When many enterprises talk about cost, they think it's about the finance department or cost accounting, while most employees think, "I'm not the boss, and the cost has nothing to do with me"; "you don't need to use the public thing for nothing"; "what's the benefit of saving the cost?".
In fact, cost reduction requires everyone's participation. First of all, as the decision-making stratum of an enterprise, it needs to have the concept of investment, which is the basic condition that determines and influences the formation of enterprise cost;
Secondly, the engineers and managers of the enterprise affect the cost level of product design and production;
Third, the staff of the supply and sales department of the enterprise, whose business activities affect the purchase cost of materials and the level of product sales expenses. So the cost is closely related to everyone.
Therefore, cost reduction depends on the mindset first, and the mindset of employees is related to the corporate culture. Generally speaking, it can be divided into four mindsets:
First: work for the boss
Under this mentality, the cost of enterprises will never be reduced.
Second: work for yourself
For example, in the billboard management of TCL, five boards are placed at the staff passage to mark the output, quality, consumption, cost and team performance respectively. When employees pay attention to their own work results, they will unconsciously compare with others, so as to stimulate employees to develop towards the goals required by the enterprise and transfer their dissatisfaction with their superiors. Through the establishment of imaginary enemy mechanism, employees will look at their opponents for self motivation.
Third: work for the team
That is to say, it is very important to make individuals very small and to put the team in a big way. For example, Haier never rewards individuals, but rewards teams and teams, including recruiting people. It is also the team has the final say. Because of this, many Haier systems including cost control can be implemented.
Fourth: fighting for faith
This is also the highest level of the enterprise, employees will have a high degree of ideological unity. If the waste is not eliminated, it is difficult to reduce the cost. Toyota, for example, has been aiming to eliminate waste and has spent nearly 70 years cutting costs by half.
2. Cost reduction starts from eliminating the source of waste
There are two ways to eliminate waste:
The first way is to advocate a culture of conservation and put an end to waste
1. We should advocate the culture of saving within the enterprise, make saving a spirit of the enterprise, and let the consciousness of saving go deep into the hearts of every employee.
2. We should seize the leading role in decision-making and avoid overall waste. Decision-making saving is a saving that affects the whole situation. To establish a saving enterprise, we should first start with scientific decision-making and obtain the maximum output with the minimum input, which is the biggest saving for the enterprise.
3. We should start from the details, and the economy should be embodied in every bit. We should use the system to squeeze out the profits through fine management. People are very envious of the world's top 500 enterprises. If analyzed carefully, they are the most closed enterprises, such as Toyota. There are no branches or offices in the world, only a sales center in Nagoya.
Wal Mart's Asian headquarters is located in a small alleyway in Beijing. The office is only 260 square meters. There is no conference room. The contracts are all signed on the road at the entrance of the alleyway. Moreover, it never invites stars to advertise, but lets employees do it as a reward for employees.
When the president of Wal Mart Asia got off the plane, he carried a calculator in his bag. When he saw a suitable position, he took the calculator out, calculated the size of the room, and began to attract investment. He paid the landlord's rent with the incoming fee. The management of the store learned from the Kanban management of Toyota in Japan. The warehouse processing could be accurate to the amount of 3 days in the store. The refined management made Wal Mart start Finally, it has a unique cost advantage.
4. Saving in purchasing. To control the purchase cost, we should set up and reduce it scientifically. The main methods are: to strengthen the control of inventory cost; to divide into parts and purchase in small batch; to establish the analysis system of procurement cost; to adopt measures such as bidding, inquiry, price comparison, price negotiation, price setting purchase and open market procurement; to establish the supplier selection system; to close the loopholes of "rebate" in procurement, etc.
5. Control the most core cost expenditure of the enterprise through saving in production. For example, reducing the consumption of materials and energy and increasing the productivity are saving; establishing the quota standard of raw material consumption; establishing the quota standard of labor consumption; controlling the production cost; implementing the reward and punishment system of saving, etc.
6. Saving in marketing. Marketing expense is a piece of "fat meat" that can be reduced. It is necessary to budget, analyze and make decisions on marketing cost, control unnecessary marketing cost expenditure, make every cent of advertising investment play an effective role, and at the same time, reasonably control all expenses of marketing personnel.
7. Saving in management. Including meeting saving and time saving. The former can save meeting cost, meeting budget, control expenses, save meeting time, and change meeting mode to implement meeting savings into each meeting; the latter can effectively spend time, do the right thing and do the right thing, and improve work efficiency.
The second way is to eliminate waste through on-site improvement
Improvement is always more important than management. A manager should not be proud of punishing employees, but should work with employees to study ways to prevent employees from making mistakes, and at the same time not provide employees with opportunities and conditions to make mistakes.
7 tools for site improvement are:
First, create a scene of visible waste, i.e. complete 6S (sorting, rectification, cleaning, literacy, safety).
Secondly, ie and job standardization, which is the best tool to eliminate waste, Haier uses this mode of management