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Industrial companies are facing
a challenging dynamic right now.

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In many of their end markets

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demand is starting to soften,
creating a clear imperative to

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reduce costs.

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Unfortunately, we often see
leaders turning to the easy

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button, reducing travel budgets
and stopping key initiatives

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that will actually result in
growth and lay the groundwork

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for future success.

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At BCG, we encourage our clients
to look at structural,

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sustainable cost measures that
will set them up for the long

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term, looking at 0 basing the
organization and budgets,

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looking at product costs and
underlying complexity,

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evaluating the supply chain and
procurement practices, and

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digitizing and automating back
office processes.

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Companies that pull these
levers, among others, will set

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themselves up for sustained cost
reduction and allow themselves

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to act from a position of
strength.