Good reasons why manufacturers rely on cost management software instead of Excel

In today's highly competitive manufacturing environment, accurate cost control is vital to a company's survival. Many manufacturers still use Excel cost calculation software, but more and more are turning to specialized cost management software to modernize their processes. In this article, we show you why this change makes sense.

Excel: Tried and tested, but no longer up to date

Microsoft Excel is widely used, easily available and familiar. Excel works well for simple calculations and short-term analyses - but it reaches its limits when it comes to complex projects:

- Susceptibility to errors: Manual entries increase the risk of typing errors and formula errors.

- Lack of transparency: Changes are often difficult to understand.

- Difficult scalability: Large amounts of data make Excel slow and confusing.

- No real-time access: Several users working at the same time? Only possible with restrictions.

Advantages of modern cost management software

Compared to Excel, specialized software solutions for cost calculation offer numerous advantages that are particularly important for manufacturers:

1. Automated processes

Cost management tools automate many steps, from material costing to contribution margin analysis. This saves companies time and reduces human error.

2. Data consistency and transparency

All relevant data is stored centrally and can be accessed in real time. Historical changes and versions can be easily tracked.

3. Efficient collaboration

Teams can work on projects simultaneously - without version conflicts or data loss.

4. Integration with ERP and PLM systems

Professional cost management software can often be seamlessly integrated into existing company systems, ensuring a smooth flow of data.

5. analysis and reporting at the touch of a button

Meaningful reports can be created with just a few clicks - a decisive advantage for management and controlling.

Case study: From Excel chaos to structured calculation

A medium-sized mechanical engineering company had been calculating its quotations in Excel for years. However, with increasing complexity, the error rates rose, quotation times became longer and internal conflicts increased. Since switching to industry-specific cost management software, the company has been able to:

- Reduce the calculation time by 40

- Minimize sources of error

- Significantly increase customer loyalty

Excel has had its day - now precision is required

For modern manufacturers, switching from Excel cost calculation software to a professional cost management solution is a logical step. The advantages in terms of efficiency, accuracy and competitiveness clearly outweigh the disadvantages. If you want to continue to calculate profitably and accurately in the future, there is no way around specialized software.

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