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What is the Meaning Cost reduction
Now a day business is operating in a globally competitive environment. Where in order to increase profit increase in selling prices of products/services may not be possible because of fears of shrinkage in volume. Thus in order to improve profit performance businesses have to be extremely cost conscious and improve their performance in cost. In other words, in this age of competition, in order to survive and improve profitability managers have to make continuous efforts to find out ways and means to control and reduce costs.
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Identification of decision packages - Zero base budgeting Each manager should break down his decision unit into smaller decision packages. Top manager may lay down the minimum
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Definition of Cost reduction Cost reduction is planned positive approach to reducing expenditure. Cost reduction exercises are planned campaigns to cut expenditure. It is a con
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