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RWO is a hospital cost centre providing catering for staff and patients. Hospital management believes managers should have autonomy over their own departments. Which method
RWO is a hospital cost centre providing catering for staff and patients. Hospital management believes managers should have autonomy over their own departments. Which method of cost centre design should ensure RWO's manager behaves in a manner consistent with the best interests of the hospital as a whole? Solution A.Fixed monthly budget to provide catering. B.No fixed budget, catering to be achieved for minimum cost. C.Fixed monthly budget plus minimum quality standard for meals. D.Catering to be achieved for minimum cost subject to minimum quality standard for meals
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