Cost Reduction Toolkit

PowerPoint Diagram Pack Cost Reduction Toolkit This toolkit details cost reduction opportunities across the Value Chain (as defined by strategist Michael Porter). Cost reduction initiatives are categorized in the areas of Enterprise-wide Opportunities, Asset Management Opportunities, and Function-specific Opportunities. Over 45 cost reduction initiatives identified—for each initiative, specific examples are provided, along with projected potential savings. ,[object Object],[object Object],[object Object],Capital and Assets Procurement Information Technology Finance and Accounting Human Resources Operations Marketing / Sales Logistics Service Shared Service Centers Out sourcing Product Innovation Product Development Primary activities Support activities

Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Though there are multiple levers to maximizing a firm’s profitability, costs are the most directly controllable by any firm ,[object Object],Profits ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],The capital challenge during downturn is largely beyond control of the firm Possibility for strategic changes and significantly impact the bottom line Limited and risky possibilities for bottom-line improvement Firm’s span of control: Firm’s span of control: Firm’s span of control: END OF PARTIAL PREVIEW You can preview the full PowerPoint document and download it at http://learnppt.com/powerpoint/

Profitability is being challenged by increased costs, stagnated revenue growth, and increased capital costs in today’s economic climate ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Evidence: Evidence: Evidence: *Note: Changed consumption patterns may mean increased demand for low-end brands and some special products Profits ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],END OF PARTIAL PREVIEW You can preview the full PowerPoint document and download it at http://learnppt.com/powerpoint/

At each level of the income statement, there exists opportunities for a firm to make cost reduction improvements ,[object Object],Economic Value Added (EVA) = Net Sales COGS – Capital Employed Cost of Capital – Value SG&A – How to improve: ,[object Object],[object Object],[object Object],[object Object],R&D – ,[object Object],[object Object],Results: Challenge: ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],END OF PARTIAL PREVIEW You can preview the full PowerPoint document and download it at http://learnppt.com/powerpoint/

It is imperative to focus on cost reduction and management during an economic downturn Overview – Cost Reduction in the Face of Downturn ,[object Object],[object Object],Focus on costs to survive the downturn Failure may have long-term consequences Success or failure in cost reduction will determine tomorrow’s winners and losers. ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Success enables you to capture opportunities created by the downturn END OF PARTIAL PREVIEW You can preview the full PowerPoint document and download it at http://learnppt.com/powerpoint/

Opportunities at Cost Reduction exists across the entire Value Chain Capital and Assets Procurement Information Technology Finance and Accounting Human Resources Operations Marketing / Sales Logistics Service Enterprise wide opportunities Function specific opportunities* ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Shared Service Centers Out sourcing Product Innovation Product Development Asset management opportunities 2 1 3 2 1 ,[object Object],[object Object],Primary activities Support activities Cost Reduction Opportunities across the Value Chain 3 END OF PARTIAL PREVIEW You can preview the full PowerPoint document and download it at http://learnppt.com/powerpoint/

Shared Services provide immediate cost and efficiency benefits and opportunities for further service delivery improvement ,[object Object],[object Object],Example ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Reduction of Costs ,[object Object],[object Object],Increase in Quality and Performance ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Potential Shared Services as a often used beneficial delivery alternative for various support functions, esp. Finance and Accounting, HR, IT and Customer Care/Services Increase in Flexibility and Value-Add ,[object Object],[object Object],[object Object],[object Object],END OF PARTIAL PREVIEW You can preview the full PowerPoint document and download it at http://learnppt.com/powerpoint/

Outsourcing provides operational cost savings, improves strategic flexibility & provides a foundation for industry best practices ,[object Object],[object Object],Example Commonly used with routine and non-strategic processes Cost savings and improved flexibility ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Potential ,[object Object],[object Object],[object Object],[object Object],END OF PARTIAL PREVIEW You can preview the full PowerPoint document and download it at http://learnppt.com/powerpoint/

Innovation in product re-design may yield considerable cost savings in manufacturing, transportation and procurement ,[object Object],[object Object],Example ,[object Object],[object Object],[object Object],[object Object],[object Object],Design for lower BOM Design for supply chain management ,[object Object],[object Object],[object Object],[object Object],Design for improved manufacturability ,[object Object],[object Object],[object Object],Integrated IT architecture ,[object Object],[object Object],[object Object],Potential END OF PARTIAL PREVIEW You can preview the full PowerPoint document and download it at http://learnppt.com/powerpoint/

END OF PARTIAL PREVIEW You can preview the full PowerPoint document and download it at http://learnppt.com/powerpoint/

Browse our catalog of PowerPoint Diagram Packs http://learnppt.com/powerpoint Join our mailing list and receive the Basic Toolkit for free ! http://learnppt.com/mailinglist Read our eBook – How to Become a PowerPoint Guru http://learnppt.com/

Cost Reduction Toolkit

Empfohlen

Empfohlen

Weitere ähnliche Inhalte

Was ist angesagt?

Was ist angesagt? (20)

Andere mochten auch

Andere mochten auch (20)

Ähnlich wie Cost Reduction Toolkit

Ähnlich wie Cost Reduction Toolkit (20)

Mehr von David Tracy

Mehr von David Tracy (20)

Kürzlich hochgeladen

Kürzlich hochgeladen (20)

Cost Reduction Toolkit

Hinweis der Redaktion