In most companies the hr department measures and controls employee cost, The administration or the purchasing department attempts to control both direct and indirect materials cost, And nobody controls the overhead costs. The effort of most companies is featured in the diagram below. At gga, We review direct and indirect expenses and consumables, Zero in on the profit leaks and show you how to eliminate them. Reducing the overheads by only 10% translates into a product cost reduction of about 3. 5%, Equivalent to a labour cost reduction of 35%. We would normally review the following areas to identify cost reduction and cost containment opportunities material usage labour and manpower usage and processes scrap and wastage reduction. Packaging costs and improvements. Process improvements. Enhanced procurement strategies. Transportation process improvements. Inventory reduction. Office and it equipments and consumables accounting over payments etc, Missed discounts, Domains including billing errors.