The W. Edwards Deming Institute Blog

Posts Tagged ‘cost cutting’

Minimize Total Cost

End the practice of awarding business on the basis of price tag. Instead, minimize total cost. Move toward a single supplier for any one item, on a long-term relationship of loyalty and trust. Point 4 in Dr. W. Edwards Deming’s 14 Points for Management This point is one of the less controversial points (at least […]

Deming Chain Reaction

From page 3 of Out of the Crisis Improve Quality —> Costs decrease because of less rework, fewer mistakes, fewer delays, snags, better use of machine-time and materials —> Productivity Improves —> Capture the market with better quality and lower price —> Stay in Business —> Provide jobs and more jobs The prevailing action during […]