Cost reduction is a result of Affordability.  However, labor reduction is not!  Utilizing Affordability means faster, better and more affordable.  Using Affordability means conforming to customer requirements and delivering value as needed, wanted and required by the customer and market. If indeed products and services can be delivered in a more responsive manner, at a higher quality level, exceeding customer expectations, at a an price point, demand will increase and resource (even additional resources) will be required.

Imagine being able to reduce expense, while exceeding requirements and increasing quality.  Reducing waste and eliminating the cost of non-quality provides an opportunity to better utilize resources and apply the additionally available resources to the continual pursuit of Affordability.  In addition, imagine being able to reduce price and attract more customers with a product and/or service being delivered faster, better and price competitive.

Affordability and Cost Reduction go together, but not in the traditional sense.  With labor being a higher cost variable, traditional thinking tells one to reduce labor or defer the cost to a less expensive location.  However, over time, it has become quite apparent, expense or cost reduction can be accomplished in the value stream, and within everything that supports the value stream.

Paul