Value-added activities
A)should be reduced or eliminated.
B)involve resource usage customers are willing to pay for.
C)add cost to a product without affecting selling price.
D)cannot be differentiated from non-value-added activities.

Question

Quizplus · Accepted Answer

Value-added activities are those that involve using resources or performing actions that customers are willing to pay for. These activities add value to the end product or service, and therefore should not be reduced or eliminated, as they contribute to the overall quality and appeal of the offering. In contrast, non-value-added activities are those that do not add any value to the final product, and may even detract from it by adding unnecessary cost or complexity. Therefore, the goal of process improvement is to identify and eliminate non-value-added activities, while preserving and enhancing those that are value-added.

Value-Added Activities