Which of the following is not an operational decision?

Solution

Operational decisions are determinations made in regard to the routine, ongoing activities in the functional areas of an organization. These relate to day-to-day functioning or operations of business. Middle and lower-level managers take these decisions. Strategic decisions are important decisions which affect objectives, organisational goals, and other important policy matters. These decisions usually involve huge investments or funds. These are non-repetitive in nature. Deciding the location of the plant is a strategic decision to optimally manage the logistics cost and manage the supply chain efficiently. These decisions involve huge investments, made by the firm, in acquiring building(s), arranging and installing plant and machinery.