(finished) Estimation of indirect costs in drive technology

Field of Study

Engineering Design Processes
Process Management, Change Management, Lean Management, Knowledge Management, Process Modelling

Cost Management
Cost Estimation Methods, Calculation Approaches, Cost Tracking, Target Costing, Value Engineering


engineering changes, costs of changes, cost estimation, indirect fields


The indirect costs of engineering changes of companies in drive technology are not that easy to quantify than direct costs. On the one hand the cause includes the effort while quantifying on the basis of existing methods. On the other hand indirect changing costs can incur at a later point in time so that it is difficult to allocate them. Especially changes in the product design process, which enforce a restructuring of the manufacturing processes, determine costs in the later phases. This is why companies allocate costs of engineering changes insufficient very often, even though they would be able to do this.


Within the research project AIDA the indirect costs of engineering changes should be quantified. Thereby the companies in drive technology become able to quantify and allocate all changing costs. Furthermore, the quantification enables to choose the low priced opportunity between different changing options in order to reduce the costs.

Targets of the research project AIDA:

  • Develop heuristics for the Quantification of indirect costs of engineering changes,
  • make the indirect costs of different modifications transparent and depict control lever for the influence of changing costs,
  • identify cost driver and opportunities to reduce the costs.


Within the research project AIDA heuristics for enabling low-cost quantifications of indirect costs of engineering changes should be developed. This method becomes validated by several companies. The quantification of indirect costs of engineering changes takes place with a more holistic data base than the companies have. In addition to that, the developed method enables a prompt quantification of indirect costs of engineering changes. Both facts particularly benefit the kmU by overcoming the problems of limited resources and data bases.

Project Term

December 2014 to May 2017


Dipl.-Ing. Christian Schmied
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Dr.-Ing. Markus Mörtl
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Dr. Hugo d'Albert
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