You Need to Lower Your Cost of Goods by X%. Here’s How Product Cost Intelligence Gets You There.

It’s one thing to set a savings target. It’s another to know where those savings will actually come from. For supply chain leaders, procurement executives, and cost engineers, the pressure to reduce cost of goods sold (COGS) is constant. But vague mandates like “cut costs by 10%” often lead to scattershot tactics, reactive decisions, or worst of all, missed opportunities. Why? Because traditional cost analysis tools simply don’t show you what’s really driving your costs, or where your leverage lies.

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Most manufacturers still rely on outdated spreadsheets, static cost databases, or overly simplistic cost models. These tools were never designed to handle the complexity of today’s global value chains, let alone give you actionable paths to reduce COGS.

You can’t improve what you can’t see. And with fragmented supplier data, incomplete bills of materials, and opaque trade flows, most organizations are flying blind when it comes to cost optimization.

This leads to:

Weeks of manual analysis per product
Blind spots in supplier negotiations
Poor scenario planning for sourcing and manufacturing
Over-engineered products and missed design-to-cost opportunities

The Shift to Product Cost Intelligence

Product Cost Intelligence is the next-generation approach to understanding and reducing COGS.

It’s not just about what your product costs. It’s about why it costs that much, what’s driving those costs, and how you can change them.

Muir uses AI-driven models to generate synthetic bills of materials (BoMs), map global supply chains, forecast cost drivers, and simulate savings scenarios. The result? You get rapid, scalable, and accurate insights into how to cut costs across your portfolio.

How Muir Gets You to Your Cost Reduction Goals

1. Generate a Full Synthetic BoM

Muir’s platform takes something as basic as a product description and builds a complete, component-level BoM. It maps raw materials, manufacturing processes, and subcomponent structures delivering a transparent view of your actual cost composition.

No more waiting weeks for engineering specs or vendor quotes. You get instant insight into cost drivers, across thousands of SKUs.

2. Pinpoint Cost Reduction Opportunities with the Reduction Engine

Muir’s Reduction Engine evaluates your entire value chain to generate specific cost-saving scenarios. Whether it’s redesigning a part, switching suppliers, or relocating manufacturing, each opportunity is scored by:

Implementation Difficulty: How easy or hard it is to act
Price Difference: How much you stand to save

This prioritization helps teams focus on high-impact, low-effort wins. Fast.

3. Forecast COGS Under Multiple “What-If” Scenarios

Should you move production from China to Vietnam? Source aluminum from Turkey instead of India?

Muir lets you simulate changes across global regions, factoring in labor costs, tariffs, logistics, and more. You can stress-test your sourcing strategies and make confident decisions backed by real-world data.

4. Give Your Teams the Leverage They Need

Category Managers enter supplier negotiations with hard data not just last year’s price list.
Price Analysts go from weeks of product modeling to portfolio-wide insights in days.
Engineers get cost feedback early in the design cycle, reducing over-engineering and late-stage rework.
Executives gain scenario-based visibility across their product lines to make strategic COGS decisions with clarity and speed.

How to Start Lowering Your Cost of Goods Today

The path to COGS reduction starts with visibility. You need to know what’s in your products, where costs accumulate, and what levers you can actually pull.

Muir makes this possible without overhauling your tech stack or requiring months of setup. From onboarding to insight, you can start identifying cost-saving opportunities in days.