Cost reduction methods in the company and at the enterprise without small sacrifices. Reduce monthly family expenses Ways to increase income and reduce family expenses

The path to material wealth lies through the competent increase of money. But where to get this money, if many of us spend exactly as much as we earn? There are only two options here: earn more, spend less. The first option looks more attractive, but in most cases there is one very big “BUT”!

Anyone who reads this article to the end can become richer on 6 million rubles!

We entered the era of consumption literally 15-20 years ago. In our minds, there is still no culture of consumption and savings, so we immediately spend everything we earn. I know an example when a person first earned 30 thousand and at the end of the month he had zero. Then this person became more and more successful in terms of making money. His consumption skills grew at a similar pace. As a result, with monthly incomes of over a million rubles, the same zero remained at the end of the month. Are you familiar with such a situation? Do you recognize yourself?

We, like cavemen, immediately pounce on eating a dead bear. We don't want to look into the future. We live here and now, which certainly corresponds to our instincts. The financial model of the world is different from our instinctive model: you need to be more intelligent about money here and now in order to get even more money later.

Cost reduction in my financial model consists of three stages:

1. Setting long-term goals. We must be motivated to accumulate and multiply money. To do this, we need to register all financial goals for the long term. This is best done as part of the development of a personal financial plan, where tools will also be given specifically for increasing money, and a holistic picture of a person’s financial life will also be given.
2. Cost control. If we want to reduce or reduce something, then first of all we need to start measuring it and then control it. Yes, this is a very boring and tedious process, but we need to start recording our expenses. I didn't manage to do it the first time. At first I tried to do it in excel. Of course, Excel is a very flexible tool, and you can customize it specifically for your goals and objectives. At the same time, Excel for this action is a very inconvenient tool from a practical point of view: you need to turn on the computer, remember all the expenses for the day, and enter them. It just seems like it's easy. In life, it turns out something like this: “oh, come on. I don't want to turn on the computer anymore. I’ll bring my spending on the weekend”; on weekends you sit down at the family budget table and you can no longer remember where the money went at the beginning of the week. As a result, the initial enthusiasm disappears in the first 2-3 months. Now I have brought this process almost to an instinctive reaction - if you make a waste - fix it. I use the Drebedengi program, which allows you to make expenses both on the computer and on the phone. I fix 90 percent of my expenses in my mobile phone right at the checkout, while the seller beats off the goods. This is very convenient, in fact, I spend 0 minutes and 0 seconds on the current control of expenses: after all, I would just stand and wait for the check to be broken by the seller.
3. Cost optimization. After 2-3 months of spending control, you need to sit down and analyze your spending. At this stage, it is important to understand the difference between cost optimization and savings. In our country, economy is most often understood as a completely different concept: to slide down to a lower standard of living. I like the term “cost optimization” better. When optimizing costs, in fact, we get the same thing, but at a lower price. We do not lower our standard of living. It is cost optimization that ultimately leads to real cost reduction, so let's consider the key stage in more detail.

When optimizing, it is important to highlight the top factors for your purchase. It is these factors that we must not worsen in order not to go into savings mode. We can worsen the features of goods that are not important for us, since changing them will not cause a decrease in our standard of living: we simply will not notice these factors, since they are not important to us.

Example: We need to buy tennis shoes. In the main factors we write down: tennis specificity, quality, 41 sizes. Let's say we choose between three models in size 41: tennis shoes from the last collection from Wilson for 3790 rubles, running shoes for 2400 rubles, a new one from Wilson for 4990 rubles. If we choose the cheapest option, then we worsen our “tennis-specific” factor. This option does not suit us. There are two identical options for us in terms of the main factors. It would be wiser to choose tennis shoes for 3790 rubles, reducing personal expenses by 1200 rubles. If our main factors were something like “following fashion, always new”, then we would not be able to optimize this expense item and we would have to buy the most expensive shoes offered.

After highlighting the top drivers for each purchase, we need to ask questions to understand cost-cutting options. These questions should be applied to every expense that has been recorded:

• Do I really need this? Can this be waived? How much is this spending a priority for me now?
• Can I buy it elsewhere for a lower price?
• Can I find a replacement product?
• Can a discount be applied here?
• Can you get what you want by eliminating the middleman?
• If you buy it in bulk, will it be cheaper? Is it worth buying in bulk?
• Is it possible to reduce costs by applying technological solutions?
• If you buy it at another time, will it cost the same?
• Maybe it's worth reconsidering this habit and changing something?
• Can the state refund part of my expenses?
• Can I use legal tricks to reduce mandatory expenses?
• Could I have avoided this waste if I had foreseen something in advance?

The process of optimizing personal expenses is not a quick affair. Competent cost optimization takes at least 5 hours. Are you willing to spend those hours to free up a significant amount of money every month and direct it to priority goals? In my experience, the average family can intelligently cut their expenses by 7,000 rubles a month. It seems like a small amount of money. And now let's calculate how much the family will “earn” in 30 years? When investing these funds, in 30 years the family will have a capital of almost 6 million rubles (in current prices, at a real rate of return of 5%). It is very important to understand that I am giving here the real value of the capital, and not the nominal value. Nominally, the family will have tens of millions, but “inflationary money” will sit there. It is also important to understand that the 5% return is the real return. With inflation at 10%, the family should invest at a rate of slightly more than 15%, and to be precise, at a rate of 15.5%.

