PLM, BOM & Digital Thread worked example

Part Reuse Savings at 57% reuse opportunities captured: a worked example

What does the result look like when reuse opportunities captured reaches 57%? The full calculation is worked below with real intermediate numbers. Use it to value a standard-parts library and motivate designers to reuse before creating new.

The inputs for this scenario

  • New designs reusing existing parts: 240 designs (unchanged)
  • Avoided new-part introduction cost: 850 $/design (unchanged)
  • Reuse opportunities captured: 57 % (raised for this scenario; the documented default is 50)
  • Reuse program annual cost: 10,000 $ (unchanged)

Working through the calculation

  • Applying the documented formula (Net savings = reusing designs x avoided cost x capture rate + program cost) to the inputs above produces each figure below.
  • At this operating point the engine returns 126,280 $ for total part reuse savings cost, the number this scenario is built around.
  • At this operating point the engine returns 526 $ / piece for part reuse savings cost per unit.
  • At this operating point the engine returns 116,280 $ for variable part reuse savings cost.
  • At this operating point the engine returns 10,000 $ for fixed part reuse savings adder.

How this compares with the baseline

  • Against the tool's baseline example, where reuse opportunities captured sits at 50% and the headline result is 112,000 $, this scenario comes in 12.75% above the baseline at 126,280 $.
  • A figure at this level is achievable when reuse opportunities captured is genuinely sustained, not just peaked for a shift. Avoided-cost estimates are counterfactual; you are valuing new parts you did not create, so anchor the per-design figure in real historical introduction costs to stay credible.

Results at a glance

  • Total part reuse savings cost: 126,280 $ (headline result)
  • Part reuse savings cost per unit: 526 $ / piece
  • Variable part reuse savings cost: 116,280 $
  • Fixed part reuse savings adder: 10,000 $

Run it with your numbers

  • Every input above is editable in the live Part Reuse Savings calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.