What costs your organization money? In this video, learn the different cost categories affecting your business.
- So you've got to reduce costs. … What do you do? … And the first thing is you've got to identify the main areas … where you can get potential savings. … People are going to be one area for sure. … People are often the biggest cost in organizations, … and they're always a significant cost. … But it might also be materials, … and that might be consumables, … it might be bought-in subassemblies. … So if you're buying in subassemblies, … they can be really expensive. … And it might be sub contractors' time as well, … so sub contractors count as a cost. … And, of course, power … is another variable cost that people have. … Can you save power? … Then there are fixed costs like, for example, buildings. … And the word fixed costs implies … you can't do anything about it, … but clearly if you could save space … you might be able to sell off a building … or not have to rent it. … So saving on buildings would be a cost saving. … Now how would you work out … which of these are your biggest costs, …
- Different cost areas affecting your business
- Comparing cost vs. income
- Enhancing your work environment
- Focusing on the most important management tasks
- Getting better deals on raw materials and labor
- Recognizing your optimum quality level
- The hidden costs of subcontracting
- Where to avoid cutting costs
- Top ten cost-cutting actions to take
Skill Level Beginner
What to expect1m 3s
1. What to Reduce
2. Reducing Labor Costs
3. Costs Other Than People
4. Top 10 Tips
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