ARTICLES AND RESOURCES FOR PEOPLE PASSIONATE ABOUT COST ENGINEERING.
Costing Methods: It Seems That the Question of Relevance has Disappeared – Part 2
Our proposal, which will be presented in two stages, uses, in a first step, an approach familiar to information sciences: the rise in abstraction to arrive at a generic reading too
Yahoo for Accountability
Today, let’s delve into a topic crucial for anyone looking to succeed and truly thrive in their career.
Costing Methods: It Seems That the Question of Relevance has Disappeared
30 to 35 years ago, the profession of management accountancy and more broadly of management control was in turmoil after the publication of two books acknowledging, on the one hand
Boost Your Career: Building Your Circle of Influence
Today, let’s delve into a topic crucial for anyone looking to succeed and truly thrive in their career.
Celebrating Five Years of SPCEA: A Journey of Growth and Impact
The Society of Product Cost Engineering & Analytics (SPCEA) was founded five years ago, marking a significant milestone in the evolution of cost engineering as a professional d
The Qualification Matrix: A Foundation for Personalized Development in CVSE
In Cost and Value Stream Engineering (CVSE), technical expertise forms the backbone of operations. However, the real key to success lies in the people behind the processes. Beyond
Survey Results: The Impact of Tariffs on Cost Models
Tariffs play a significant role in shaping global trade and, by extension, the cost structures of businesses that rely on imported goods.
Handling Unknowns in Cost Engineering When Time Is Short
In cost engineering, working with incomplete information is a constant challenge.
Luck: Are You Waiting for It or Creating It?
Let’s talk about something that’s almost taboo in the business world—especially among high achievers and go-getters. Let’s talk about luck.
Mastering the Fundamentals of CVSE: Building Blocks for Operational Excellence
In our previous exploration of Cost and Value Stream Engineering (CVSE), we highlighted its transformative potential as a strategic enabler for CEOs and COOs. Today, we delve into
Did The Cat Kill Curiosity In Costing?
The English language is filled with sayings that don’t seem to make any sense, at least not at first. For example, “bite the bullet” means to forget your losses and just do it.
Empowering Innovation with Cost and Value Stream Engineering (CVSE):An End-to-End Approach for Sustainable Growth
In today’s hyper-competitive global market, organizations face a dual challenge: driving innovation while controlling costs.
Maximize Your Career with P.I.E. – The Simple Formula for Career Success
Hey everyone! I hope you’re doing great today! In this post, I want to share something that could completely transform your career—an easy-to-remember acronym that will help you ac
Inflation: What Cost Engineers Should Understand
Inflation is a concept that often surfaces in discussions about prices and the economy. But what exactly is it, and why is it crucial for cost engineers? In this article, we will u
Beyond Numbers: Why Strong Interpersonal Skills are Crucial for Cost Engineers
Cost engineers are often perceived as “numbers” people, working tirelessly within the confines of spreadsheets, calculations, and analytics. Their expertise in evaluating costs, fo
Top 10 Excel Functions Every Cost Engineer Must Know
Microsoft Excel remains one of the most essential tools for cost engineers. Whether you are conductingdetailed cost analyses, building cost models, or preparing reports, knowing th
Ready to Unlock Your Full Potential?
I understand what you’re going through because I’ve been in your shoes. You put in the hard work, you give everything you have to your job, but somehow, it feels like n
Cost and Value Stream Engineering (CVSE): Unlocking Strategic Cost Management and Process Excellence
ChatGPT says:“In an increasingly competitive global market, the need for more integrated approaches to costmanagement and process improvement has never been greater. Cost and
Why Every Product Cost Engineer Should Learn Python Programming (Even If You’re Not A Programmer)
In the world of product cost engineering, there’s one phrase I often hear: “I’m not a programmer.” This mindset stops many talented professionals from unlocking tools and skills th
Embracing Authenticity in the Corporate World: Why Being Yourself Matters
In the fast-paced and often rigid corporate world, it’s easy to feel like you’re constantly being asked to fit into a mold that doesn’t quite align with who you a
An Accountant, Financial Analyst, and Cost Estimator Walk Into a Bar . . .
