Reducing Costs Vs Cost Cutting

Real benefits come when managers begin to understand the profound difference between “cost cutting” and “eliminating the causes of costs.”

Brian Joiner in Fourth Generation Management

Most leaders don’t understand this difference. In the quest for quick results, they often opt for the latter when it is infinitely better and more efficient to opt for the earlier.

Reducing cost is all about 

Finding activities that don’t add value and removing them (waste) or automate and delegate processes so t...