Cost Management in the Stage-Gate System

In this article the author approaches the study of cost management in the product development process (PDP) in an automotive company. Daimler Chrysler of Brazil is part of a large multinational group with presence in many countries. The development and manufacturing of trucks, buses and cars are only one of its many businesses. The PDP consists of six distinct phases: 1. concept, 2. requirement, 3. specification, 4. product planning and development, 5. industrialization, and 6. commercialization. By a study developed in the company, it was possible to identify some positive points that are the keys to success for cost management in the stage-gate system. They are as follows: 1. Strong performance of cost planning. 2. Development through multidisciplinary teams. 3. Important function of finance. 4. Use of tools and techniques for cost reduction.