New Book Shows How to Implement Target Cost Management

Aug. 18, 2010 - PRLog -- With a proven track record for helping companies achieve critical cost reductions without sacrificing customer satisfaction, target costing provides managers and executives with the tools to survive and prosper in today’s increasingly competitive market—without raising customer prices.

Detailing the preliminary steps required to lead a company to institutionalize target costing, Target Cost Management: The Ladder to Global Survival and Success details the two primary ingredients of target costing—proper organizational structure and cost tables. It describes the major techniques, tools, and methodologies needed to achieve the ultimate success. The text walks readers up the “ladder of global survival and success”, focuses on the critical first three rungs -- cost reduction, Lean manufacturing processes, and value analysis.  

Jim Rains shares powerful insights harvested during his two decades of studying and benchmarking target costing for leading corporations including Toyota, Nissan, Canon, Hitachi Machinery Construction Company, IHI, Isuzu, Yokogama Electric Company, and Omron.

Supplying the understanding and the tools to achieve critical cost reductions while maintaining and even improving customer satisfaction, this book explains the steps needed to reap the rewards of target cost management in your organization.

Endorsements

“This is the tool that links product development to lean manufacturing and supply chain management.  We are very fortunate that Jim Rains is bringing this precious information to us all.”
- Jeffrey K. Liker, PhD, Author of The Toyota Way

“For companies to be great they need target costing.  This book's concept of climbing a ladder to reach target costing and requiring all the elements on each rung to be in and remain in place during the climb is essential to success.”
- Masayasu Tanaka, PhD, Professor of Graduate School of Business and Management at Mejiro University, Professor emeritus of Tokyo University of Science Doctor of Cost & Profit Engineering, CVS, FSAVE

“Rains’ book is a must read for every business executive interested in global success. His extensive knowledge of Japanese productivity processes including the relationship between value engineering and target costing is evident in the book. “
- Don J. Gerhardt, PhD, Former Director of Value Engineering, Ingersoll-Rand, President, Gerhardt Engineering

About the Author

Jim Rains has over 29 years of value engineering (VE) experience.  During this time he has facilitated over 750 teams in VE, lean manufacturing, lean engineering and competitive tear-down workshops.  For the past fifteen years he has studied target costing from Japanese experts and believes this vital management philosophy leads to constant and consistent levels of corporate profitability.  Mr. Rains is a Certified Value Specialist (CVS) and has led numerous international corporations, architectural/engineering firms, and US Government DOD installations to successful results.  He has worked in many types of industries and has worked with oil and gas companies, and with A/E firms to improve buildings and associated expenses.  His VE and lean efforts has been exposed to a global network, including workshops in Austria, Australia, China, England, France, Germany, Hong Kong, Korea, Kuwait, Mexico, Qatar, Saudi Arabia, Sweden, United Arab Emirates and the United States. Techniques and tools used in his workshops include the value engineering job plan, Quality Function Deployment, Voice of the Customer, DFM/DFA, function analysis, creativity techniques, paired comparison, idea selection matrix, synchronous thinking, elimination of waste and team building.  

Since 1999 Jim has written and presented thirteen papers that relate to VE at conferences around the globe.  Recently, Jim co-facilitated a tear-down analysis workshop with Yoshihiko Sato, known as the “Father of Tear-down” in Japan.  Jim’s lean manufacturing workshops have led to process improvements of over 20 percent in productivity, 30 percent in floor space, 40 percent in lead-time and a reduction of 40 percent in inventory.  

Mr. Rains holds a BSIE degree from Kettering University (formally General Motors Institute) and a Masters degree in Industrial Management from Central Michigan University.  

His experience includes 32 years with General Motors, having worked in Manufacturing, Manufacturing Engineering, Value Analysis, Industrial Engineering and Product Development Engineering.  He performed these assignments in Rochester, NY, Dayton, OH, Juarez, Mexico and in Warren, MI.  

Mr. Rains is active in SAVE International, a professional society, which promotes the use of the value methodology.  He served on its Board of Directors for five years, including as its President/CEO and Chairman of the Board.  He is a Certified Value Specialist.  He is a member of the Board of Directors and Chairman for the Lawrence D. Miles Value Foundation.  He was the Chairman of the General Motors Corporate Value Management Committee.  Mr. Rains was on the faculty at Central Michigan University from 1998 to 2001 and taught a credited course in value engineering.

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