Question

Offshore Oil Exploration Partners (OOEP) has entered into a cooperative strategy with Malay Petroleum. The resulting documents are long, formal, and detailed. They specify detailed responsibilities of each partner and include methods of monitoring accounting and technical procedures. OOEP and Malay Petroleum are using the ________ management approach.
a. cost minimization
b. trust but verify
c. opportunity maximization
d. pragmatic realism

Answer 1

OOEP and Malay Petroleum are using the cost minimization management approach.

Explanation:

Cost minimization is a technique used in pharmaco economics to evaluate care prices, whether the therapeutic efficacy of different therapies is demonstrably comparable.

The investigator undertaking the research needs to appeal to the medical equivalence and should have done so before prices are that.

Costs management is a primary concept used by manufacturers to evaluate the lowest cost production ratio of labor and capital.

In other words, what will be the most efficient way of providing goods and services although maintaining the optimal quality level.