Upfront thought and the proper attitude will go a long way to help with cost minimization and control during product development.  But, be careful of 'paralysis by analysis' and never use such discipline as an excuse for eliminating innovative ideas and processes - as this is how improvements are discovered.

Following are some axioms I've seen and experienced regarding product costs:

• Every cost reduction project is unique
• 80% of a product's cost is designed into the product
• Understand the product type and ultimate consumer demands on the product
• A long product life affords a better CR program; a short product life means CR (or better - Cost Minimization - CM) by design.
• "Cutting Corners is No Way to Cut Cost" Dr. David M. Anderson ⁶, P.E., CMC
• All product-costing is approximate.
• Keep the total economic picture in mind. Amortize CR costs over the entire sales and market effort to determine if the cost reductions really do increase the revenue.
• Make CR a discipline across the company portfolio in order to institutionalize the methodologies, expectations and results.

Thanks to Bill Evans, http:www.techmankanata.com, for his support and always down-to-earth comments.