CPQ (Configure, Price, Quote): what it is, what it is used for, and how to choose it

CPQ is a system that automates product configuration, pricing calculations, and the generation of commercial quotations.

By applying technical, commercial, and pricing rules, a CPQ guides sales representatives and sales engineers in creating accurate and consistent proposals, both for highly configurable products and for custom-engineered products.

Its primary goal is to reduce time, errors, and complexity in the quotation and proposal management process.

Without a CPQ system, quotation creation often relies on Excel spreadsheets, individual know-how, or manual checks between the engineering and sales departments.

The most common challenges include:

• product configuration errors
• sales teams depending on engineering support
• slow quotation processes
• excessive manual work
• uncontrolled pricing and discount policies
• unprofitable or unsustainable offers
• excessively long response times to customers
• poor customer perception and experience

With solutions such as SolidRules CPQ, the complexity of the quotation and proposal process can be managed in a more efficient and reliable way.

Implementing a CPQ solution delivers tangible benefits to both the sales department and the company as a whole. It helps eliminate bottlenecks that slow down the sales process (time-to-quote), reduces the risk of errors, and improves both profitability and conversion rates.

No. A modern CPQ system is specifically designed to simplify complex processes, even for users without technical expertise.

The goal of a CPQ solution is to turn technical and commercial rules into guided, easy-to-use, and controlled configurations. This enables sales teams, sales operations, and customer service representatives to create accurate quotations without needing to understand all the engineering complexity behind the product.

No. The most advanced CPQ platforms are designed to make configuration rule management accessible even to non-developers.

With SolidRules, for example, configuration logic can be managed through familiar, structured tools designed to support business users without requiring traditional coding activities.

Modern solutions such as SolidRules are built to be simple, fast, and accessible to non-technical users, thanks to an intuitive interface

CPQ is primarily used by companies that manufacture or sell complex products, where customization and engineered-to-order requirements are common. Its typical application is in the manufacturing and engineering sectors, supporting the commercial configuration of machines, production lines, plants, and other highly technical products.

SolidRules CPQ is more than just a tool for internal sales teams. It can also serve as a platform that empowers the entire external sales network, including dealers, distributors, and sales branches, while ensuring technical control and consistency across product configurations.

With the SolidRules Configurator, we have implemented CPQ solutions for:

• Individual machines, such as machining centers, seed drills, snowplows, and waste collection vehicles
• Production lines for packaging, plastic pellet conveying, flour handling, painting, and glass, stone, and metal cutting
• Costing and process cycle configuration in industries such as aluminum rolling
• Plant layouts and P&ID diagrams
• Roofing systems and fall protection systems, including lump-sum sales scenarios
• Elevators and stairlifts
• Overhead garage doors
• Swing and sliding doors
• Storage and shelving systems
• Vehicle configuration
• Service vehicle outfitting for electricians, plumbers, and fire departments
• Valves
• Hydraulic power units
• Finned-tube and shell-and-tube heat exchangers
• Pergolas and awnings
• Operating rooms
• Dental clinics
• Wooden kitchens
• Industrial kitchens for the food service sector
• Checkout counters
• Wine and food display cabinets
• Waste containers
• Protection systems
• UPS systems
• Boats and yachts
• Technical documentation, including manuals, assembly instructions, operator guides, and Machinery
• Directive documentation

In most cases, CPQ systems are limited to the quotation stage. With SolidRules CPQ, the answer is different.

With SolidRules CPQ, you can manage the entire commercial process, all the way through post-sales activities, thanks in part to the capabilities of SolidRules Desk. You can configure quotations, orders, bills of materials, and manufacturing routings, as well as calculate product costs.

Some companies even use it to orchestrate post-sales activities. For example, sending a service team abroad for a technical intervention may involve:

Preparing the quotation
Receiving the order
Assigning resources
Selecting and booking accommodation
Arranging transportation
Verifying visa requirements
Shipping materials
Reserving any required equipment

Based on the specific requirements, the configurator automatically creates a project with all the necessary tasks already assigned and ready for the different stakeholders involved.

This is just one example of the potential of SolidRules CPQ, which goes far beyond quotation management.

