Business Improvement

June 1, 2023

Fixed Expense: An Orphaned Concern

Across industry, Fixed Expense tends to be treated as an orphaned concern within management systems and improvement methodologies. Compared to the consistent focus directed at reducing Variable Expense in production related areas, Fixed Expense is often referred to as the ‘ownerless’ expense category. This article explores why Fixed Expense remains marginalized in the competition with Variable Expense as a focus in productivity improvement stakes.
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