The purpose of this paper is to present a method of continuously targeting the improvement projects for equipment based on quantifying equipment losses in costs. The methodology for the continuous improvement of the effectiveness of equipment driven by the dynamics of cost reduction resulted by reviewing the literature and analyzing several production companies over a year and a half. Using action research, our research results show the approach of reducing costs for equipment continuously monitoring its losses. As a key academic contribution, the study provides a scientific approach to continuous improvement of costs associated with equipment losses, based on four perspectives of improvement (systemic, systematic, individual and shop floor).