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Idea-to-Value Approach Strengthens Competitiveness: Global Value Engineering Program Drives 3x Higher Savings Than Target

Industry: Industrial Manufacturing

Service: Cost and Value Engineering

Service: R&d and Product Profitability

Parallaxe

Our Client

A global supplier of engineered cooling systems serving the power generation industry, with engineering teams across Europe, the U.S., and Asia.

Parallaxe

The Challenge

The company was losing global market share as prices remained 10–20% higher than competitors’. Although customers had historically paid a premium for high-performance, customized systems, increasing competition and cost sensitivity made this unsustainable.

  • High product costs eroding competitiveness and market share
  • Fragmented operations with limited knowledge sharing between engineering centers
  • Lack of standardization across product groups and regions
  • Absence of unified engineering practices to drive cross-regional efficiency

Real Results Achieved Together

The Value Engineering initiative delivered significant savings, strengthened collaboration across global teams, and established a unified framework for continuous cost optimization.

+200

Cost-reduction proposals developed across three product families

30%

Product cost reduction depending on product and region

$30M

In total savings, exceeding the original $11M target by threefold

Transformation Impact

  • Standardized design elements and components across global product lines
  • Strengthened global engineering collaboration and knowledge transfer
  • Sustainable cost management framework embedded across sites
Parallaxe

Our Approach

EFESO worked closely with the client’s engineering and operations teams worldwide to deploy a structured Value Engineering program focused on cross-functional collaboration and measurable cost reduction.

Value Engineering and Product Standardization

  • Conducted 11 Value Engineering workshops across three continents and six offices over ten months.
  • Engaged cross-functional teams to challenge every aspect of product design and manufacturing.
  • Identified shared components and processes to enable standardized designs across product lines.

Global Knowledge Sharing and Engineering Alignment

  • Established mechanisms for systematic design reviews and coordination across global offices.
  • Developed an implementation infrastructure to track cost savings and manage ongoing improvements.

Related Services

Cost and Value Engineering

Rising costs demand optimization from design through production. We apply cross-functional value engineering, zero-based redesign, and continuous cost tracking to protect margins.

R&D and Product Profitability

Markets demand profitable innovation faster than ever. We optimize the entire product lifecycle through design-to-cost, rapid prototyping, and portfolio profitability management.

Parallaxe

Facing Similar Cost and Standardization Challenges?

  • Maintain price competitiveness amid rising market pressure.
  • Managing globally distributed engineering teams with fragmented practices.
  • Looking to embed Value Engineering to drive sustained cost reduction and collaboration.
Contact our experts

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