What Are Cost Drivers -

One Tuesday, her accountant, a patient woman named Leo, sat her down with three months of receipts.

"Mariana," Leo said, tapping a graph. "You think flour is your biggest problem. But look closer." what are cost drivers

So she changed things.

"A cost driver," Leo said, "isn't just a cost. It’s the activity that makes the cost appear. It’s the engine. The gas pedal." One Tuesday, her accountant, a patient woman named

She merged delivery routes so the van made 12 stops instead of 18, saving $45 a week in fuel. a patient woman named Leo

She stopped making ten tiny batches of cookies (ten driver events) and started making one giant batch (one driver event), saving an hour of labor.

Then Leo explained the secret language of business. She called them .