1. Identify and secure quick wins
One of the best ways to start: identify key opportunities and fast, self-funding wins that create momentum.
For many organizations, the most effective initiatives for rapid cost optimization involve areas related to working capital and spans of control. But that’s not usually as simple as focusing on a few cost items or reducing costs by 10 percent across the board.
Instead, focus on targeted cost cutting based on detailed analysis and data-driven insights. Use key performance indicators and other metrics to help track the value of the savings, and then assign quantified performance gaps to each discrete opportunity. Some of the opportunities can include time allocated for transaction processing, invoicing, AR receipt processing, report generation, external audit fees, and close cycle times.