Initially, the only center we could trace throughout the literature was the cost center
. A cost center
can contain 2 to 24 smaller cost centers
The complicating factor here is the variable-size nature of each cost center
In many cases, the business side perceives in-house counsel as a cost center
whose only purpose appears to be to spout regulations and case law in the form of too-long memos or emails that take too long to produce full of archaic legalese.
The overhead costs are aggregated in several cost centers
including support units, intermediate units and operating units and then are allocated to various services based on certain overhead allocation rates and finally the cost of services is calculated.
We approached XYZ Company with the idea of analyzing a couple of cost centers
using the TDABC concept.
The modalities of differentiating are significant influenced by Secondary Cost Centers
, IT services influence product or service differentiation and at the same time personnel and image differentiation is determined by HR areas.
Achieving the goal that operations of the cost center
can be represented by a single output measure tends to result in cost centers
in Germany that are more narrowly focused than are cost centers
in United States firms.
Similar differences may exist in subunits labeled "cost center
." The label may indicate that the subunit manager is delegated the responsibility for making decisions that affect the cost of the cost center
and that the manager's performance is evaluated based on those costs.
Inmagic (inmagic.com) has unveiled Presto for Social Libraries, which, Inmagic says, is the first solution to transform libraries from cost centers
to productivity centers by leveraging both content and the user community to create rich knowledge networks.
Petouhoff, Ph.D., Sharyn Leaver, and Andrew Magarie, also implore organizations not to shrink the quality of contact center-delivered customer care, and not to treat contact centers as cost centers
. The net results are that firms will lose more than they gain: in higher operating costs, reduced revenue, brand equity, and market longevity.
What is ultimately desired is an accurate count of the number of nurses who are providing care for patients receiving "daily hospital services." (1) Although previous studies did not distinguish nurse staffing for inpatient acute hospital services from nurse staffing for inpatient services at ancillary cost centers
(e.g., Kovner and Gergen 1998; Kovner et al.
"Because facilities are among the most significant assets and cost centers
of virtually every organization, our customers continue to seek innovative ways to manage their facilities expenditures more effectively.