One Basic Idea of Business Process Management Is Understanding How

question 12

Multiple Choice

One basic idea of business process management is understanding how processes interact with organizational strategy. Which of the following best demonstrates that idea?

• A) Changing business processes to match the strengths of a new production manager
• B) Hiring a CPA who can prepare our tax returns more quickly
• C) Varying the forms of advertising our company uses
• D) Redesigning the factory to reduce inventory movement

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Definitions:

Payback Method

A method of investment appraisal that calculates the time required for the cash inflows from a project to repay its initial investment cost.

Capital Budgeting

The process of planning and managing a company’s long-term investments in major projects or assets, evaluating profitability and risks.

Capital Budgeting

The process of planning and evaluating investments in long-term assets to determine their financial viability and contribution to the company's strategic goals.

Preference Decisions

Choices made between alternatives based on personal or organizational preferences, often relating to resource allocation.