Supplier assessment and feedback allows the organization to determine supplier performance in terms of quality and service. Which form of cost management is a quality related term that encompasses the physical aspects of a product, its desired performance, and its appropriateness of application?
- Improved form, fit, and function.
- Improved quality and use.
- Administrative savings and heightened quality.
- Easier use and improved capability.
Answer: A – Improved form, fit, and function is a form of cost management term that encompasses the physical aspects of a product, its desired performance, and its appropriateness of application. The remaining answers do not define forms of cost management; improved quality and use, easier use and improved capability, and administrative savings and heightened quality.