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The economic downturn has companies scrambling to cut costs and generate cash - especially in the face of tight capital markets and the imploding financial sector. Some forward-looking companies are finding major cost savings beyond the usual broad-based budget cuts and salary freezes by rethinking their global manufacturing operations. What's more, they're using a detailed cost analysis, not best-guess benchmarking, to drive their redesign decisions. This approach can unlock an enormous amount of hidden value, yet it's often overlooked as a cost-cutting measure. When costs and cost drivers are truly transparent, the insights gained can be surprising and, if acted on, can improve a company's overall competitive position.
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