Cutting Costs While Delighting Customers

We all know that the main objective of a company is making a profit, how can they do? In a very simple way they have two options: either increase the final price of the product, or reduce costs. When we say reducing costs, not only thinking about manufacturing costs, but also in other areas of the company that are involved in the final product, such as the area of operations, marketing and logistics, among others. We can say that the important thing is that the customer does not notice a drop in product quality (longer waiting time, worse quality in itself, worse pots-sales treatment…) because otherwise we would lose our main source of income. Therefore, to reduce costs without impairing the consumer is an “art” and the perfect way to differentiate. To carry out this process of retrenchment, it is needed seamless integration of the functional areas of the company, especially in terms of information. If we did not have a good system of information about the other areas, we could come to harm them with our decisions. This article focuses on 10 tips (within the Logistics area) that businesses can use to reduce costs while still having satisfied customers.

By: Judit Cabrera

Referenced by: inbound logistics


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