COMPANIES HAVE EXPERIENCED A SIGNIFICANT COSTS INCREASE SINCE 2020

Since 2020 , enterprises in the GSA 1 ) region have recorded sharp cost increases .

For over 30 % of the companies surveyed , cost increases resulted in a reduction in the EBITDA margin of more than 5pp .

COSTS ARE EXPECTED TO RISE FURTHER IN THE COMING MONTHS

Awareness and monitoring of cost developments have increased noticeably among the companies surveyed .

Furthermore , a change in cost structure has been noticed and a large number of companies expect further cost pressure to arise over the next 24 months , especially due to further increases in personnel expenses .

The goetzpartners Cost Management Pulse Check 2023 is based on a representative survey of managing directors and executives from over 400 companies in the GAS region .

COMPANIES TAKE OPTIMIZATION MEASURES IN RESPONSE TO COST INCREASES

In addition to optimizing cash flow , savings measures associated with investment budgets and personnel expenses continue to be key levers .

The possibility of passing on cost increases to customers , e . g . through price increases , appears to have been pushed to the limit and will only be of subordinate relevance in the future .

PERSONNEL MEASURES USUALLY DO NOT FOLLOW A SUSTAINABLE STRATEGY

Often , personnel restructuring still focuses on short term cost effects . The organization ‘ s performance in regard to recruiting and personnel development is rarely addressed , despite existing technology solutions .

Efficiency-enhancing investments in automation also take a subordinate role on the 2024-25 management agenda .

Authors :

Dr . Gunnar Binnewies , Managing Director Simon Dornauer , Principal Maximilian von Waldthausen , Senior Consultant Tobias Rebhan , Consultant