The long-awaited 25 examples of cost optimization with specific numbers from my experience and the experience of my clients:

1. Buying the right TV is not in the nearest hardware store, but through an online store. Cost reduction by 8,000 rubles once every 10 years.
2. Buying plane tickets via the Internet by analyzing the ticket price aggregator. Reducing expenses by 700 rubles once every three months.
3. Booking a hotel on a promotional basis and in advance through booking.com Cost reduction by 9,000 rubles once a year.
4. Using the BlaBlaCar companion service. Reduction of expenses by 800 rubles per month once a month.
5. Use of discount cards in shops. Reduction of expenses by 450 rubles per month.
6. They asked about discounts. Reduction of expenses by 500 rubles per month.
7. Buying studded tires out of season. Reduction of expenses by 1,200 rubles once every 5 years.
8. Use of coupon sites in some cases. Reducing expenses by 800 rubles once every three months.
9. Disabling unnecessary telephony services. Reduction of expenses by 120 rubles per month.
10. Buying children's things as part of a collective purchase. Reduction of expenses by 2,000 rubles once a year.
11. Refund of personal income tax when paying for education. Cost reduction by 15,600 rubles once a year.
12. Registration of a car for parents from the village, a reduced rate for car insurance. Cost reduction by 3,700 rubles once a year.
13. Making a payment not at the bank office, but through a personal account on the site. Cost reduction by 360 rubles once a year.
14. Buying quality clothes from last year's collection. Reducing expenses by 3,700 rubles once every three months.
15. Connection to the bonus program of the bank. Reduction of expenses by 330 rubles per month.
16. Refueling a full tank on the weekends under the promotion “Weekends are cheaper”. Reduction of expenses by 360 rubles per month.
17. Shopping with a list. Reducing the cost of groceries by 3,500 rubles per month.
18. Playing on the tennis court in the morning, at a cheaper time. Reduction of expenses by 2,000 rubles per month.
19. Buying foreign books through amazon. Reducing expenses by 1,000 rubles once every three months.
20. We changed a beauty salon, received high-quality services from a master at a more favorable price for us. Reduction of expenses by 1,000 rubles per month.
21. Routine dental checkup instead of emergency surgery. Cost reduction (estimated) by 4,000 rubles once a year.
22. Renting a chainsaw for the weekend instead of buying one. Reduction of expenses by 3,000 rubles one time.
23. Buying LED lamps instead of conventional ones. Reducing electricity costs for the coming years by about 200 rubles per month.
24. Buying contact lenses is not out of habit in optics, but through an online store. Reducing the cost of lenses by 500 rubles per month.
25. Consolidation of three small loans into one large one. Reducing the monthly loan payment by 700 rubles.

In some examples, we “save a penny”, but the final optimization always results in a round sum. This amount allows you to use the released funds for accumulation and achievement of long-term goals. It is our motivation, our ardent desire to achieve a long-awaited goal that will feed our art of cost optimization.

Every family sooner or later faces a problem: how to cut costs. Indeed, very often unreasonable spending, in which there is not enough money even for food or travel, leads to complete bankruptcy. In this article, we will look at various ways to save money. Useful tips will help rethink the whole essence of the family budget.

What is undesirable to do

Almost all people with a shortage of funds begin to look for additional ways to earn money in addition to their main job. Of course, this is a very good option, but only on the condition that you have time for sleep, personal life and hobbies. In addition, you will not be able to work without rest for a long time. Fatigue in any case will make itself felt.

Undoubtedly, additional sources of income are a very good opportunity to have a large amount of money. But without the skills of their proper distribution, this will be meaningless. So let's look at the main ways to cut costs while enjoying your life.

Spending analysis

Usually, spending analysis helps you clearly understand how much money you spent and how much you earned. At the beginning of keeping such records, you will see some difficulties, but after a few months, believe me, you will even begin to enjoy it.

Carrying out this analysis daily, you will begin to understand where the money you earned has gone. Thus, saving the family budget will help you sort out your funds. You will be able to see what you spent money on in vain and next time you will not make such mistakes.

Unnecessary costs

Most often, people go shopping immediately after receiving a salary. After all, what could be more pleasant than pampering yourself or your loved one with a pleasant little thing? In principle, there is nothing wrong with such purchases. However, it is still better to pay attention to some nuances.

Don't go to the store after getting paid. After all, it is at such a moment that you have a considerable amount of money, which means that you can also spend a lot. It is better to wait a bit, make a list of things of primary importance, and only then make a purchase. Also, in no case do not forget about the need to pay utilities and loans. Set aside money from your paycheck for them right away.

Subsidies for utility bills

Be sure to find out about the possibility of obtaining a subsidy for your family. This is a great way to save money in harsh winters. Contact the relevant centers not only on your own behalf, but also register your parents there.

Believe me, having received a subsidy, you can significantly reduce your family expenses, and finally go on a trip or fulfill any other old dream. Subsidies for utility bills are a significant government assistance to your family.

Minimize your use of credit cards

On the one hand, what's the difference in what way to pay for your purchase. But, on the other hand, there is still a difference. Of course, it is much more convenient to make a purchase via the Internet by paying by bank transfer, but when you go to the store yourself, for example, for groceries, you risk spending much more if you have a credit card with you. If you pay with cash, you will be able to stop much faster when your cart is full.

Please note that it is best to buy groceries a week in advance. So you will visit the store much less often, which means that there will be less spending. Of course, perishable products are an exception.

Discounts and discounts

If it seems to you that having a discount card is not so profitable, then you are very much mistaken. This is especially true if you often go to the same stores. Having a discount card with you, you can easily understand how to cut costs without much effort.

If you visit the gym, it is better to buy an annual subscription right away, this will also allow you to save a considerable amount of money.

Buy in bulk

Some groceries and household items can be bought in bulk. This greatly affects the savings of the family budget. Of course, no one is talking about buying any product for several years in advance. But, for example, it is quite possible to buy sugar, cereals or sunflower oil in bulk. This also includes household chemicals. If you're wondering how to cut costs, shopping in bulk is a great way to figure things out for yourself.

Shopping out of season

If you do not follow fashion, but love good and high-quality things, then the best way to save money is to buy winter clothes in summer and summer clothes in winter. In the hot season, you can buy a coat or boots at a discount of about fifty percent.

And on some sales, the discount may be even greater. The main thing is to make sure that things are of high quality, otherwise you will not only not save money, but also incur additional expenses.

Advantages of online stores

Many families are interested in what they can save on. And this interest is fully justified. After all, with the money saved, you can fulfill your dream, and simply significantly improve your standard of living.

Economists recommend not to bypass online shopping. In them you can buy the usual things, but much cheaper. Very often, people save good amounts of money by buying even furniture on the Internet. It is worth considering that you can save money even on shipping. After all, some providers provide it for free. Do not be lazy and find out more information about shopping in online stores.

