Case Study: CNH Industrial drives faster, more collaborative design-to-source decisions with aPriori

CNH Industrial drives early sourcing and design decisions with aPriori to protect 3–5% of spend

CNH Industrial, a global manufacturer of agricultural and construction equipment, faced significant pressures from fluctuating material costs, tariffs, and competitive dynamics that were eroding its profit margins. To address this, they partnered with the vendor aPriori to transform their approach to product costing and supplier collaboration. The challenge was to move away from reactive, combative negotiations and instead make faster, more informed decisions early in the product design and sourcing process.

The solution from aPriori provided a manufacturing cost management platform grounded in physics-based simulations and regional data. This enabled CNH's engineering and sourcing teams to evaluate design alternatives and understand cost implications much earlier, shifting from a "squeeze" mentality to a collaborative partnership with suppliers. As a result, CNH established a structured process for early supplier engagement, helping them set and achieve program cost targets more effectively and prepare for future margin recovery.

CNH Industrial