Research On Cost Reduction With Amoeba Model

At present, global economy is growing rapidly. In the overall situation of economicintegration, a motor manufacturer must recognize the significant of enhancing costmanagement, they must minimize the costs and maximize the benefits in order to stand outfrom such cruel and fierce market competitions. Besides, the enterprise should takeeffective management measures by all means. Now, many companies have changed tofully understand the cost control and cost reduction’s important role in improving theenterprise competitiveness, but they only know to reduce the materials consumption,lowing personnel salary, even using materials of poor quality. These methods are just likequenching a thirst with poison for these companies, it’s bad for the companies’development from the long run.XX company is with no exception, it must seek newmanagement model to control costs.By a deeply study inXX company, I try to use Amoeba model to control the cost, byimproving the company’s management level, and improving the efficiency and reactionspeed of each link of production, then we can reduce the cost of production andmanagement, and also improve the competitiveness of the companies in the market. Thisresearch uses the method of comparative analysis, document analysis method, method ofcombination with the chart, generalization method and so on. Through the study analysisthe company’s internal structure, and study the cost pattern and management measures, andfind the problems. Then we did the feasibility analysis to the pattern, then proceed theapplication, so we simulate the amoeba production and business operation by thecompany’s manufacturing department, and then analyze the benefit. Finally we get theconclusions.By the full application of the Ameoba model in the XX company, it achieves thepurpose of improving the active participation of all employees and reached the goal of the"full participation”.it improved the performance of each organization and reduced thecompany’s costs. And after investigation, it confirmed that the model can be promoted inthe industry, this research reflects the value of all the work.