3. Three dimensions of global industrial performance
Over a given time horizon, it is interesting to compare the gross added value generated by our system with the overall operating expenses incurred to ensure this production. The breakeven point of the business system, i.e. the point at which the company neither loses nor makes money, is reached when the added value covers the overall expenses. Above this point, the company makes a profit; below this point, it loses money.
3.1 Flow
The company's fundamental concern is therefore to achieve a balance between the gross added value generated and the operating expenses consumed. Secondly, the question is to maximize the generation of added value with the resources, i.e. operating expenses, available over a given time horizon. This quantity of added value generated...
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Three dimensions of global industrial performance
Five value-generation processes
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