Advice 1: How to reduce the cost of production

The fundamental parameter in the formation of prices of production is its cost. This value depends directly on the profit of the organization. That is why any organization it is important to know how to reduce the cost.
The reduction of production costs - a way to improve the operation of the enterprise
You will need
  • report on the analysis of available range
  • report on analysis of costs
Ensure the production process of smooth and continuous operation. Only continuous updating of products, the development of new technologies, automation of production process and other components will give the opportunity not only to improve the process of creating products, but also to reduce its cost.
Specialization extend or increase sales. For those companies that produce products of the parties, the cost of finished goods is lower than that of those who produce the goods by the piece.
Increase the productivity of workers. This can be achieved motivate employees both moral and material incentives. Productivity can be increased and due to the automation of production. A great performance will lead to minimum costs per unit and, consequently, to reduce the cost.
Reduce material costs. As you know, a good effect in the reduction of cost is achieved by saving materials, raw materials, electricity or fuel. To reduce material costs and by reducing transport costs and maintenance costs of the logistics chain (from producer to consumer).
Reduce maintenance costs of production or management of production process. This event is a direct step towards the cost reduction. To control the costs and to improve its production process means, to adjust the cost of products down. The cost of production must become the object of analysis, which will result in the formation of recommendations or goals for future activity.

Advice 2 : How to reduce costs and increase the economic effect of advertising at the initial stage of business

All business people according to the degree of relationship towards advertising can be divided into two categories. The majority considers is necessary but not very important attribute of business and "difficult to communicate" with advertisers.
How to reduce costs and increase the economic effect of advertising at the initial stage of business

The second category of business considers advertising as an investment that bring some economic benefits. They give preference to those advertising professionals who know how to make advertising profitable. Mostly companies that spetsializiruyutsya on the advertising audit, system build branding communications.

To conserve cash resources, especially at the initial stage, some business people do this on their own, guided in the work of a few simple rules.

It is important to use a systematic approach to communications, all external communications have a single, worked equally and in the same style. Advertising must comply with company information in the press or by other sources.

Important is the preparation of a simple calculation of the effectiveness of advertising. Initially, it is necessary to define the product, market and the purpose of advertising (in economic terms); identifying channels of promotion advertising, you can make your advertising budget; monthly to analyse the effectiveness of different types of advertising, changing the ratio in favor of more effective. After all, the is profitable at the moment, a month will not be relevant. You must be very flexible in this matter and to use the novelty effect.

To know the basic concepts, key components and main functions of the brand. It is really take your time to think over important elements of the brand, and having liberated the financial resources to invest in the development of the business. The primary - specify the name of your product, the design, the tactile component: the material and its packaging, pirmenol symbols. Try to create from the beginning a holistic way.

The next step is to find a specialist, usually a psychologist, able to create a legend, where people will go.

So with minimum expenditure of monetary resources, but with maximum return on Your initial stage of business, You can create a large company.

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