Cost Reduction Systems: Target Costing and Kaizen Costing

Learn how to integrate the two important cost reduction systems that have revolutionized manufacturing. Target costing is used during the development and design stage of new products. It focuses on profit realization by planning quality products in the design and review stage. Kaizen costing helps you decrease production costs for existing products. Combining the target and kaizen methods leads to a complete cost reduction system that can be applied from product inception to completion.