Question: The first step in creating an ABC system is to develop an activity list and then breakdown the time it takes to complete each activity.

  1. The first step in creating an ABC system is to develop an activity list and then breakdown the time it takes to complete each activity. Why might employees NOT want to reveal realistic information about time spent on their activities? What could be revealed? What is the significance?
  2. Discuss the validity of this statement: I work for a national airline. ABC is irrelevant to my company because we do not manufacture anything. Do you agree? Why or why not?

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