MODERN METHODOLOGICAL APPROACHES AND PRACTICAL DIRECTIONS FOR COST OPTIMIZATION AT MANUFACTURING ENTERPRISES

Abstract

This article examines modern methodological approaches and practical directions for cost optimization at manufacturing enterprises. Amid intensifying market competition and rising demands on product pricing, the sustainable operation of enterprises largely depends on how effectively their cost management system is organized. The study systematically analyzes the structure of production costs, the criteria for their classification, and modern cost-reduction concepts — Lean manufacturing, Activity-Based Costing (ABC), Kaizen, and the Theory of Constraints (TOC). It also comparatively examines the areas of application and practical effectiveness of these methodological approaches. The findings show that cost reduction is not a one-time savings measure but a continuous management process that ensures an enterprise's strategic competitiveness. Based on the conclusions obtained, practical proposals are developed for improving the cost management system at manufacturing enterprises.