ABC Systems Are Typically Associated With

question 53

Multiple Choice

ABC systems are typically associated with:

• A) Improved profitability for firms with advanced manufacturing techniques that combine information technology with flexible manufacturing practices.
• B) Improved profitability for manufacturing firms, but not service firms
• C) Improved profitability for service firms, but not manufacturing firms
• D) Improved profitability for all firms that implement them

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Definitions:

Responsiveness

The ability of a system or organization to quickly and effectively adapt to changes in its environment or demand.

Managerial Lever

Tools or mechanisms that managers can utilize to influence outcomes, adjust strategies, or steer organizational performance.

Salvage Value

An estimated resale value of an asset at the end of its useful life.

Profitability

The measure of a business's ability to generate earnings compared to its expenses and costs, determining its financial success and viability.