An accountant, a financial analyst, and a cost estimator walk into a bar. They sit down on the stools at the counter. “What would you like to order?” asks the bartender. The accoun
A Spooky Story and a Powerful Lesson in Leadership
Hey everyone! It’s Halloween week and I believe it is the perfect opportunity to talk about Leadership. First, let me introduce myself. I’m Simona Pappalardo, a former Fortune Top
Understanding the Preferred Degrees for Cost Engineering Positions
As the demand for cost engineers continues to grow, understanding the academic backgrounds that hiring managers seek has become increasingly important. In a recent survey conducted
10 Important Skills a Product Cost Engineer Should Have
The product cost engineer plays a crucial role in ensuring efficient product design, production processes and cost-effective operations within manufacturing settings. Here are ten
Survey Results: Where Is Cost Engineering Within The Org Chart ?
Cost engineering, a critical aspect of organizational efficiency, manifests itself differently across companies and industries. To delve deeper into this dynamic, SPCEA recently c
What’s The Best Way to Become a Cost Engineer?
Becoming a cost engineer typically requires a combination of education, skills development, and practical experience. There are multiple ways to become a cost engineer but here is
“You don’t know what you don’t know.”
Knowledge is power, but how would you know whether more or new knowledge is needed? What if you were convinced that the knowledge you had was, in fact, the best and only knowledge
The fallacy of Long-Term Agreements OR how not to buy a car.
For those lucky enough to have had careers in the automotive industry, Long-Term Agreements (LTAs) are as common as cars themselves. Most consider them a normal part of doing busin
Bad costing causes pain and suffering
There is a certain innocence in numbers. Just like music, they can create a harmony that soothesthe soul. Maybe that’s why some costing professionals don’t stress when performing t
Must Depreciation Expense Be a Fixed Cost?
“Those of you familiar with my writings already know my opinion of the accounting concept of depreciation (“the dumbest concept in the history of management accounting”). I’ve been
Depreciation – Fixating on the Irrelevant
“Sunk costs are irrelevant” is a principle stated in almost every book on decision science ever written. Despite this well-accepted principle of decision science, accountants conti
The Capital Preservation Allowance
In earlier blogs, I explained my views about depreciation; both its irrelevance in business decision-making and the way it is treated as a fixed annual cost. An organization does,
Expenses vs. Investments
It’s important to distinguish between measurements made from the financial accounting perspective and those made from the managerial accounting perspective. Periodicity is im
Don’t Ignore the Investment
During my four decades as a consultant, it has never ceased to amaze me how little attention manufacturing firms pay to the amount of time they use the equipment they’ve invested i
Do you have high influence on your company’s product cost?
Product costs, also known as cost of goods sold (COGS), are direct material, direct labor, and manufacturing overhead. COGS are typically the highest category of a manufacturing co
Don’t Give Up on a Great Idea Just Because It Seems Obvious
I spent eight years failing to act on an innovative idea that I knew would work. It was an idea that had not just technological promise but also societal value. It would help peopl
Manufacturing Job Creation Lacks a Common-Sense Approach
Economic incentives aren’t the answer; cultivating a vibrant local supplier base is. The typical intent of governmental economic development is to increase the number of man
Manufacturers can cut stress with these moves
Grant Thornton industry lens on: Global instability To keep business flowing, manufacturers need to manage a complex network of inputs and outputs. But it’s hard to know how to man
Why does the cost engineering field need a cost engineering certification?
Why have we created a cost engineering certification? Well, most industries have established and well-communicated standards for what it means to be an expert in the field. The ab
Chip Giants are Ramping Up Spending By The Billions as Semiconductor Demand Booms
Key Points: The world’s largest contract chipmaker, TSMC, has committed to investing $100 billion over three years to ramp up production. Rival Intel announced last March tha
How Cost Management Needs to ‘Save to Transform’
In the classroom, activity-based costing looks like a great way to manage a company’s limited resources.
