Making operations decisions is a reason for managers to understand the configuration of the cost base of the organization.

Question

Quizplus · Accepted Answer

Operations decisions involve the allocation of resources and the optimization of processes in order to achieve the organization's goals. In order to make informed decisions, managers must have a clear understanding of the costs associated with different aspects of the organization's operations. This requires an understanding of the organization's cost base, including fixed and variable costs, direct and indirect costs, and other elements that contribute to the overall cost structure. By understanding these factors, managers can identify areas where costs can be reduced or efficiencies can be improved, which can ultimately help the organization to achieve greater profitability and success.

Making Operations Decisions Is a Reason for Managers to Understand