Savings on utilities

If you are still wondering what you can save on, then utilities are exactly the cell of the budget that you should pay special attention to. Install meters for gas and water. Believe me, one waste will help you spend money rationally in the future.

Also, do not forget about the possibility of obtaining a subsidy. Planning a family budget starts with small things, so take the issue of saving on utilities with all seriousness.

A few words about electrical appliances

Tell me honestly, do you turn off electrical appliances when you leave for work? Unfortunately, most of humanity does not do this. And very much in vain! Unplug all electrical appliances that you do not use every minute. This includes a washing machine, TV and other appliances. Thus, you can save money not only on the consumption of kilowatts, but also protect your equipment from short circuits.

Savings on medicines

Family budget planning depends on many factors. In this case, every little thing matters. Be sure to pay attention to the purchase of medicines. It has long been no secret that many doctors receive a percentage from pharmacies when they recommend drugs of certain brands.

If you do not want to face such problems, ask your doctor directly if there are other cheaper analogues of this remedy. Most often, all expensive medicines have them. If the doctor kept silent about this, analyze information from other available and reliable sources.

Payment for communication, Internet

In this article, we look at how to reduce family budget expenses. Have you ever wondered how much money you spend for using the Internet and mobile communications? Today there is a huge competition in the world, so you have every chance to find a good provider who will have to pay much less for the Internet. The same can be said about the use of a mobile phone.

Also pay attention to the use of paid channels. Do you really watch TV that often? Maybe you should stop watching paid channels altogether?

The presence of a piggy bank

It is very important to understand all the principles of how to reduce family expenses. We really ignore some possibilities, which can lead to extremely ridiculous situations. In childhood, probably, each of us had a piggy bank. So money was collected for a bicycle or another very important thing. So is it worth refusing to have a much-needed accessory now?

Putting aside even the smallest amounts of money can save you from situations where there is no money for travel or bread. Buy a piggy bank and you won't regret it. This will be a very useful purchase.

Avoid loans

If you are wondering how to reduce your expenses to a minimum, then forget about such a thing as a loan. This is especially true for shopping for clothes or money for a vacation. After all, you will rest now, but a year will pass, and you will want to do it again. And the credit for the last trip has not been paid yet.

Try to avoid such situations, especially considering that the economic situation in the world is rather unstable. What will you do if you are unable to repay the loan? Better be a little patient and make a purchase at your own expense.

Learn to save with every paycheck

In order not to face unpleasant situations, start saving money for a rainy day. Ten percent of family income is not a very large amount. If you stick to the savings strategies outlined above and set aside money from every paycheck, you will notice that finding money for a vacation or something else is not so difficult.

Don't Forget About Deposits

Set a goal for yourself, what exactly you save money for. So you will be much less tempted to spend them. You will especially want to do this if they are in your home.

Therefore, the best solution would be to open a bank deposit. And if you are a little versed in economics, then invest them in securities or engage in stock trading. Thus, you will not only start saving, but also receive additional cash. At first, the income will not be very large, but over time, their growth and stability will confirm the correctness of your choice.

However, not in all cases it is necessary to think about reducing costs. If the family has a very small income, then you need to think about increasing income. But understanding the question of how to reduce food costs, especially when it is not good for your body, is necessary in any case. Think about your spending, and you will understand that in all situations you can find the right way out. The main thing is to learn to control yourself. Your life is in your hands.

To optimize costs, foreign companies began to use outsourcing 20 years ago, which allowed them to reduce accounting costs by 20-40% and save $8 million on HR functions! We collected the opinions of experts on reducing the company's costs and presented two lists: what should not be done, and what, on the contrary, should be done.

Cost optimization: how not to

If it is wrong to carry out measures to optimize costs, then you can reduce profits, spoil the company's image and lose customers. Here's what you definitely shouldn't do.

Savings on employees

Reduction of staff, reduction of salaries, reduction of expenses for corporate parties and training have a bad effect on the work of the company. The remaining employees, as a rule, begin to look for additional income and devote less time to the main affairs. And their productivity drops even more.

Leonid Gavrilov, partner of the investment boutique Qviqa :
- Greed leads to poverty. On the contrary, it is better to invest in personnel training: the higher their qualification, the more they will earn for the company. You can not greatly reduce the cost of corporate vacations, because a joint vacation defuses the atmosphere and makes it easier to survive the crisis.

Reducing Marketing Costs

The most influential management theorist Peter Drucker stated that marketing is a cost that generates a profit. Because it is gathering knowledge about the needs of the customers to make the product useful to them and trigger a natural desire to buy. So imagine how you will sell if you don’t know if people need your product or not?

Companies often cut marketing spending by proportionally reducing budgets across all channels. But this leads to the fact that there are even fewer customers, profits are reduced, and the budget has to be reduced again. But you can do it smarter: find out which channels bring in the least customers, and cut costs only on them. They do this by surveying customers, connecting, tracking with the help of end-to-end analytics services. As a result, marketing costs will decrease, but its effectiveness will not.

Roman Fedosov, CEO of the Kompot digital agency:
– Having implemented call tracking, we found out that customers leave requests when clicking on the same word in a context that took only 5% of the advertising budget. The rest of the advertising channels did not work. We turned off all unnecessary and, having reduced the budget by 20 times, we achieved the result much faster than we planned.

If you also suspect that part of the money is spent on ineffective advertising, but you cannot find these channels, then order an audit from specialists. They will analyze the activity of your company according to 50 different indicators and help identify problematic points.

Deterioration in the quality of a product or service

BMW assessed the behavior of its customers and found that, on average, one unsatisfied customer tells about a bad interaction to 10 of his acquaintances, forming a negative attitude towards the company.

Therefore, be sure: if the quality of your product becomes worse, a lot of people will immediately know about it, and you will lose customers.

Andrey Zinkevich, Internet marketing specialist for the biz360 website:
– Instead of compromising quality, you can, for example, increase the minimum order amount for free shipping to cover postage or shipping costs. And if customers are not willing to pay a lot, then reduce the number of services or the weight / composition of goods.

Everyone remembers the story of the missing egg from a dozen, which turned into « nines, ”and how only 900 ml were poured into a liter package of milk. These are examples of how you can save on quantity while maintaining quality.

