4. Generate cost reduction ideas

Generate cost reduction ideas

The essential building block of the process is, of course, the generation of ideas that will lead to cost reductions. This is the "design" part of the process, where specific methods are applied. Below are a few examples of these methods, accompanied by a brief description. These methods may be detailed in dedicated fact sheets.

Methods for generating ideas can be classified into two groups:

• Methods for determining where to look and where to focus first.

• Methods aimed at finding innovative alternative solutions.

In the first group, we find:

• Value analysis, the purpose of which is to rank the functions to be fulfilled in order of importance (as...