Abstract
PT Ibara Lioho Indonesia is an automotive manufacturing company, specifically specializing in producing car power steering parts. Located in the Dwipapuri Industrial Area, Sumedang Regency. Improvement for competitiveness does not always have to focus on quality, functionality, design, and utility, but can also be in terms of cost (kaizen costing). Therefore, it requires careful management in analyzing production and re-calculating the costs that need to be incurred to produce a product. The research objective is to understand how to perform cost reduction in order to determine the total cost of kaizen costing for the existing problem. The research methodology used in this writing is a qualitative descriptive approach with the assistance of the PDCA method. The data used for problem-solving is obtained from literature studies and field studies. From the results of this research, it can be concluded that the implementation of kaizen costing can reduce manufacturing costs and process label writing at PT Ibara Lioho Indonesia. Thus, kaizen costing can be considered as an alternative for management to achieve cost reduction.
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