What if waste reduction can reduce enough cost?
This question assumes the organization has an active waste reduction program that is continuously searching for an eliminating waste. There are times when the resulting cost savings are not enough. Perhaps an organization’s revenue is dropping faster than their costs? Or the revenue is growing but its costs are stubbornly growing faster? If everything that can be done is being done to reduce waste, then it is time to focus on the value being created. Perhaps revenue is dropping it is because the customer no longer sufficiently values the product or service being received? It the sales and marketing organization cannot reverse this perception, then it becomes necessary to reduce the value created by the organization. Costs’ rising faster than revenue is essentially the same problem because customer’s are not valuing the products or services sufficiently to justify the costs. If the sales and marketing organization cannot increase the customer perception of the value received, then the v
