Reduce Costs By using Continuous Performance Improvement

Abstract

For any company moving towards the future and survival of the future is one of its goals, must add values and skills that are compatible with the reality of the future to its structure and adapt its structure to industry conditions. Continuous improvement is a process and effective method for increasing the productivity of an organization, which aims at steady and consistent growth and quality improvement in all services and service processes. The purpose of this research is to study the effect of continuous improvement (Kaizen) on cost reduction. The statistical population of the current research is all workers in the financial and accounting departments of companies accepted in the Iraqi stock market, with the exception of financial intermediation companies, holding companies (parent companies), banks, and insurance in 2022, with a number of 300 people, using the Cochran equation, 168 people were selected by simple random sampling method. The data collection tool in this research was a questionnaire. The validity and reliability of the questionnaire were confirmed using apparent validity and Cronbach's alpha. In order to test the hypotheses, a one-sample t-test was used. The results showed that production cost management, human resources cost management, cost control, and implementation of quality improvement programs have a positive and significant impact on cost reduction.