For over 5 years, we have been working regularly with off‑highway OEMs addressing lower production volumes, a high mix of purchased or proprietary parts, complex castings and forgings, hydraulic systems, stringent durability requirements, rugged operating environments, and long product lifecycles.

Machines
Target costing and cost benchmarking
Geographies
Considered for costing parts of a single machine by mapping its entire supply chain.
And more data points
In a typical target costing or cost reduction study.

Below are turnkey services where we partner with off‑highway OEMs on a project basis. All offerings are delivered through xcPEP and xcPROC.

We use engineering drawings or teardowns to deliver precise should-cost estimates for castings, hydraulics, weldments, and systems.

We benchmark your machine with your competitors to uncover cost-saving opportunities in materials, processes, labour & supply chain.

We tailor xcPEP to your products, suppliers, locations, and build custom raw material, MHR, and LHR datasets.

We set up a cost lab, create SOPs, train your team on live projects, and deliver a fully functional setup.

Deployment and Cost Lab Build-Operate-Transfer are services through which the ASI Engineering team ensures xcPEP is properly configured and effectively utilized.

ASI vs. Management Consultants vs. Benchmarking Companies
Approaches to Cost Optimization for Off-Highway Equipment Manufacturers
ASI – Engineering-Led Cost Transformation Management Consultants Benchmarking Companies
Engineering-led cost transformation using xcPEP & xcPROC, tailored for tractors, construction, and agricultural equipment. Focus on sustainable, structural cost reduction across full product lifecycles. Strategy-focused consulting aimed at solving isolated problems. Engagements are billable-hour driven and often lead to recurring cost challenges. No pre-existing off-highway equipment database. Deliverables based on expensive, one-off teardown or reverse-engineering projects.
Transparent Should Costing for every part, adapted to each manufacturer’s supply base and production process. Highly detailed, data-driven simulations enabling targeted cost-reduction initiatives. Relies on SME expertise and generic industry data. Often produces incremental changes without addressing systemic cost drivers. Costing often based on simplistic formulae from limited teardown samples. Insights rarely capture the complexity of heavy-duty off-highway components.
Proprietary platforms:
  • xcPEP – high-detail part costing & simulation
  • xcPROC – procurement intelligence & sourcing support
Optimized for the heavy-duty manufacturing environment.
General financial models and operational frameworks. Lacks manufacturing-specific cost simulation capabilities. Uses ad-hoc analysis tools for each engagement. No scalable platform for repeatable, accurate cost estimation.
Measurable, sustainable cost reductions with direct impact on margin and competitiveness. Recommendations improve current state but may not deliver optimal or lasting results. Outcomes are slow, costly, and often fail to justify the investment.
Rapid portfolio-wide analysis with live costing tools – weeks, not months. Multi-month projects from start to final report. Slow, custom project timelines with long lead times for any usable insights.
Engineering Led Cost Transformation
Of Off-Highway OEMs and Tier 1 Suppliers
Challenge ASI Solution Value
Key Challenges
  • Opaque cost structures for high value parts
  • Volatile input costs
  • Scattered data across teams
  • Limited visibility into drivers
Our Framework
  • Part-level costing using xcPEP
  • Supplier cost mapping via xcPROC
  • Should Costing of each and every part
  • Unified data layer for decision-making
Business Impact
  • EBITDA uplift
  • Faster time-to-insight
  • Improved exit multiples
  • Sustained competitive edge
Core Technology Platforms
xcPROC
Procurement Intelligence
xcPEP Costing Engine
Precise Should Costing
xcPEP Idea Module
Automated Design & Commercial Idea Generation
Build - Operate - Transfer Engagement Model
Phase 1: Build
Detailed Should-Costing Foundation
Phase 2: Operate
Idea Generation & Implementation
Phase 3: Transfer
Cost Engineering Function Handover
  • Data mapping from drawings and teardown
  • Teardown analysis of proprietary and competitor products
  • Alignment of cost models with company's reality
  • Development of raw material, LHR, MHR databases aligned to company’s products and supply chain
  • Supplier & route mapping
  • Should costing of everything the company makes and buys
  • Engineering idea generation: design / material / supplier / process / packaging changes
  • Engineering idea implementation
  • Commercial idea generation: negotiation gaps, alternate suppliers, import/export data
  • Commercial idea implementation
  • Cost Engineering Function is created inside the company
  • Full handover of platform and processes
  • Training, documentation, and continued support
Deliverables & Outcomes
Immediate
  • Baseline costing
  • Quick-win ideas
Medium-Term
  • Operational improvement
  • Margin expansion
Long-Term
  • Exit readiness
  • Value creation