Reducing Expenses Without Feeling the Blow

Another approach to jolting a companys profits is to focus on reducing expenses across the board. The first step is to look at discretionary costs like T&E, training and then look into some operations including marketing and sales. Usually one can lower these costs immediately without short term affect on one or quarters . If the desired results are met, they can also be allowed to increase after time. But head count reductions and increases take longer.

A more influential plan to reduce expenses takes a longer period of timea year, rather than only three months or so. These types of expense reductions can then be planned over a years time by systemically removing costs from the infrastructure.