Reduction of staff

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Let's look at an example. A company plans to automate production and fire 10 workers in the production department. At the beginning of the reporting period, the organization had 80 employees.

Average annual expenses per employee (salaries and insurance premiums) with a monthly salary of 50 thousand are 617,940.12 rubles. Per year, the company spends on payments to all chile mobile phone numbers database personnel: 80 * 617,940.12 = 49,435,209.6 rubles. By reducing staff, the organization will save 12.5% ​​or 6,179,401.2 rubles.

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But to automate production, the company will buy equipment, which in addition to capital expenditures will entail annual depreciation charges in the amount of 57,015.68 rubles. The planned cost of production will increase to 83,319,523.68 rubles, and profit will decrease to 28,040,476.32 rubles.

One of the main areas for optimizing production costs is reducing the cost of raw materials and materials through:

application of modern technologies;

implementation of waste-free production principles;

selection of more affordable offers for the purchase of working capital;

concluding more favorable contracts for the supply of raw materials and supplies;

receiving retro-bonuses from the supplier for fulfilling the terms of the contract.

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Popular ways to reduce costs on raw materials and supplies:

Sign an agreement for the supply of working capital directly with the manufacturing company without unnecessary intermediaries. This will reduce the purchase price.

Buy raw materials and supplies in small and large wholesale quantities. In this case, suppliers offer discounts, and you also save on delivery. But first, make sure that you have temporarily available funds and can pay for the costs of storing stocks.

Start producing the necessary materials . But it won't always be cheaper. Calculate all the options in advance. It may be more profitable for you to buy ready-made materials than to produce them yourself.

Buy cheaper analogues. Many businessmen often do this. But it is important to remember the quality of raw materials so that the finished product does not lose its consumer properties. Otherwise, you will get the opposite effect - a decrease in sales volumes and profits.