Cost optimization plan: how to

So that cost optimization does not bring new financial problems, it is necessary to reduce costs in a smart way. Fortunately, all good ways have already been invented before us 🙂

Give up the office or outsource

American researchers have calculated that if employees work from home half the time, then the company saves up to $110,000 per year on paying utility bills, cleaning the office and buying consumables. In addition, remote workers less likely to take unscheduled days off and sick days, which typically cost the company $1,800 per year for each. At the same time, productivity at a distance increases by 35-40% which increases the profit of the company.

Another safe way to cut company costs is to pass some functions to . For example, instead of having a lawyer on staff, you can conclude a contract for legal support with a third-party company. Then instead of a monthly salary, you will only pay bills for specific services.

You can also negotiate with partners on barter if they are interested in your services.

Sergey Shukhrin, General Director of the Cleaning Factory company for the Delovoy Kvartal website:
- At GAZ, about 1,000 people serviced (cleaning) 43 workshops. The costs were very high, because once a month GAZ employees went for consumables, for which several cars, drivers, and suppliers were allocated. When the plant outsourced cleaning services to us, we reduced its costs to a minimum, and fewer consumables were needed. Now they carry only one car. By withdrawing the staff from the state, GAZ received an annual saving of about 10 million rubles.

Tie employee motivation to the execution of the plan

Are you sure that 10 managers who are on the same salary bring the company the same amount of money? In order not to pay in vain to those who earn nothing, it is necessary get rid of inefficient employees or motivate them for big sales.

To do this, implement . It is based on a small fixed salary and a percentage of personal sales or other personal merit bonuses. Lazy - receives 10,000 rubles, works hard - 70,000.

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It is quite logical that in the conditions of economic instability, companies want to "be afloat", for which they use various methods to reduce costs. This issue does not tolerate hasty decisions and amateurish approach. Therefore, a lot depends on which methods are used in the enterprise, and what you want to save on.

How to start reducing costs in any business

Start by classifying the costs of the enterprise into the following categories:

1. Efficiency.

The costs associated with the manufacture of products that will subsequently be sold are considered effective. Inefficient costs include all types of losses: damage, marriage, theft, downtime, and others. Inefficient costs should be kept to a minimum.

1. Relevance.

The manager must control the dependence of planning on the decisions he makes. Costs that depend on managerial decisions are considered relevant.

If the CEO is no longer able to influence the costs by his decision, then they are classified as irrelevant costs (for example, costs that occurred in the past period, which he can no longer influence in any way).

Particular management attention should be given to opportunity costs that are categorized as relevant.

1. permanence.

Depending on the level of production, there are fixed, non-fixed and mixed costs. One of the main conditions under which it is possible to control fixed costs is their optimization, which, in turn, requires the division of production costs.

To do this, it is important to know that variable costs do not affect fixed production volumes and are directly proportional to the production level, while mixed costs include both variable and fixed costs.

1. Impact on cost.

There are direct and indirect costs in this category. If the costs relate to a specific type of service or product, then they are considered direct (for example, the cost of purchasing materials, paying wages to employees of production units).

The rest of the costs that are not directly related to a specific product are called indirect (for example, the costs associated with the implementation of management and maintenance of the administrative apparatus). If the enterprise produces only one product, then all its costs incurred in connection with the manufacture and sale are considered direct.

Now you must identify the costs to be adjusted and make a plan to reduce them by applying certain cost reduction methods.

After conducting an analysis of the work of many enterprises, we came to the conclusion that, as a rule, the costs of production, personnel, quality and advertising are reduced.

Methods to reduce production costs

Method number 1. Reduced production costs

Warehouse logistics

Quite often, it is in the warehouse that there are reserves that can be used to reduce production costs. For example, often quality control of raw materials is carried out using outdated (in every sense) equipment. This leads to the fact that the received raw materials do not meet the technological requirements.

In this case, the disruption of the production process is inevitable, as both the volume of raw materials used and energy costs increase. By upgrading the equipment, you will not only reduce production costs, but also get the opportunity to work more efficiently with suppliers.

It happens that production costs increase due to insufficient number of warehouse workers. Suppose that wagons with raw materials arrived, which must be unloaded at a strictly allotted time in order to meet them, they simply were not weighed.

And, as a result, another check shows that the underweight of raw materials is almost 10%, of course, that the supplier is to blame. Conclusion: the enterprise will spend less on the wages of warehouse workers than it will lose on the underweight of raw materials.

It happens that raw materials are stored in improper conditions (outdoors, etc.). This is fraught with the fact that it loses its properties, and violations of technology can no longer be avoided. Not only the volume of consumed raw materials is increasing, but also other resources, in particular, electricity. In addition, it is possible that such a violation will adversely affect the quality of the product.

Transport logistics

Methods for reducing costs in the enterprise include working to improve the efficiency of the use of vehicles. Often, movement, both within the enterprise and outside it (deliveries of raw materials or finished goods), is organized very unsatisfactorily.

For example, an enterprise has established work with customers by setting a minimum sales volume, but has not considered the issue of the volume of deliveries, although this greatly affects the income from the entire order.

Difficulties associated with the inefficient movement of raw materials relate to internal logistics. For example, repeated unloading and transportation of raw materials: unloaded - conducted incoming control - loaded - transported - unloaded - prepared for production - loaded - transported to the workshop.

Pretty long chain, right? The result of such manipulations is the company's costs incurred as a result of repeated loading and transportation.

Many companies have used seemingly dubious methods to reduce transportation costs. For example, at one enterprise, drivers calmly went to lunch in working cars. No one even thought that this was an expensive pleasure (transport, as a rule, is freight), of course, transportation costs were huge.

The management solved this problem by buying a minibus, which they began to take employees to lunch. Bottom line: transport costs have dropped significantly.

Purchasing actions

It has not been possible to automate procurement-related activities, despite the fact that the tendering procedure is carried out at a fairly high level. Corruption alone cannot be blamed for this, often the problem lies in the improper organization of the process.

You may be able to apply some cost-cutting techniques if you rethink your purchasing approach. What can be corrected? For example, the following:

• Elimination of redundant formalization.

