions using folders, statuses, and tags. You can also connect SAP PLC with enterprise systems and Microsoft Excel to import data like BOMs, routings, and standard prices.
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Faster Time to Market
Speed up research and development with improved business insights, all through a single reporting and analysis platform.
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What Business Issues Will You Overcome With SAP PLC?

  • Product Cost Calculation and Simulation

    Real-Time Cost Calculation: Instantly view up-to-date cost calculations with Saptix. Manual Override and Recalculation: Make manual adjustments and recalculate costs whenever needed. Versioning, What-If Simulation, and Target Costing: Use Saptix to create different versions, run “what-if” scenarios, and set target costs for better cost planning.

  • Data Modeling and Extensibility

    Custom Attributes, Fields, and Formulas: Work with your own custom attributes, fields, and formulas for more accurate calculations. Multiple Costing Sheets and Component Splits: Access and manage different costing sheets and split components as needed. Local Master Data Maintenance: Easily manage and update your own master data within Saptix.

  • Inbound and outbound integration

    Inbound Integration: Import data into Saptix from SAP ERP, SAP S/4HANA, Microsoft Excel, and other applications using APIs. Outbound Integration: Export data from Saptix to Microsoft Excel and other applications using APIs.

  • Pricing

    Multi-Currency and Dimensions: Work with various currencies and measurement units. Overhead Cost Calculation: Use multiple costing sheets to calculate overhead costs as needed.

  • Analytics & Reporting

    Project Analysis: Analyze and report on projects across the product lifecycle, costing categories, and other key areas. Version Comparison: Compare different versions of your data or calculations. KPI Analysis: Review key performance indicators to track business success. What-If Analysis: Run “what-if” scenarios to support better business decisions.

How SAP PLC Accelerates Time to Market With Competitive Prices

01

Import the pricing structure from any data source or create it manually.

02

Automatically determine prices based on a defined strategy.

03

Establish the initial basis using the first calculated and saved cost estimate.

04

Simulate or create additional cost estimate versions with the latest pricing information.

How We Can Help

We deliver a complete range of services for SAP PLC:

Consulting
We help you tailor SAP PLC to your company’s specific needs and ensure you maximize the value of the solution.
Implementation
Our experts support you in implementing, configuring, and optimizing SAP PLC so it fully aligns with your business processes.
Integration
Saptix integrates SAP PLC with your existing systems to enable seamless data exchange and consistent business process synchronization.
Support
With 24/7 professional support from our team, you can rely on stable SAP PLC operations and quick resolution of any issues.
Application Management
We help you get the most out of SAP PLC by continuously improving the solution, monitoring performance, and adapting it to your evolving business needs.

Implementation Roadmap

We follow the SAP Activate methodology, which divides the implementation of SAP Product Lifecycle Costing into six key stages:

FAQ

  • What is SAP Product Lifecycle Costing (PLC)?

    SAP PLC is a solution that helps businesses estimate and manage costs throughout the product lifecycle—from initial design and development to production and distribution.

  • Who should use SAP PLC?

    SAP PLC is ideal for businesses in industries like manufacturing, automotive, and high-tech, where accurate cost estimation and control are critical for profitability.

  • How does SAP PLC help with cost management?

    SAP PLC provides detailed cost breakdowns at each stage of a product’s lifecycle, allowing businesses to identify cost-saving opportunities early.

  • Does SAP PLC support real-time cost tracking?

    Yes. SAP PLC delivers real-time cost insights, enabling teams to make timely, data-driven decisions during product development.

  • How does SAP PLC improve profitability?

    By identifying and managing costs at the early stages of product development, SAP PLC helps businesses optimize spending and increase profit margins.

  • s there a cloud deployment option for SAP PLC?

    Yes. SAP PLC can be deployed in the cloud, offering flexibility, remote access, and scalability to fit business needs.

  • Can SAP PLC integrate with other SAP solutions?

    Yes. SAP PLC integrates with SAP S/4HANA, SAP PLM, and other SAP modules, creating a unified system for cost management.

  • How does SAP PLC support cost estimation for new products and modifications?

    SAP PLC supports both new product development and product modifications through templates and customizable cost models. By entering relevant data, businesses can generate accurate cost calculations and detailed breakdowns for analysis and decision-making.

  • Can SAP PLC analyze the impact of design changes on product costs and profitability?

    Yes. SAP PLC allows businesses to simulate multiple scenarios, reflecting changes in design, materials, labor, and other factors. Comparing these scenarios helps assess cost implications and make more informed design decisions.

  • How does SAP PLC support supplier negotiation and procurement strategy?

    SAP PLC provides transparent cost breakdowns, empowering businesses to negotiate better with suppliers. With insights into cost structures and quotations, companies can optimize procurement strategies, secure the best value, and strengthen supplier relationships.