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Non financial indicators or non financial measures on Cost leader

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA APM Exams › Non financial indicators or non financial measures on Cost leader

  • This topic has 2 replies, 2 voices, and was last updated 9 years ago by gracesikwese.
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  • March 5, 2016 at 8:22 am #303532
    gracesikwese
    Member
    • Topics: 7
    • Replies: 12
    • ☆

    Wanted to find out if it is true that if an organisation is a cost leader it only use financial indicators or financial measure and that non financial indicators/measures are not valid

    March 5, 2016 at 11:18 am #303580
    Ken Garrett
    Keymaster
    • Topics: 10
    • Replies: 10589
    • ☆☆☆☆☆

    Non-financial indicators are ALWAYS important.

    Of course, a cost leader will carefully watch costs (financial) but they also have to ensure that what they are making at low cost causes customer satisfaction (any fool can make a low cost piece of rubbish), is of the correct quality, is delivered on time etc etc.

    March 6, 2016 at 10:15 am #303794
    gracesikwese
    Member
    • Topics: 7
    • Replies: 12
    • ☆

    Thank you

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