Sometimes well-established procurement control does not give the desired result. This is because the job of the entire purchasing department is to collect data and complete documentation. Although, the employees of the department should be engaged in the search for "profitable" suppliers and the conclusion of contracts.

Serious companies arrange tender meetings when they have more than 15 proposals. Naturally, procurement staff spend a lot of time analyzing proposals and preparing the necessary documents. But the detailed development of all purchases takes a lot of time, and it is often not enough.

• Not all purchases can be subjected to detailed analysis.

The main thing is to establish priority suppliers, since it is they who are able to provide the bulk of raw materials or materials on mutually beneficial terms. Finding a supplier that will become a “fallback” will relieve the company of risks.

By arranging a tender, you can identify profitable suppliers and discuss the terms of cooperation with them, as well as decide who it is better for the company not to contact with whom.

• Increasing the level of interaction between the purchasing department and the production and technical division.

An established tandem "purchase - production" can significantly reduce costs: apply certain methods to reduce costs, make specific proposals for changes in production indicators and requirements for raw materials.

These proposals can be applied when drawing up a work plan for the enterprise, when choosing suppliers. Also, the mutual coordination of the actions of these services will help to choose a supplier whose products most successfully combine the requirements set by the company for price and quality.

• Independent evaluation of the existing terms of cooperation with suppliers and search for new supply channels.

An independent company can help analyze the current market situation and find potential suppliers. At the first stages, in order to prepare the most complete list of new possible suppliers and to identify the proposed prices and terms of delivery, an open source analysis is carried out.

Based on the results of the analysis, the management of the enterprise will be able to expand the scope of the tender campaign. An independent evaluation, for example, may show that there are firms from which similar material can be obtained much cheaper than it was done before.

Production

Considering that many companies are reducing the number of investment projects (or abandoning them altogether), cost reduction techniques can be recommended to help focus on areas that can reduce production costs. For example,

• Lean manufacturing method.

It is simply meaningless to give detailed explanations regarding this method. The only thing I would like to pay attention to is its effectiveness (although it takes a lot of time to get a noticeable result).

The fact that this process stretches for a long time is easy to explain: it consists in changing the culture of employees during the implementation of production work.

• Efficient accounting and control of the expenditure of material assets, stocks and industrial waste.

This method provides for cost reduction through the efficient use of all production resources. As a rule, Russian enterprises almost do not keep records of waste, and, of course, their use is not controlled.

Although sometimes the cost of waste can be much higher than the cost of the product itself, and if it is recycled a little, then the waste will turn into a sought-after product.

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Method #2. Reducing management costs

Management costs are usually classified as fixed. Moreover, most of them are direct expenses (bonuses and other payments to employees). Many cost reduction methods involve revising these particular cost items, as they are a key factor affecting management costs.

Reducing costs without cutting staff

For most companies, reducing costs without reducing the number of employees is an ideal cost optimization option, as it promotes team building, prevents staff turnover and enhances corporate culture. But, unfortunately, the effectiveness of this approach is short-term.

Typically, downsizing has the following goals:

• reduce administrative, transport and travel expenses, as well as the cost of renting premises;
• cut wages and health insurance costs;
• rethink the structure of the working day.

Adjustment of the organizational structure

The organizational structure of many companies in Russia is far from perfect, so the use of this tool to reduce staff is sometimes simply necessary. Conventionally, the modern organizational structure can be divided into two levels, located above ("flat structure") and below ("narrow structure").

The essence of the “flat structure” is the subordination of a large number of employees to the CEO (as a rule, it is 7-10 people, and sometimes their number reaches 15).

If the management has up to three superiors, then this is a “narrow structure”. Such an organization can lead to problems between functional units (for example, between project managers and bosses).

In order for a company to function fully in a crisis period, it needs a “flat structure” from below. Cost reduction methods provide three ways to solve this problem:

1. Expand structural divisions by combining several departments (you can limit yourself, for example, to two).
2. Make intermediate levels of management shorter (for example, introduce a new order of subordination of department heads: remove departments, leaving one representative of the directorate).
3. Determine the required number of positions and divisions (as an option, you can leave no more than nine people in the department, and each department can be represented by three departments, consisting of four departments).

By reducing the levels of management and expanding the structural units, you can save a lot of money that was intended for the maintenance of middle managers. Such an adjustment will have little effect on the functional responsibilities of the remaining bosses, in addition, you will not need to reduce the staff.

For example, a company that manages one large holding company has managed to reduce employee costs by $1.5 million a year by expanding structural divisions and reducing levels of intermediate management.

Functional optimization

Cost reduction methods provide for several areas of function reductions and their redistribution:

• Reducing the volume of reporting documentation, sources of processed data and the level of detail.

Often managers have to process a large number of voluminous and poorly structured reports. If the level of detail is made lower, then the amount of work will also decrease (by 20-30%). This will improve the efficiency of managerial decision-making.

• Redistribution of functions between permanent structural units, working groups and collegiate management bodies.

We know of a company that chose this area of ​​functional optimization: its management decided to liquidate the division that was engaged in the integration and restructuring of assets.

These responsibilities were assigned to a working group, which included representatives of various departments, which allowed the company to significantly reduce its costs.

• Distribution of functions between service centers and their outsourcing.

A third party company may, for example, provide administration and IT support services. Today, this is quite profitable, as such companies offer their services at a very reasonable price, trying to expand their customer base.

Methods to reduce the cost of product quality - myth or reality?!

In fact, the cost of quality cannot be avoided, but some cost reduction techniques can bring it down to an acceptable minimum. There are such costs for quality, without which no enterprise can do, and some can be completely eliminated.

The latter include the costs that occur due to the appearance of marriage or some defects. If this is not possible, then try to reduce defects to a minimum, guided by the principle: less defects - less costs.

Avoidable costs are:

• leftover materials;
• correction or improvement of defects;
• the expenditure of additional working time necessary to eliminate the defect, delay;
• auxiliary checks and additional control in order to detect defects, the percentage of which is already predetermined;
• additional risks related to the fulfillment of the company's obligations (including guarantees);
• low sales due to non-compliance with consumer requirements.

Mandatory costs are funds aimed at maintaining high product quality and a minimum level of defect. These costs are necessary as insurance, even with a low percentage of marriage.

