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Cost cutting and Cost saving are two different ways whereby you may save substantially. If you are into manufacturing business then you must go through the processes and cost involved in order to run those processes and find out if little modification can change/effect the cost permanently. Identify all cost emerging points and see how best theses can be controlled and also identify people who are at the helm.Cost reduction is one way to maximise profit but not the only. Try to achieve Break even point and then look for more business orders to maximise the profits.
1- dacrease non add value activity like inventory actvity
2- dacrese non important cost
3- incrase actavity that add value to product
4- reduse custmor satsfaction
5-reduce overhaed cost
6- dacrese assets
