![]() Further, NLPP Hot-Spot Analysis calculates meaningful benchmarks that give a target corridor with upper and lower bounds for part costs or prices. Such target price formulas precisely describe how different part properties impact part costs or prices. The method uses part properties, quantities, and actual prices of existing parts to determine valid and precise target price formulas automatically. NLPP can predict the cost and price of any part, machine, or tool. In contrast to bottom-up calculations, which focus on the highly precise analysis of individual parts, the NLPP method developed by the Swiss company Saphirion AG examines part families. To accelerate handling large part portfolios, Siemens added the top-down Non-Linear Performance Pricing (NLPP) method to its solution portfolio. ![]() ![]() ![]() Traditional cost and value analysis have mainly been based on bottom-up methods. ![]()
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