Choosing the configurator embedded in an ERP system often seems like the most logical and straightforward option, as it appears to eliminate integration challenges.

However, this is often a short-sighted choice, as these ERP-based configurators tend to be limited and inflexible. A PLM-oriented CPQ approach, such as SolidRules CPQ, is generally the better choice for manufacturing companies, as it also facilitates the flow of information to the engineering department.

As with ERP systems, configurators embedded in CRM platforms are generally suitable for the configuration of simple products.

However, when dealing with complex products that also require engineered-to-order management, their limitations quickly become apparent.

yes - and this completely changes the rules of the game.

With an offline CPQ, you can:

• configure complex products anywhere you are
• generate complete quotations even without an internet connection
• apply all predefined technical and commercial rules
• continue selling without depending on connectivity

And when you’re back online? Everything synchronizes automatically, with no data loss and no duplicate work.

In solutions such as SolidRules CPQ, offline capability is not an “emergency mode”, but a true on-the-field operational tool.

SolidRules is much more than a CPQ system designed to automate commercial configuration and pricing in companies managing complex products.

It certainly enables you to:

• configure products through guided rules
• generate quotations quickly
• control pricing, discounts, and margins
• reduce time and manual activities

However, the real strength of SolidRules CPQ is that it does not stop at quotation generation. It is a system that transforms commercial configuration into engineering design, bills of materials, technical documentation, production data, and manuals.

It does not operate in isolation: as SolidRules is an end-to-end platform, the CPQ turns configuration into real, usable data across the entire product lifecycle.

Absolutely yes. 2D and 3D graphical management is one of its key strengths. SolidRules CPQ Planner provides a complete web-based environment that allows users to manage machines and plants in both 2D and 3D on any device.

With CPQ Planner, you can create 2D and 3D layouts or manage functional P&ID diagrams.

You can also import DWG/DXF drawings without the need for a CAD system. Objects within the drawing can be configured, enabling you to generate quotations and then return to the drawing, modifying it through a fully bidirectional workflow.

Everything you can do in 2D can also be done entirely in 3D.

You can use SolidRules CPQ within your sales network and dealer channels in a B2B approach, ensuring confidentiality while maximizing efficiency.

However, when addressing end customers in a B2C scenario, SolidRules CPQ is also an ideal solution that combines effectiveness with visual appeal.

This also applies to 3D configurators, which deliver highly engaging and visually compelling rendering experiences.

Yes. In many manufacturing contexts, CPQ can also become a Design Automation tool, as it does not only configure the commercial offer but can also automatically generate data and outputs useful for CAD design.

This means connecting commercial configuration to technical documents, bills of materials, routings, schematics, and other downstream outputs. In solutions such as SolidRules, CPQ can therefore help reduce manual activities, engineering time, and the risk of errors even in post-quotation phases.

The link with the PDM/PLM world is essential for enabling Design Automation solutions capable of delivering a configured product that is dimensionally correct and properly structured in terms of coding and attributes. A product from which reliable bills of materials and manufacturing routings can be derived.

A CPQ system can support different configuration models, depending on the type of product, the required level of customization, and the company’s industrial process.

• ATO (Assemble To Order): the product is configured by combining predefined standard modules or components.
• MTO (Make To Order): the product is manufactured to order, based on configurable rules that guide composition, costing, and feasibility.
• ETO (Engineer To Order): the product requires dedicated engineering or design activities based on specific customer requirements.

In manufacturing companies, it is common for multiple models to coexist. For this reason, an effective CPQ system must handle both modular standard configurations and more engineering-intensive processes.

In this context, SolidRules is particularly well suited for managing complex and engineered-to-order products.

When referring to a technical configurator, there is no single, universally accepted definition. Unlike commercial configurators, which are more focused on pricing and options, a technical configurator works directly on the product structure and often automatically generates the bill of materials (BOM).

In practice, it enables you to:

• combine components coherently according to technical rules
• prevent non-manufacturable configurations
• define product variants without duplicating data
• automatically generate item codes and product structures

For this reason, a technical configurator is often also referred to as a BOM configurator, since its main output is a correct bill of materials ready for production or for use in PDM/ERP systems.

