Developing Strategic Options for Selected Cost Drivers

Now that you have selected your key cost drivers, you need to ask yourself a very simple question: What determines the value of the respective cost drivers? The answer/s you come up with would be your functions or strategic options. When working with cross-functional teams you will learn to appreciate the different perspectives that various team members bring to the discussion. Let me attempt to summarize the discussion that took place with the team at Anything Inc. and Fixit. We will focus on only one cost driver, namely, the percentage of Technical Service Center calls that require a field visit.

From Figure 6-3 you will observe that currently 32 percent of TSC calls result in a field ...

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