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Adjust cost structures, ensure competitiveness

Cost Optimization

Companies that fail to strategically adjust their cost structures today will fall behind in the coming years. KBC helps your company stay competitive by providing consulting on product, overhead, and development costs, disruptive cost optimization, and sustainable cost management. We leverage AI where it has the greatest impact—so you can not only identify cost-saving opportunities but also implement them with measurable results.

Discuss the Project
A man with gray hair and green eyes, smiling and wearing a beard, is wearing a white shirt and a dark blue suit; he is sitting with both hands resting on his lap
A man with gray hair and green eyes, smiling and wearing a beard, is wearing a white shirt and a dark blue suit; he is sitting with both hands resting on his lap
Jakob le Claire
Senior Partner
A man with gray hair and green eyes, smiling and wearing a beard, is wearing a white shirt and a dark blue suit; he is sitting with both hands resting on his lap
A man with gray hair and green eyes, smiling and wearing a beard, is wearing a white shirt and a dark blue suit; he is sitting with both hands resting on his lap

Your contact

Jakob le Claire

Senior Partner at KBC and management consultant specializing in process and cost optimization, with over 16 years of experience in cost optimization

Challenges in Cost Optimization

Revenues are falling, external costs are rising, and international competitors are operating with leaner structures: for companies, cost optimization is no longer an option, but a matter of competitiveness. KBC helps your organization adapt its cost structures to current needs—taking a broad view across the entire value chain: from cost optimization in development, procurement, logistics, and production to after-sales.

Instead of staying at the strategic level, we gain a detailed understanding of your day-to-day operations while always keeping the business context in mind. This allows us to focus on cost-saving opportunities that deliver measurable results.

Competitiveness at risk

International competitors produce goods more cheaply and often more quickly. “Made in Germany” is no longer a guarantee of success.

External cost pressures

Energy and raw material prices are rising, and there’s nothing you can do about it—margins are coming under pressure.

Savings goals without a clear approach or transparency

They recognize the need to cut costs—but it remains unclear which cost-cutting measures will actually be effective without causing harm.

Fixed costs and overhead are increasing

Companies are struggling with cost structures that have grown over time and have not been scrutinized critically for a long time.

Implementation is not successful

Even when cost-saving opportunities are identified, their implementation usually fails due to unclear lines of responsibility and a lack of decision-making authority.

6 Ways to Effectively Optimize Costs

In addition to Disruptive Cost Optimization (DCO), KBC advises your company on cost optimization—including your product, overhead, and development costs—as well as on sustainable cost management and AI & tools.

Disruptive Cost Optimization (DCO)

Conventional approaches yield conventional results. With disruptive cost optimization, KBC takes a deliberately different approach to your challenges: a methodical, holistic perspective that cuts across cost categories and organizational units. DCO is not an end in itself, but rather part of a structured cost-reduction program and management framework: We ensure clear governance, regular tracking, and the consistent translation of potential into measurable results.

Product Cost Optimization

Direct costs include materials, equipment, and manufacturing labor—the product and the manufacturing process are interdependent. When optimizing product costs, KBC therefore considers both factors together and works with you to address the key levers: from material and economies of scale to the standardization of variants and the optimization of the manufacturing process. The right decisions made during the design phase will save you from costly corrections down the line.

Proactive, sustainable cost management

Many companies manage costs purely reactively—yet these costs typically arise well in advance. Sustainable cost management means breaking down cost blocks —which often act as a “black box” — and forecasting their future trends early on. KBC helps you interpret data in a targeted manner and factor in inflation or changes in suppliers. In this way, we identify effective levers for change and enhance your ability to respond to external factors.

AI & Tools

In terms of costs, AI’s greatest impact is not felt in the product itself, but in internal processes: Companies that deploy AI strategically develop and produce faster—and secure a decisive cost advantage in the global marketplace. KBC implements targeted use cases across development, production, and quality. We improve forecasting and decision-making capabilities—and establish clear accountability for cost items.

Optimize overhead costs

Reporting obligations, transparency requirements, and administrative burdens have accumulated over the years—and very little is ever eliminated. KBC starts by bringing clarity to the situation: Which central functions, reporting structures, and indirect expenses actually contribute to value creation? Where has overhead grown over the years? Based on this, we work with you to prioritize cost-optimization measures that give you room to maneuver—without compromising operational substance.

Development Cost Optimization

Development costs constitute a distinct cost category—and at the same time have a significant impact on your product costs. Yet they are difficult to manage: when it comes to creative engineering work, blunt cost-cutting simply doesn’t work. KBC takes a different approach: working side by side with development teams, we identify pain points and systematically remove obstacles. In this way, we empower your development organization to work more efficiently—without compromising your innovative strength.

Cost Optimization for Businesses: The Numbers

Capital expenditures for new manufacturing facilities
Development costs
Manufacturing costs

This is how we view cost optimization

Every penny we saved in the project’s budget was earmarked for sustainability—and that really gave the team a boost.

Jakob le Claire, Senior Partner at KBC

Industries we advise on cost optimization

Automotive

Industry & Mechanical Engineering

Technology

Topics that strengthen your business

Operational Excellence

Process Optimization

Answers that advance cost optimization goals

All
What new ideas does KBC bring to the table for cost optimization that we haven't already considered?

Over time, the impact of improvement methods like Lean and Six Sigma—or creativity methods like Design Thinking—tends to fade. You can only achieve real change by revolutionizing the way you work. This is where our disruptive approach comes in The BOLD Way : We identify radical changes and implement them to transform your business and drive growth through innovation.

How can we ensure that cost optimization actually works in our company—and doesn't just remain an expensive concept?

Broad cost-cutting targets rarely hit the mark. That’s why our team of consultants at KBC works to pinpoint exactly where you can reduce costs without jeopardizing your competitive advantages. To do this, we involve all relevant experts early on and across functions throughout the entire value chain. 

From the initial concept development through to implementation, we work closely with your organization—keeping the team as small as possible and as large as necessary. This ensures that our strategies are effectively integrated into your day-to-day operations and deliver measurable results toward your cost objectives.

Why KBC instead of traditional strategy consultancies?

Other consulting firms rely almost exclusively on benchmark data: What should a component cost? How do others handle this? While this may seem like a useful guide, it rarely delivers the desired results. After all, costs are a symptom of the system—they depend on the specific product, established processes, and the leadership and corporate culture.

As a boutique consulting firm, KBC takes a different approach to cost optimization: we use tweezers instead of a sledgehammer. We work with your team to identify the levers that really matter—and implement them in a way that ensures the organization is on board.

A man with gray hair and green eyes, smiling and wearing a beard, is wearing a white shirt and a dark blue suit; he is sitting with both hands resting on his lap
A man with gray hair and green eyes, smiling and wearing a beard, is wearing a white shirt and a dark blue suit; he is sitting with both hands resting on his lap
Jakob le Claire
Senior Partner

Talk to us

Whether it’s product cost optimization, sustainable cost management, or AI & tools: In a brief discussion, we’ll determine which steps make sense and how KBC—an international boutique consulting firm based in Munich—can help you move forward. We’ll get back to you shortly.

Discuss the project