Manage the Real Cost Drivers
Management of overheads and the reduction of non-essential costs are core elements that quickly translate to an improved ‘Bottom Line’. In the changing environment of business, simple cost reduction is not sufficient anymore. Costs must be managed strategically – especially in current trading conditions.
Comanies need to make use of the existing information that sits in their accounting and management system to pinpoint and identify the activities requiring strategic management attention. With this information one can find and elminate the the true cost drivers in the business
- Unprofitable Products or Services
- Unprofitable Customers
- Areas of excess capacity and waste
Calculating the cost of products and services according to the actual effort required for your organization to deliver, provides you with the right costing information to make the right business decisions.