Given the competitiveness of markets and the current economic climate, conscious and effective management of all resources, particularly financial resources, has become essential for every company. It is therefore fundamental that each company is able to define which are its core costs and which are its non-core costs. In this way, it will be able to identify sources of wasted resources, optimise non-core costs and invest in core costs. Core costs are those most directly related to the company's offering, that is, all those related to the production process, and for this reason managers are much more familiar with them. However, there are many other costs (non-core) that are not always taken into account and, for that reason, end up as poorly managed costs, since they are not central to the business activity and do not generate added value, harming the company fina...
Read more

Written by:
Openlimits

Tell us what you think

The innovation, success and growth of an organisation depend heavily on its internal and external investment. However, not all entities have a turnover compatible with the changes they want, particularly in Portugal, a country dominated by small and medium-sized enterprises (SMEs). As a result, resource management has become a necessity, as well as a way of achieving cost reduction. Putting cost reduction into practice in the company For a rigorous implementation that meets the desired objectives, this reduction needs to be planned, communicated to all employees and monitored throughout the entire process, thereby ensuring that it works properly. It is a long process and significant results will not appear as soon as it begins; however, in the long term they will meet your needs. The planning of the cost reduction strategy must fit in with normal working operations, and the whole company mus...
Read more

Written by:
Openlimits

Tell us what you think