Following a survey of 150 companies, made by the French consulting firm, Costalis [1], 98% of SMEs consider cost reduction as a good solution against the crisis.

75% of the companies have settled a cost reduction plan in 2010. Most of them started earlier, but 20% have started for the first time in 2010.

The reasons for a cost reduction operation are

• Improve profitability and company value
• Show good management behaviour to investors, shareholders, employees...
• Generate cash
• Be able to face an economic crisis

To reduce their general expenses, two solutions are used by companies

• Audit costs and controlling (63%)
• Hire a consulting firm specialised in cost reduction (37%)

Companies decide to work with a cost reduction firm for the following reasons:

• External view (43%)
• Maximize savings in addition to what is made internally (39%)

Many directors understand how important it is to receive external expertise on specific matters.

Categories : Advices | Tags : General expenses | 0 commentaire associé