COST REDUCTION STRUGGLES IN SISTER COMPANIES

Burcu BİROL

doi:https://doi.org/10.17261/Pressacademia.2018.849

Article Details

COST REDUCTION STRUGGLES IN SISTER COMPANIES

Authors:

Burcu BİROL

Publisher:

PressAcademia

Main Topics:

Social Sciences

Journal:

PressAcademia Procedia 2018 Vol.7 Issue 1, pp.11-17

Document Type:

Article

Publication Date:

8/2018

Document Language:

English

Document ID (Org No.):

2000775738

Frequency:

Tri-annual

eISSN:

2459-0762

DOI:

https://doi.org/10.17261/Pressacademia.2018.849

Abstract:

 


Purpose- Cost is always in top ranking issues from corporations to small enterprises. In order to accomplish cost reduction goals, the structure of cost must be well defined. What does cost reduction really mean, and why close follow up for cost items are needed should be the main questions of cost projects. This paper discusses the cost reduction concept, and its techniques, and develops a point of view for the sister companies. Intercompany transactions have many opportunities to utilize, and sister companies can be benefited from common functions.

Methodology- A systematic literature review is performed in this study in order to present the concept itself, and a conceptual type of study is followed for discussing cost reduction methodologies in sister companies.

Findings- According to findings of the study, especially for manufacturing sister companies, there are some opportunities for cost reduction as taking the advantage of organization structure, re-organizing the support functions, volume impact in fixed costs, increased bargaining power in purchasing function, and peer learning behaviors in quality and R&D activities.

Conclusion- Sister companies gain the favor of intercompany transactions in cost reduction issues, and are creating synergy for the total success.

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Article Details

COST REDUCTION STRUGGLES IN SISTER COMPANIES

Authors: Burcu BİROL

Publisher: PressAcademia

Main Topics: Social Sciences

Journal: PressAcademia Procedia 2018 Vol.7 Issue 1, pp.11-17

Document Type: Article

Publication Date: 8/2018

Document Language: English

Document ID (Org No.): 2000775738

Frequency: Tri-annual

eISSN: 2459-0762

DOI: https://doi.org/10.17261/Pressacademia.2018.849

Issues

Authors:

Burcu BİROL

Publisher:

PressAcademia

Main Topics:

Social Sciences

Journal:

PressAcademia Procedia 2018 Vol.7 Issue 1, pp.11-17

Document Type:

Article

Publication Date:

8/2018

Document Language:

English

Document ID (Org No.):

2000775738

Frequency:

Tri-annual

eISSN:

2459-0762

DOI:

https://doi.org/10.17261/Pressacademia.2018.849