Course Overview
This course provides a practical and strategic understanding of costing, sourcing, and value engineering within the footwear industry. Using Microsoft Excel–based tools and real-world industry scenarios, participants will learn how to analyze cost structures, evaluate sourcing strategies, and make informed decisions across the product development and manufacturing cycle. The course bridges the gap between design, production, and business by linking technical choices to financial outcomes
Learning Objectives
By the end of this course, participants will be able to:
- Understand the complete footwear value chain and its impact on costing
- Apply costing structures and methodologies specific to footwear production
- Analyze and develop Cost Breakdown Sheets (CBS) using Excel
- Evaluate the impact of design, pattern making, and construction on product cost
- Interpret internal factory dynamics affecting pricing and negotiations
- Differentiate between cost and perceived value in footwear products
- Make data-driven decisions using structured costing tools
- Develop effective sourcing strategies aligned with cost, quality, and delivery
Course Modules
1. Footwear Costing Fundamentals
- Direct and indirect cost components
- Structure and elements of a Cost Breakdown Sheet (CBS)
- Material, component, and labor costing
- Development costs: moulds, lasts, and sampling
2. Excel for Footwear Costing
- Building and managing costing sheets in Excel
- Automating calculations and comparative analysis
- Cost simulation for design and sourcing scenarios
- Dashboard creation for cost tracking and reporting
3. Impact of Design and Construction
- Influence of design decisions on cost
- Cost implications of construction types and complexity
- Engineering approaches for cost reduction
- Material optimization techniques
4. Sourcing Strategies and Supplier Perspective
- Local vs. international sourcing cost comparison
- Key drivers of factory pricing
- Supplier negotiation behavior and constraints
- Tariffs, duties, and logistics considerations
5. Enhancing Value Without Increasing Cost
- Aligning product price with perceived value
- Balancing aesthetics, functionality, and cost
- Margin management across markets
- Efficiency strategies to control cost escalation
6. Cost Engineering and Decision-Making
- Technical optimization for better pricing
- Case studies on cost-saving strategies
- Early-stage planning and intervention techniques
- Emerging sourcing trends and pricing impact
Software Used
- Microsoft Excel and Shoemaster (APA Module)
Training Format
Instructor-led sessions
Hands-on Excel exercises
Real-world case studies and simulations
Costing templates and practical assignments
Group discussions and scenario analysis
