Modern City

Cost Optimization

Reducing Cost and Spending while Maximizing Business Value

Unlike cost cutting or cost reduction, cost optimization is not one-time, it requires a continuous effort to improve both the hardware and software of the business to ensure companies get what they are paying for. TQM make use of LEAN concept to help companies in improving their work progress, analyse potential improvement areas like reduce chance of machinery aging, shorten product production cycle, standardize and simplify processes, etc. to achieve a lower production cost while at the same time improve the quality of products, at a result to fulfill T(Timeliness), Q(Quality) and M(Margin).

Supor 20200731 (edited).jpg
Saved ¥100 million/ year while Improving Product Quality
Keetat.jpg
Liquidized ¥13 million of WIP Saved ¥1.5 million/ year on WIP scrap

TQM is expertise in using LEAN and –QA concepts to cut down production costs and meanwhile to improve the quality of products.

1

Analyzed all problems and causes of quality degradation in production process

2

Reviewed the conditions of the production and quality test equipement

3

Use TQM subtraction to achieve quality improvement

 

4

Propose improving strategies to improve business management capabilities

By achieving the above steps in reviewing the root cause problems of a company or factory, not only the quality of the products can be improved, some unnecessary spending or costs can be cut down as well, which leads to the achievement of cost reduction and cost optimization.

Total Revenue
Operational Environment Impact
1. Inflation     2.Labour Law
Act-N-Achieve © LEAN
​Overhead Cost
15%
​Labour Cost
18%
Material Cost
60%
Profit
7%
​Overhead Cost
17%
​Labour Cost
21%
Material Cost
69%
Less
7%
​Overhead Cost
12%
​Labour Cost
13%
Material Cost
65%
Profit
10%
+13%
+18%
+15%
-30%
-40%
-6%
Over The Years

Successful Case Sharing

Kee Tat Manufactory Holdings Limited
Improve Time - Quality - Margin
Zhejiang Supor Limited
Improve Time - Quality - Margin
Show More

Improve Time - Quality - Margin

Improve Time - Quality - Margin

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