Advanced solutions such as SolidRules integrate this approach with PDM and CAD systems, allowing configuration rules to be directly connected to the actual product structure.

It is also worth noting that technical configurators often generate or select item codes even in the absence of drawings, triggering workflows that involve the engineering department.

Design Automation is the ability to automatically generate CAD models (2D and 3D), technical drawings, or engineering documentation based on predefined rules and parameters.

In this approach:

• users do not manually design each product variant
• the system automatically generates geometry and documentation
• rules replace repetitive engineering tasks

Typically, Design Automation is based on:

• parametric and non-parametric CAD models
• configuration rules
• design reuse logic

Key benefits

• significant reduction in engineering time
• elimination of manual errors
• standardization of product variants
• improved scalability of technical operations

Are there real risks?

Yes. If this approach is not integrated with a PDM system that manages item coding and checks for existing similar objects, Design Automation can become a source of data redundancy and inconsistency.

The result may be a geometrically correct model that is nevertheless unusable in production.

In advanced configurator environments such as SolidRules, Design Automation is integrated with PDM and the product configurator. This workflow delivers a complete and consistent CAD model together with a bill of materials ready for manufacturing.

Artificial intelligence is starting to play an important role in product configuration, particularly in improving user experience, data analysis, and decision support.

Key applications include:

• automatic recommendation of configurations based on similar past cases
• guided configuration support through intelligent assistants
• analysis of customer choices to optimize offers and product variants
• simplified interaction through natural language input

However, it is essential to distinguish between:

• deterministic rules, which ensure technical correctness
• AI, which supports and enhances the process without replacing engineering logic

In systems such as SolidRules, AI can complement the configuration engine by:

• guiding users through decision-making
• suggesting optimal options
• reducing perceived complexity

while the actual configuration generation remains based on robust and controlled rules, which are essential to ensure manufacturability.

Yes. SolidRules CPQ is designed to integrate with existing CRM systems rather than replace them.

The CRM manages customer relationships, sales opportunities, and pipeline activities, while the CPQ handles the more technical and critical part of the process: product configuration, pricing calculation, and quotation generation.

In many cases, the CPQ becomes the point where CRM data is transformed into accurate and consistent commercial offers, ensuring a continuous and synchronized data flow between systems.

SolidRules CPQ has been successfully integrated with external CRM platforms such as:

• Salesforce
• Microsoft Dynamics 365
• HubSpot
• Zoho CRM
• SugarCRM
• EasyOne
• As well as CRM solutions developed by ERP vendors

A modern CPQ system is designed to be open and integrable with multiple ERP systems, rather than being tied to a single platform.

Over time, the SolidRules CPQ solution has been integrated with both international ERP systems and widely used business management platforms, including those commonly adopted in the Italian market:

• SAP (S/4HANA, Business One)
• Microsoft (Dynamics 365 Business Central and Finance & Operations, etc.)
• Oracle ERP Cloud
• Sage (X3, 100, 200, etc.)
• Infor (LN, M3, etc.)
• VarGroup (Panthera, Sirio, etc.)
• Zucchetti (Ad Hoc, Infinity, etc.)
• TeamSystem (Alyante, Gamma Enterprise, Embion, etc.)
• J Galileo
• Business Cube
• Odoo
• JD Edwards

The integration enables bidirectional data exchange between the sales and management systems, such as:

• pricing lists, costs, and product master data
• material availability and production constraints
• automatic generation of orders or bills of materials

This makes it possible to directly connect the quotation phase with production, logistics, and administration, reducing errors and eliminating manual activities.

Yes. In fact, SolidRules CPQ is also an advanced costing system, in addition to pricing management.

During configuration, the CPQ:

• applies pricing rules (price lists, discounts, margins)
• automatically calculates the quotation value
• can include cost logic (materials, operations, options)
• can compute costs based on the bill of materials and routing data

The result is not a simple estimate, but a structured and consistent calculation based on defined business rules.

This enables companies to:

• keep margins under control
• avoid inconsistent or unsustainable quotations
• provide sales teams with a reliable tool even in complex scenarios

The SolidRules costing system can also be based on geometric data.