Reducing Costs - Framework

Question 1

A publishing company is having a ash flow problem to reduce its costs; otherwise it will have to lay off staff. How should the company proceed?

How would you approach this problem?

Answer 1

1. Ask for breakdown of costs.
2. If any costs seems out of line, investigate why.
3. Benchmark the competitors
4. Determine whether there are any labor-saving techniques that would help reduce costs