@Markerrag -- the short answer is "yes." Kaizen costing addresses all three areas and I bet you already know an example of how that works. Take a video game console put out by a Japanese company, for example. You'll notice that there are several variations of those as the product is continually updated. They tend to work the same way they always did, but the components change as manufacturers find ways to improve materials or have fewer components achieve the same thing contemplated in the original design of the system. Those improvements are part of the Kaizen costing example -- consumers aren't typically aware that different versions of the same console exist and that is because of the goal of small, incremental improvements under the Kaizen philosophy.
Meanwhile, goals set in Kaizen costing can be realized through better production processes, reduced labor costs realized through having more items built with fewer man hours, etc.