Approaches to Tackling Cost Savings Initiatives

Calculating cost saving initiatives

Share This Post

In the world of small business, every dollar saved is a big win. But with limited time and resources, where do you focus your cost-saving initiatives? I’ve worked for start-ups and smaller companies who are rightfully very cost-conscious but did not have the correct approach, that their efforts cost them more money overall. To maximize any company’s efforts there are two ways managers should focus on, value and data.

Looking to find cost-savings without thinking about the value of a process, thing, or resource brings a simplistic way of lowering costs. One of the companies I worked for refused to buy managers, who are often traveling or in meetings, work laptops.

Therefore, they print stacks of paper prior to meetings or not have information at all when traveling. The logic was, laptops are more expensive than computers and they didn’t want to spend more than what they had to.

However, the one-time savings of buying a laptop is greatly outweighed by the savings a manager could save by having accurate information and/or not having to go back to their desks to find information. Multiply these scenarios to a span of three to four year (a laptops’s life span) and the difference in cost saved versus value lost is immense.

Approaches to Tackling Cost Savings Initiatives

I also highly suggest that you should look at the data behind the processes. In a world where many no longer value hard scientific evidence, one can still gain an advantage by digging deep into the data and gathering facts about their business, or risk being caught in a hamster wheel. The same company above did not care for data-driven decision making that most business decisions were reactionary and tactical. They are passionate about the most non-impactful cost savings such as saving on paper clips and not buying laptops. Thus, supply chain costs are high, rework costs are through the roof and employee morale is down.

It is critical, especially for small business owners to look at every aspect of their business to lower costs. But as your company grows and looks for ways to lower expenses where it could, it is just as important to understanding the difference between value over cost and the use of data-driven decision making. It is not a winning business practice to achieve a 10% cost savings on a certain item if its value is low and adds 20% or more to your overall cost. And by this is kind of analysis one can determine if they spend time running reports and getting their hands dirty with data. Which is the best starting point to focus your limited time and resources.

More To Explore

Embracing Digital Transformation with Acumatica

In today’s rapidly evolving business landscape, digital transformation is no longer an option but a necessity. Companies across various industries are leveraging technology to streamline

Modernizing Your Supply Chain Process

In today’s interconnected world, businesses operate in a complex global landscape. Consumers expect faster delivery times, wider product availability, and competitive pricing. This puts immense

Continuous Monitoring ​

Our solutions are designed to be scalable and sustainable, ensuring long-term success for your supply chain.

Manufacturing

Acumatica Distribution Edition provides unparalleled distribution depth with an extensive suite of connected distribution applications for sales, inventory, purchasing, and warehouse management. Increase sales with opportunity tracking and sales quotes. Reduce carrying costs and eliminate stock-out situations with robust inventory replenishment. Manage omnichannel returns
and exchanges with an integrated ticketing system.

INDUSTRY BUILT

Built for Manufacturers and Distributors

SYSPRO’s ERP solution is meticulously crafted to provide industry-specific functionality tailored to manufacturers and distributors within select sectors where we possess extensive expertise. Leveraging SYSPRO’s industry frameworks for your particular sector enables you to capitalize on best practices, reducing both the time and cost associated with your ERP implementation.

Commerce Connectors

Elevate your customers’ experience, gain greater insight into your business, and drive exponential revenue with a unified commerce platform. The Acumatica Connectors for Amazon, BigCommerce, and Shopify are native interfaces that integrate your eCommerce website with your Acumatica financials, inventory, operations, and reporting – giving you a powerful, comprehensive, real-time platform that will grow with your company.

Construction Management

Acumatica provides a complete, mobile-enabled, cloud-based construction and accounting software solution. This easy-to-use software includes robust financials, job cost accounting, project management, payroll, inventory, order management, service management, equipment management, route optimization, CRM, mobile, and more. Built on the world’s best cloud and mobile technology, it provides a complete, real-time view of your business anytime, anywhere.

Manufacturing Management

Acumatica’s Manufacturing Management Software is a complete, multi-site cloud manufacturing control and planning system that supports multiple manufacturing methodologies, including make-to-stock, make-to-order, engineer-to-order, project-centric, job shop, batch, and repetitive manufacturing.

Inventory Management​

Acumatica’s cloud-based inventory management software helps growing businesses run at the speed of today’s market. The powerful features and born-in-the-cloud architecture empower companies to control system-wide inventory across geographically dispersed locations and drive inventory efficiency without losing sight of costs.

Warehouse Management System​

Acumatica WMS extends Order Management and Inventory Management with barcode scanning for warehouse and inventory transactions. Accurately and efficiently manage your advanced warehouse needs in commerce, wholesale, manufacturing, retail, and other industries.

Distribution

Acumatica Distribution Edition provides unparalleled distribution depth with an extensive suite of connected distribution applications for sales, inventory, purchasing, and warehouse management. Increase sales with opportunity tracking and sales quotes. Reduce carrying costs and eliminate stock-out situations with robust inventory replenishment. Manage omnichannel returns
and exchanges with an integrated ticketing system.

General Business

Designed for companies with limited inventory requirements, Acumatica General Business Edition is the ideal solution for service, non-profit, financial, municipal, and other businesses and organizations seeking a modern ERP application with advanced financial management, project accounting, fixed assets, customer management, payroll, and robust reporting and analysis capabilities. Acumatica provides specialized editions for manufacturers, distributors, retailers, and construction firms.

Review

We take pride in our commitment to monitor and evaluate the effectiveness of our solutions, making real-time adjustments as needed. Your success is always our top priority.

Retail Commerce

Acumatica Distribution Edition provides unparalleled distribution depth with an extensive suite of connected distribution applications for sales, inventory, purchasing, and warehouse management. Increase sales with opportunity tracking and sales quotes. Reduce carrying costs and eliminate stock-out situations with robust inventory replenishment. Manage omnichannel returns and exchanges with an integrated ticketing system.

Construction

Acumatica Construction Edition is a comprehensive,
modern cloud ERP application with built-in CRM and Field Service modules and superior mobile technology that arms construction companies with real-time information through role-based dashboards, powerful business intelligence, and flexible reporting and inquiry capabilities. The user-friendly platform also includes superior compliance management, robust financials, job cost accounting, project and change management, payroll, inventory, and service modules. Dashboard drilldown reports easily identify changes in project scopes, labor, materials, and equipment.

Order Management

No more scrambling across different channels. ShipEdge lets you manage orders from any source – online store, marketplace, even emails – within a single, central location. This simplifies order processing, reduces errors, and keeps your team on the same page.

Warehouse Management

Gain complete control over your stock levels across all your warehouses. ShipEdge provides real-time inventory visibility, eliminating the risk of stockouts or overstocking. You can make informed decisions about purchasing, optimize storage space, and ensure you always have the right products available to fulfill customer orders promptly.

Inventory Management

ShipEdge automates repetitive tasks like order picking, packing, and shipping, freeing up your team to focus on higher-value activities. Say goodbye to manual data entry and hello to a streamlined process that minimizes errors and maximizes efficiency.

Discovery

We begin by thoroughly assessing your current supply chain processes, identifying pain points, and understanding your specific goals and objectives.

Project Plan Development

Based on the assessment, we craft a customized strategy to streamline your supply chain, reduce costs, and enhance overall performance.

Execution

Our team of seasoned supply chain professionals provides expert guidance, working closely with your team to implement strategic changes effectively.

This site uses cookies

By continuing to use this site, you are agreeing to our use of cookies.