5c - Management strategies to respond to KPI's part 2

Question 1

Cost cutting

Answer 1

The process of removing business expenses

Examples:

• Lowering salary cost through: redundancy programs, outsourcing, overseas manufacturing and replace labour with technology.
• Reduce wastage
• Lower cost of inputs from suppliers
• lower travel expenses/ lower energy costs

Question 2

Redeployment of resources

Answer 2

Relocation of:
- the deployment of labour sources(Employees)
. Moving employees to less dangerous tasks
. moving to tasks better suited to the employee.
- capital resources(machinery, buildings)
. Moving production overseas for cheep labour
- natural resources( timber water solar ect.)
. Using existing resources for different purposes.
. Recycling