Typically, mandatory costs are associated with the following activities:

• audit and operation of the quality system;
• checking and maintenance of equipment;
• evaluation of suppliers;
• increasing the level of knowledge of employees on quality issues;
• inspection and quality control (to a minimum).

Of course, cost reduction methods involve reducing the cost of quality, but getting rid of them is simply not realistic.

Small Business Cost Reduction Techniques

Not all Russian companies are representatives of big business, but the issue of cost reduction is periodically raised in every company. Therefore, we want to offer methods to reduce the costs of business activities for companies belonging to the category of "small" and "medium".

Get out of the office

Today, remote work (at home) is becoming more and more relevant. If you do not use office space for storage of goods, meetings with clients or showcases, then think: “Why do you need it?”. It's possible that you'd be better off giving up the lease.

This approach comes with a number of positives:

• cost reduction. Small businesses spend a lot of money on paying utility bills, so by refusing to rent an office, you will significantly reduce costs;
• prudent use of time. Instead of wasting time on the road to the office, use it for work;
• free schedule. You plan your working time on your own and, with a reasonable approach, you will be busy not only with the performance of your functional duties, but will also be able to devote time to your loved ones and your own development.

Not all employers are sure that without their control the subordinate will perform his duties with high quality and solve the tasks assigned to him. Of course, everything here depends on the employee: an effective employee does not need total control.

For a “painless” transition to remote work, it is necessary to carry out a number of activities: prepare step-by-step instructions for subordinates, formulate their goals and objectives. Wages for such employees are charged not for the time spent on work, but for its actual performance.

Enter into negotiations with the landlord

If you still need an office or other space, try to negotiate with the landlord to reduce the rent.

Of course, such a dialogue does not always end as the tenant would like, but positive aspects are still observed. For example, you can hear each other and enter into normal partnerships.

When renting a room, do not leave unused square meters and, perhaps, you will come to the conclusion that you can get by with a smaller area (and this, again, will warn against unnecessary costs).

Don't "hold on" to unprofitable customers

Not all clients can become profitable. Sometimes a client takes so much time, effort and money that the amount received as a result is not able to cover all expenses.

Think: why do you need such a client? Is your cooperation mutually beneficial?

It is more logical to use these funds to attract new customers by offering them interesting loyalty programs, bonuses or additional services.

Sometimes the financial situation of a company may be such that it will be necessary to apply certain methods to reduce costs. New negotiations with suppliers is a good way to solve the problem. Of course, first of all, you need to pay attention to those for whom you are a profitable client and with whom you have been successfully cooperating for a long time.

Contact your supplier for a deferred payment or discount. It is possible that the supplier will not refuse you.

Mutually beneficial cooperation

There are companies that, in order to reduce costs, are exploring new options for business cooperation.

As one option, you can use the joint implementation of various campaigns. For example, if your firms rent neighboring premises or retail space in the same hypermarket, then you can run a joint promotion or share the costs of promoters distributing leaflets on the street.

The ideal option is a combination of businesses that have a thematic connection. For example, a wedding dress salon and a flower shop, a travel agency and a travel accessories store.

Do not neglect ready-made solutions

For companies that fall into the category of small and medium businesses, it is cheaper to use ready-made solutions than to develop something new (of course, if you are not engaged in design or web development).

Enterprises can use the following ready-made business solutions:

• accounting software;
• software products (analytical or financial orientation);
• website development;
• a range of services for the organization and implementation of communication programs, etc.

In addition, the modern service market even offers the introduction of sales systems that are highly efficient.

17 methods to reduce personnel costs within the framework of the Labor Code

1. Do not accept "extra" employees.

Some cost reduction methods are based on elementary mathematical knowledge. Therefore, it is not difficult to calculate that the payroll of eight people occupying the same positions is less than, for example, ten.

If the existing eight employees successfully cope with their duties, then why pay more and fill all the vacancies in the staffing table?

1. Raise the variable part of wages.

If the enterprise uses a time-based wage system, then it is practically impossible to apply any methods to reduce wage costs, as well as to manage the fund itself. According to Article 74 of the Labor Code, it is possible to change the system and the amount of payment only in the event of fundamental changes in technological or organizational working conditions.

If you have justification for making such changes, then inform employees about it and implement this program after two months.

If an employee refuses to sign an additional agreement that specifies new payment terms and is ready to leave the company, then you pay him a severance pay equal to his earnings for two weeks.

On the basis of the same article, the employer may, for a period not exceeding six months, transfer the company to part-time and/or weekly work.

1. Enter the summarized accounting of working hours.

Overtime payments do not have to be paid monthly. Article 104 of the Labor Code states that such payments can be made at the end of the reporting period. Cost reduction techniques do not preclude such an approach if production is not at full capacity or is subject to seasonal changes.

1. Use the system of short-term surcharges and allowances.

If during a certain period of time one of the employees has to perform a larger amount of work, replace an absent employee without releasing him from his main duties, then this, according to Article 151 of the Labor Code, is the basis for increasing the amount of payment.

Accordingly, wages may be reduced if there are no grounds for additional payment.

1. Pay bonuses only after the company achieves certain goals.

For example, employees receive bonuses if the company has fulfilled the production plan and, conversely, if there is no plan, there are no bonuses. Article 135 of the Labor Code regulates the procedure for paying bonuses, and changes to the payment system are made on the basis of Article 74 of the Labor Code.

1. Reduce the number of employees or reduce staff.

The reduction of staff is regulated by paragraph 2 of Article 81 of the Labor Code. It would seem that such methods of cost reduction should give an instant effect, but this is far from being the case.

First of all, because the reduction procedure itself must be planned in advance, you need to inform the employees about this no later than two months before the dismissal and pay them a severance pay (2-3 monthly salaries).

Thus, you will “feel” the effectiveness of the method only 4-5 months after you decide to reduce the number of employees (downsizing).

1. Review labor standards and optimize production processes.

Cost reduction in the enterprise is when fewer employees are involved in the implementation of the production plan, or they cope with the tasks set faster.

When applying this method, you must be guided by articles 160 and 74 of the Labor Code, which state the need to notify employees about your plans to revise labor standards and conclude additional labor agreements with them two months in advance.

