Which of the following should a manager using activity-based management attempt to reduce or eliminate?
A)Customer service in the warranty department
B)Sales team to respond to customer needs
C)Insurance division to process liability insurance payments
D)Professional development workshop for managers to improve customer service

Question

Quizplus · Accepted Answer

Activity-based management focuses on reducing or eliminating non-value-adding activities. Processing liability insurance payments (C) is more of a necessary administrative task rather than a direct value-adding activity to customers or products, making it a target for efficiency improvements or cost reductions.

Which of the Following Should a Manager Using Activity-Based Management