The Relationship Between Cost Optimization and Cost Management in Industrial Companies

Abstract

The study aims to provide a theoretical framework for the cost streamlining variable, explaining its concept, definition, benefits and characteristics, and explaining what cost management is, what its stages are, justifications for its adoption, its objectives and its most important tools. Attention is paid to applying cost streamlining techniques because of their effective role in cost management in the Iraqi work environment represented by the company sample of the study and clarification. The relationship between cost optimization and cost management, as well as presenting conclusions and recommendations and the extent of their impact on the researched organization. To achieve the objectives and hypothesis of the research, the descriptive approach is relied upon in determining the theoretical framework. As for the practical side, it is based on comparison between the performance of local companies, the quality of their products, reducing their costs, and optimal exploitation of resources. As well as local companies, a questionnaire form was designed and statistical methods were used for the purpose of determining the correlation coefficient, regression, F-test and T-test between the research variables.