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Monday, October 13, 2008

Seven Steps to Cost Reduction

Seven Step method for solving a cost reduction problem:
1. Define your problem
2. Define your ideal solution(Stop doing it!)
3. Gather the facts
4. Try various combinations, look outside the box, but be careful what you ask for you might get it.
5. Break the pattern, not everything happens outside the box. It is interesting how many things are solved within the box. Do not forget the simple solution. Complexity is seldom a solution; it is usually part of the problem.
6. SCAMPER it
a. What can you Substitute?
b. What can you Combine?
c. What can you Adapt?
d. What can you Modify or Magnify?
e. Can you Put to other uses?
f. What can you Eliminate or reduce?
g. What can you Reverse/Rearrange?
7. Leave it sit for a day, but set a deadline. Sleeping on it has value!

This is an excerpt from a rather wordy blog post of mine over a year ago.

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