This can be done in several ways, but most important is that you at the same time build a strong cost control culture.

No matter if you implement a full purchase stop, culture change in how we use money in non core business or just a renegotiation of some larger supplier contracts, the effect will be very healthy for your company.

The reason for doing cost saving projects is not only because you losing EBIT margin or face problems with the market. It can also be a way to check how lean you can manage your business, and which buttons to push when the market goes down. You have to be prepared for a poor market and not rush into cost cutting activities without long term effects calculated and evaluated. In the best of the worlds you deliver fantastic EBIT margins in a good market and very good EBIT margins in a poor market.

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