1. Sign fixed-term employment contracts.

The grounds for the application of this method are set out in Article 59 of the Labor Code, which also establishes restrictions on its use.

1. Use outstaffing (rental labor).

The rules for applying this method are set out in chapter 53.1 of the Labor Code. Before using it, you need to weigh the pros and cons and evaluate your benefits.

On the one hand, outstaffing is a good way to reduce management costs: you do not need to select employees and take care of the timely accrual and payment of salaries to them, etc.

But, on the other hand, paying for the services of the company that provided employees, you still spend money on staff.

1. Take advantage of outsourcing.

Methods to reduce costs involve the purchase of services through the conclusion of an agreement with cleaning companies. For example, by purchasing the "Clean Office" service, you do not need to hire a cleaner.

It is impossible to say right away whether it will be beneficial for your company or not - everything must be calculated. Although, in the budget, personnel costs will definitely decrease.

1. Sign civil contracts.

It is very good if the performance of work does not go beyond the framework of a civil law contract. In this case, you are not considered an employer, and your relationship with the employee is not covered by the Labor Code.

However, before starting to use such methods of reducing costs, it is necessary to carefully study Article 15 of the Labor Code, which sets out the grounds for entering into civil law relations.

If such an agreement turns out to be illegal, then all your savings will come to naught.

1. Announce simple.

If the downtime occurred through the fault of the employer, then, according to Article 157 of the Labor Code, the employee receives a salary, the amount of which is not lower than 2/3 of his average monthly salary.

If neither the employer nor the employee is to blame for the downtime, then wages are calculated in proportion to the downtime in the amount of at least 2/3 of the salary (tariff rate).

If an employee is to blame for idle time, then wages are not accrued to him.

1. Conduct employee appraisals.

In case of inconsistency of the employee with the position held or the duties performed, in accordance with Article 81 of the Labor Code, he may be dismissed. The results of certification are confirmation of his qualifications.

Such a technique cannot be classified as one of the most effective methods of reducing costs, since it is very laborious and selective.

1. Cancel social payments and compensation.

We mean the complete or partial cancellation of payments provided for by the Labor Code of the Russian Federation.

You, as an employer, have the right to review payments based on certain regulations, such as travel, food, accommodation or medical expenses, and financial assistance.

If your collective or employment agreement contains obligations to provide additional payments, then these documents need to be adjusted.

You do not have the right to change the collective agreement on your own. But, according to Article 74 of the Labor Code, it is possible to unilaterally amend the employment contract, for example, cancel the travel payment for an employee whose nature of work has been changed (he stopped traveling to resolve production issues).

1. Manage staff turnover.

There are many factors that contribute to a high level of staff turnover: inappropriate working conditions, heavy work schedule or not very convenient schedule, wage system or salary, etc.

The employer is able to take legal measures to regulate the degree of influence of these factors on employee turnover, thus introducing cost reduction methods (moreover, it is difficult to give any recommendations in this matter, everything is very individual here).

1. Reduce employee training costs.

The hardest part is managing the costs associated with employee training.

When planning a budget for personnel costs, you can go in several ways, for example:

• limit the cost of training one employee;
• identify priority learning objectives;
• conduct training independently;
• invite specialists to conduct trainings, etc.

Staff training is a good opportunity to show creativity and creativity. This topic is so voluminous that it requires a separate publication.

1. Provide unpaid leave, set a part-time/week schedule.

According to article 128 of the Labor Code, in order to be granted leave without pay, an employee must write an application.

In order to introduce a part-time work regime, it will be necessary, in accordance with Article 93 of the Labor Code, to conclude an additional labor agreement.

Naturally, the desires of the employer and the employee do not always coincide. Therefore, it is necessary to enter into negotiations with employees, during which they are made aware of what can happen if more stringent methods of reducing personnel costs are applied. Usually, decisions made in this way suit both parties.

Summing up, it is worth noting that the choice of method depends only on you, but before making a decision, it is advisable to consult with experienced financiers and lawyers.

Methods to reduce advertising and marketing costs

If you gave at least one affirmative answer, then we can help you optimize your marketing budget by offering the following cost reduction methods.

Do not communicate with the faceless crowd, called the "target audience"

The current level of technology development makes it possible to find out much more about a potential buyer than the banal: “a woman; age: 35-45 years; average income is 100 thousand rubles.

Suppose you have several thousand customers - this is not a reason to appeal to the entire target audience. A potential buyer is very different from the rest: he is interested in purchasing your product or its equivalent. He needs it!

You must find out why he needs it, when this need arose, where he is trying to find him, from whom he asks for advice, why he has not bought it yet, and with what funds the purchase will be made.

First, when you answer questions about the buyer, you can identify their information sources. They may not match the Mass Media you use to inform your target audience.

Place information on the communication channels demanded by your potential customers. Tell them the information included in the context of the purchase.

When addressing a person who is already faced with the task of buying this product or not, you will offer him a ready-made solution. It is enough for him to listen to the information once, maximum, twice, in order to remember or write down the information received.

SEO budget and arms race costs are similar

Search engines work on algorithms that rank search results according to the degree to which they satisfy the user's request. Moreover, SEO-optimizers regularly work to "outwit" the search engine, and they regularly update the algorithms. It turns out a vicious circle.

It happens that search engines “take over”, but after some time, SEO-craftsmen again bypass them. If your resource entered the TOP only due to effective SEO optimization, then soon it can be moved “to the backyard” by more competitive resources.

But there is a way out! Fill in the resource demanded by the potential buyer. This can be done, for example, in your blog.

What are cost reduction methods?

Firstly, blogging does not necessarily involve expensive specialists. Not all blogs are run for the sake of making money. As a rule, people are interested in it. And in your company there will be those who like their work and who want to talk about what they do (sell or produce).

Secondly, attracting a professional blogger will cost no more than paying for the services of an SEO optimizer. The only point, find out how well he understands your product (maybe he just beautifully presents the information?).

Thirdly, given that search engines regularly update their algorithms, SEO optimization must be carried out constantly, which entails ongoing costs.

If you publish informative materials, then the resource can “work for you” for many years. You can see this when you find useful information in the "old" articles (published several years ago).

