Customers Typically Have Expectations for How Quickly They Should Receive

question 111

Essay

Customers typically have expectations for how quickly they should receive a product they have ordered.All other things held equal,they would prefer as short a wait as possible.However,different businesses perform different tasks between an order's placement and its shipment.
Required:
Discuss three measures that can help managers monitor their delivery processes.Include how each measure is different between two types of businesses.
Appendix,

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Definitions:

Fixed Cost

Costs that do not change with the level of production or sales, such as rent, salaries, and insurance premiums.

Curvilinear Fashion

Refers to a curve-shaped pattern of growth, progress, or movement in graphs or data analysis.

Variable Costs

Expenses that fluctuate in direct proportion to the amount of production or the volume of sales, including direct labor costs and raw materials.

High-Low Method

A technique in managerial accounting to estimate fixed and variable costs based on the highest and lowest levels of activity.