New Video: The Role of Activity Drivers in Service Businesses

Part 2 of the video response to Safdar Imam’s question is now live at PerformanceManagementEdge.com.

In searching for the elusive perfect activity driver, we frequently need to look to see what drivers are practically available, and use them in conjunction with factors to build a model efficiently. In the case of time-based drivers, building consumption models often requires us to use an activity driver – such as number of business days – that is not measured by cost object. While this gives us a true measure of activity consumption, a push-down of costs to the cost object level is then required.

Watch the full video – following John Miller’s segment – for more information. And be sure to send new questions on the PerformanceManagementEdge site.