Memory stores creative advertising

Consider some memorable slogans:

1. "Let's change the world for the better" . Who and how?
2. "Sometimes it's better to chew than talk". Of course, chewing gum! And what exactly?
3. "Impossible is possible" . Did you hear it somewhere? About sport! Or Bilan's song?
4. "More than fuel" . Seems to be gasoline. Or not about him?

We took slogans that have received worldwide recognition. They were made by the best creatives.

A similar picture is observed in relation to special effects. Today, sneakers can take their owner into space. Effectively - yes, effectively - hardly. The audience knows perfectly well that this is unrealistic, so you should not expect everyone to rush to buy them.

What are cost reduction methods?

For the sake of creativity, give up creativity. Having received answers to questions about customers, you will be able to understand not only “who”, but also “why”, “when” buys your products. It is this information that should be placed in the advertising message. Don't turn means into ends, but use them to achieve those ends.

Does participation in advertising of movie stars, sports or business contribute to its memorization? Of course! Does it affect the buyer's choice? Hardly!

Choosing a reliable bank to which people will trust "their hard-earned money", they will look for sources that inspire confidence. Whom will they believe? An ordinary bank employee who will be their good friend or relative (albeit distant) or a Hollywood star?

It is unlikely that this celebrity keeps money in one of the banks in Russia. It's not even mentioned in the ad. Where does such confidence in its reliability come from?

What cost reduction methods are appropriate here?

For example, a famous athlete can appear in an advertisement for sneakers if he personally tested them. In other cases, it is better to analyze people who are familiar with your product so that everyone understands: “why” he bought it and “how” it solved his problems. Such information will be more useful than any "famous person".

We have provided you with generalized cost reduction methods. Do not forget that every business is individual, just like its owner. Any company faces specific tasks that are unique to it.

Today, all business representatives are in a difficult position. Most likely, the one who can continue successful activities with minimal production and marketing costs will be able to “stand” and “flourish”.

Inform the consumer about the merits of your product without investing heavily in it. This is the only approach that can be called effective!

You can save money in different ways. You can eat pasta and wonder where the money has gone, which seemed to have been until recently ... Or you can plan your expenses and live a completely fulfilling life even with a small family budget ...

How to wisely reduce the budget costs of a family or one person, the women's site knows the site.

Saving the family budget: short-term and long-term options

What it makes sense to save money on varies greatly depending on what the goal of cutting spending is: to survive a temporary shortage of funds for some period, or to reschedule spending money in general, with the expectation of a permanent reasonable reduction in spending.

Fast and tough savings

Let's talk first about the short-term regime of hard budget cuts. There are a huge number of options, which you can refuse altogether:

• Clothing, footwear, decorative cosmetics;
• Taxi trips;
• Alcohol and delicacies;
• Visiting cafes, bars, entertainment venues, events;
• Books, licensed games, music;
• New gadgets.

And here it is appropriate to add the notorious “and so on”, because if the goal is to live in the regime of the maximum possible cutback in spending, then it is easier to list what should be left on the list of expenses. These are payment for housing and communication, simple but sufficient food, hygiene products, necessary medicines and travel on the necessary public transport.

Long-term "soft" budget cuts

Here the strategy should be somewhat different. There are acquisitions and expenses that you can refuse for a long time or always at all - these are the so-called luxury goods. And there are those about which it is worth thinking about how to make them less often, in smaller volumes, with what cheap analogues to replace ... Principles that can be followed:

• Non-perishable products can be bought at promotions and for future use if you really eat such food. It makes no sense to buy cereals in kilograms if they then lie "for a rainy day." The same applies to household chemicals, household goods, etc. - take in reserve only the funds that are actually expendable!
• Perishable food should be bought and prepared in quantities that you can eat as a family or person in a maximum of two days.
• Allow yourself “sweets” for a certain amount per week, if you are sure that without them you will be sad and tormented.
• Minimize eating out - bring snacks, a thermos of coffee, etc. Public catering, from student canteens to restaurants, is a significant expense item for those who do not bother with homemade food and “breakfast to go”. .
• As for clothes, either buy occasionally and of high quality, or (if you understand that with a basic set of good things you still can’t avoid “breakdowns” for spontaneous replenishment of your wardrobe), learn to shop in second-hand stores and cheap stocks. It is also worth taking children's things there, which children quickly wear out or grow out of them.
• Take high-quality shoes in order to repair less and wear longer: you can find good options for the same drains.
• Cosmetics should be of average quality and price - luxury brands are usually unreasonably expensive due to the brand, but cheap ones are often really bad to use. Assemble a basic grooming and beauty kit and only add to it if the profitable part of the budget increases.
• You can cut costs at the expense of beauty salons, etc. - You can't just go there. But if you really need the help of professionals in caring for your appearance, it is usually cheaper to find your masters at home.
• Feel free to save on kids! In our culture, it’s somehow shameful to deliberately deprive a child of something good, but in fact, children don’t need mountains of toys, “kinders” every time they visit the supermarket, branded jeans for kindergarten and a new “ball” dress for two matinees ...
• Do not get carried away with alcohol and alcohol gatherings if you plan to cut expenses in your budget. Yes, in a certain sense it is a factor of culture, a way of spending time. But in a purely financial aspect, a feast with alcohol and even simple “drunkenness” with a minimal snack can be equated in terms of cost to at least two or three days of good food. And this is when it comes to cheap drinks!
• You can buy the necessary gadgets used if you don’t have enough for new ones - but here you have to accept a certain risk of malfunctions.
• Instead of gyms, you can work out at home. Instead of attending courses, etc. you can watch free webinars, lectures, read materials. Nowadays, self-education and self-development are more than accessible thanks to the Internet, and with a certain determination, you can do without paid classes with teachers, coaches, etc.

Of course, the tips described in "Beautiful and Successful" are applicable for long-term cost reduction, but only if the budget is still slightly above the "living wage". That is, if we are talking about what is called poverty, then, of course, it’s still impossible to think about any home craftsmen and rare purchases of new high-quality clothes - in fact, you will have to live according to the option of maximizing the reduction of all budget expenditure items until income situation will change.