CPQ (Configure, Price, Quote) software offers significant benefits to the engineering department in the manufacturing industry. Here are 6 reasons why CPQ is valuable for engineering:

Engineer with hardhat
  1. Quick Product Configuration: CPQ enables the engineering department to empower sales to configure highly customized and complex products by selecting various components, features, and specifications. The software ensures that the selected options are compatible and valid, reducing errors and ensuring accuracy in the engineering design process without involving the engineering department in every quote. Allowing engineers to spend more time doing what they do best.
  2. Always Run Rules-Based Engineering: CPQ systems can incorporate engineering rules and constraints into the configuration process. This ensures that the resulting product configurations adhere to engineering standards, compliance requirements, and design guidelines. It helps engineers avoid configurations that are technically infeasible or don’t meet the required specifications. This will save the engineering department time and rework.
  3. Easy Collaboration and Communication: CPQ tools facilitate collaboration and communication between engineering teams and other departments involved in the sales process through workflows. Engineers can provide input and insights directly into the CPQ system, with a single source of truth, ensuring a seamless exchange of information with sales, marketing, and manufacturing teams. How many times has sales been outside your door waiting for a quote?
  4. Integration with CAD Systems: CPQ solutions integrate with Computer-Aided Design (CAD) software used by engineers. This integration allows real-time visualization of product configurations, ensuring that the chosen options align with the intended design. Engineers can validate and optimize designs within the CPQ system. CPQ can generate BOMs, and routings which can all be pushed to your backend ERP.
  5. Fast Engineering Change Management: CPQ software can handle engineering change management effectively. It allows engineers to make modifications to existing configurations, update pricing, and generate revised quotes and proposals. This flexibility ensures that any engineering changes are accurately reflected in the quoting process, maintaining consistency and reducing manual effort.
  6. Streamlined Order Management: Once a quote is accepted, CPQ systems seamlessly transfer the configured product information to downstream systems like Enterprise Resource Planning (ERP) including BOM’s and Routings or work orders. This integration streamlines the order management process, reduces data re-entry, and ensures accurate production and delivery of engineered products.

CPQ impacts engineering with many beneficial ways to communicate, pass information, and update product designs. Want to learn more about how CPQ can be beneficial for your specific engineering process? Contact Us to talk more!