Asked by Yasmin Garcia on Jun 30, 2024

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One approach to cost reduction is to undertake value engineering where an analysis of design and production takes place with an aim to identify and eliminate non-value-adding activities.

Value Engineering

A systematic method aimed at improving the "value" of goods or products and services by using an examination of function. Value is the ratio of function to cost.

Non-value-adding Activities

Tasks or processes that do not add value to the final product or service from the customer's perspective.

  • Comprehending the notion and significance of value-added activities in augmenting value for both customers and businesses.
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Zybrea KnightJul 03, 2024
Final Answer :
True
Explanation :
Value engineering involves analyzing design and production processes to identify and eliminate non-value-adding activities and reduce costs.