Who Optimizes SG&A Costs Better? Cummins Inc. or Dover Corporation

Optimizing SG&A: A Tale of Two Giants

In the competitive landscape of industrial manufacturing, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. Cummins Inc. and Dover Corporation, two stalwarts in the industry, have shown contrasting trends in their SG&A expenses over the past decade. From 2014 to 2023, Cummins Inc. saw a significant increase of approximately 53% in their SG&A costs, peaking in 2023. In contrast, Dover Corporation managed to keep their expenses relatively stable, with only a slight increase of around 2% over the same period. This divergence highlights Cummins' aggressive expansion strategy, while Dover's steady approach reflects a focus on cost efficiency. As businesses navigate economic uncertainties, understanding these strategies offers valuable insights into corporate financial management.