Process Management Skills - Managerial Accounting

The video tutorial discusses the role of managerial accounting in business processes, emphasizing the importance of creating and implementing processes to ensure quality and consistency across products and services. It highlights the concept of the value chain, which includes all major business functions that add value to a company's products or services, from raw material acquisition to customer delivery. The tutorial underscores the significance of maintaining each link in the value chain to prevent business losses.

What is the primary purpose of implementing business processes in large companies?

• To reduce the number of products

• To ensure consistent quality across locations

• To increase the number of employees

• To increase the price of products

Which of the following best describes the value chain?

• A strategy to increase market share

• A set of business functions adding value to products

• A series of steps to ensure product quality

• A method to reduce production costs

What is the first step in the value chain?

• Gathering raw materials

• Selling the product

• Manufacturing the product

• Delivering to the customer

What happens if a link in the value chain is lost?

• The production cost decreases

• The business may gain new customers

• The business may lose outcomes

• The product quality improves

Why is maintaining the value chain crucial for a business?

• It ensures the business can expand globally

• It helps in increasing the number of employees

• It prevents loss of business outcomes

• It allows for higher product pricing