Product Cost Engineer Jobs (NOW HIRING)

Product Cost Engineer I
Posting Start Date: 5/20/26
Job Location (Short): Peoria, Illinois, USA, 61639
Requisition ID: 35697
Onsite or Remote: Onsite Position
Join Komatsu and Be Part of Something Big!
Job Overview
The Product Cost Engineer partners with Engineering, Manufacturing, Supply Chain, and Finance to develop accurate, data-driven product cost models and drive cost reduction across the product lifecycle. This role owns costed Bills of Material (BOMs) and routings, performs should-cost and variance analyses, and supports design-to-cost, sourcing, and continuous improvement initiatives.
The position provides cost transparency and structured analysis that enables fact-based decision-making across product development, operations, and procurement.
Key Job Responsibilities
Product Cost Modeling & Estimating
• Develop, validate, and maintain detailed product cost models including material, labor, overhead, scrap/yield, freight, tooling, and outside processing.
• Create and maintain accurate costed Bills of Material (BOMs) and manufacturing routings; ensure alignment with ERP/MRP master data.
• Perform bottoms-up and should-cost analyses for new designs, supplier quotes, and make/buy decisions.
• Evaluate alternative design and manufacturing scenarios to identify the most cost-effective solutions.
Design-to-Cost & Cost Reduction
• Identify key cost drivers and partner with Engineering and Manufacturing to recommend design or process improvements.
• Support Value Engineering and continuous improvement initiatives with structured cost breakdowns.
• Track cost savings projects, document assumptions, and report realized results.
Variance & Financial Analysis
• Analyze cost variances (PPV, material usage, labor efficiency, overhead absorption).
• Partner with Operations and Supply Chain to identify root causes and implement corrective actions.
• Provide reporting and analysis to support informed decision-making at multiple organizational levels.
NPI, Change Management & Quoting
• Provide costing support for RFQs, New Product Introduction (NPI), and Engineering Change Orders (ECO/ECN).
• Assess tooling and capital expenditure impacts associated with product changes.
• Ensure costing assumptions are documented, traceable, and audit-ready.
Cross-Functional & Process Support
• Collaborate with Supply Chain on supplier negotiations using fact-based cost breakdowns.
• Validate internal and supplier lead times to ensure ERP accuracy and planning reliability.
• Support development and standardization of costing methodologies and organizational controls.
• Improve ERP data integrity related to costed BOMs, routings, and planning parameters.
• Partner across Engineering, Manufacturing, Procurement, and Finance to improve overall operational effectiveness.
Qualifications/Requirements
• Bachelor's degree in engineering (Mechanical, Industrial, Manufacturing, or related field) or equivalent experience.
• 2+ years of experience in cost engineering, product costing, manufacturing engineering, or related roles in a manufacturing environment.
• Working knowledge of manufacturing processes (machining, welding/fabrication, casting/forging, assembly, etc.).
• Strong analytical skills with the ability to build and clearly communicate cost models in Excel.
• Experience with ERP systems (SAP, Oracle, JD Edwards, Dynamics, etc.) and costed BOM/routing structures.
• Strong written and verbal communication skills appropriate for all levels of the organization.
Additional Information
• Experience with should-cost tools, labor standards, or time studies.
• Familiarity with standard costing and variance analysis.
• Experience supporting quoting/NPI workflows and change control processes.
• Basic understanding of finance concepts including margin, absorption, and inventory valuation.
• Experience with Power BI or similar reporting tools.
Hiring Range
At Komatsu, your base pay is one part of your total compensation package. This role pays $67,400 - $84,500. The actual offer will consider a wide range of factors, including experience and location.
Company Benefits
Komatsu provides an extensive and robust employee benefits package that is designed to enhance the well-being of our employees and family members. We embrace a positive and empowering employee experience with a culture that prides itself on a diverse and inclusive environment.

• Health benefits: Medical, dental, vision, HSA, wellness programs, etc.
• 401k and/or employee savings programs
• Employee time off (vacation and designated holidays)
• Employee and family assistance programs
• Disability benefits
• Life insurance
• Employee learning and development programs

Diversity & Inclusion Commitment
At Komatsu, we come from diverse backgrounds, with unique perspectives, experiences and contributions. We believe that our people are part of our shared purpose. Connected by our core values of ambition, perseverance, collaboration and authenticity, we are committed to continually advancing in our support of diversity and inclusion. United, we are on a journey towards a sustainable future that creates value together.
Company Information
Komatsu develops and supplies technologies, equipment and services for the construction, mining, forklift, industrial and forestry markets. Headquartered in Tokyo, Japan, Komatsu employs more than 64,000 people worldwide, operating in more than 140 countries. For more than a century, the company has been creating value for its customers through manufacturing and technology innovation, partnering with others to empower a sustainable future where people, business and the planet thrive together. Since the company's founding in 1921, Komatsu has been committed to supporting individuals and communities through job training, skills development and giving back. As a Komatsu employee, you will be encouraged to grow alongside our global company, contributing to a more sustainable future for all. If you are looking for a company that values your talent and potential, join Komatsu to be a part of something big and help advance modern society. Learn more at www.komatsu.com.
EEO Statement
Komatsu is an Equal Opportunity Workplace and an Affirmative Action Employer. All qualified applicants will receive consideration for employment without regard to race, color, religion, sex, sexual orientation, gender identity, national origin, disability, or protected veteran status.