Cost Reduction: Manage manufacturing costs and improve profitability

Manufacturing cost reduction is the ongoing work of lowering what it costs to run a plant by cutting waste, downtime and underused assets. LeanSuite supports it with three tools: Loss and Cost Management to find your biggest losses, the Manufacturing Document Builder to standardize each job, and KPI Builder to track your cost KPIs.

The biggest savings usually come from losses the plant already pays for: unplanned downtime, scrap and rework, long changeovers, excess inventory and labor spent on work that adds no value. Plan maintenance instead of waiting for breakdowns, standardize the best way to do each job, and fix the causes of recurring losses rather than their symptoms. Rank losses by cost first, so effort goes where the money is.

With a cost on every loss. Once losses are measured and ranked by what they cost, the first projects are clear and savings can be tracked against a target. LeanSuite's Loss and Cost Management System builds this ranked view from your data with automated loss trees, and KPI Builder tracks your cost KPIs as projects deliver.

Record each project's savings as hard or soft, with its costs next to the benefits, and have finance check them before the project closes. In LeanSuite a workflow step can require hard savings before a project reaches finance, and the glide path shows closed savings against projected ones.

You upload loss data and map its columns once, and the Loss and Cost Management System builds a loss tree that ranks each loss by what it costs.

COPQ is what it costs when work isn't right the first time: internal failures such as scrap and rework, and external failures such as returns and warranty claims. Add prevention and appraisal costs and you get the total cost of quality. The free calculator at theleansuite.com/tools/copq-calculator works out both.

Yes. KPI Builder & Dashboards put every cost KPI on one screen, with targets, RAG ranges and KPI trees that roll department costs up to the plant.

Set yearly savings targets for each department. The Glidepath report shows closed, projected and carried-over savings against target month by month.