Cutting people cost
Recognize that people costs go up relentlessly and are always larger than planned (assumed). Understand how costs move in relation to revenue and headcount. Produce people management accounts and metrics. Unbundle activities and map them against customer segments. Check regularly whether competitors have found more cost-effective ways of working. Don’t look to variable compensation programs for cost reduction. Find ways to increase productivity. Stick to a continuous performance evaluation and feedback process. Clear out dead wood, minimize the core organization.