Reduce Unique ICDs by Redesigning the Product or the Process

The objective of this activity is to reduce the number of ICDs by reducing the occurrence of an ICD in producing a unit of Output, or by reducing the number of separate ICDs used in the Output. A unique ICD is one of the key activities in the work center's contribution to the final product (O). It is separate and distinct from any other activity in the work center. For example, the fastening of a part onto a subassembly and a quality control check of the subassembly would be unique ICDs.

C. Eliminate customer activities with low value to the customer

Reduce ICDs by eliminating activities for which customers either will not pay or will not pay enough to cover their costs.

3. Businesses

Poor fit with core

No. Industry SIC Year Notes
1 2011 1998 ConAgra's current restructuring will increase efficiency and, combined with the divestiture of noncore businesses, generate sizable cost savings.
2 3011 1987 Firestone went through period of sales of divisions and subsidiaries in industries unrelated to the company's core tire business.
3 3150 2003 Coach was spun off from Sara Lee Corp, in an initial public offering in 2000, when that conglomerate decided that handbag maker was not a core business.
4 3541 1997 In 1989, Gleason began a major restructuring program to divest its non-core businesses, many of which were unprofitable. By 1994, Gleason had divested or ceased operations of all of its non-core businesses.
5 3851 1996 Bausch & Lomb consolidating and selling units to focus on three core businesses.
6 3861 1999 Kodak is selling off $8.9 billion in non-core assets such as Eastman Chemical Co and the copier business.
7 3861 1997 Kodak's CEO faces transforming complacent work force into adaptable force. Kodak sold all non-photographic businesses and separated digital-electronic imaging ops from its traditional photo division.
8 3949 1991 Coleman, facing stiff competition, sold off some unrelated operations, such as a heating and air-conditioning business, and closed down an obsolete factory.
9 4513 1996 KPN will sell TNT's unprofitable non-core businesses.
10 4800 1996 To focus on the coming shake up in the telecommunications industry, AT&T is spinning off telecom equipment and computer operations that account for a third of its sales.

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