1、Leading Edge How Pioneering Companies Achieve Cost ExcellenceSurvey findings from Europe,the Middle East,and South AfricaNovember 2024This content was produced by BOSTON CONSULTING GROUP LEADING EDGE:HOW PIONEERING COMPANIES ACHIEVE COST EXCELLENCE 2Some are taking a forward-looking approach.Instead
2、 of focusing on temporary gains,they look at all their costs in depth across the business and make thoughtful changes to ensure long-term efficiency.To understand what sets these pioneering companies apart,BCG worked with FT Longitude to survey 770 CEOs,CFOs,and COOs from 21 countries across Europe,
3、the Middle East,and South Africa.The respondents represent companies from various industries,with annual revenues ranging from$100 million to more than$100 billion.What the Research ShowsMore companies need to adopt a strategic approach to cost optimization.For 65%of organizations,their most recent
4、cost-optimization program was an“ad-hoc response to changing market conditions.”Only 35%describe it as a“strategic and planned”exercise.The lack of a long-term strategy makes it difficult for most organizations to achieve lasting cost competitiveness and embed cost consciousness deep into company cu
5、lture.Early AI investment sets cost pioneers apart.The cost optimization pioneersabout 20%of the organizations in our surveyoutperform other organizations on operational and cost improvement goals.A critical factor in their success is their early adoption of AI.In this group,56%already consider AI t
6、o be an integral or significant contributor to cost competitiveness in the short term.Change management and company culture help cost optimization.Among the cost optimization pioneers,82%said that leadership communicates from the top down in order to embed cost awareness into everyday operations,com