ABSTRACT
In order to complete this step, we need to understand the definition of noncore costs. Different books provide different definitions for core and noncore cost. For our common grounding, we use the following definition. Noncore cost is any cost that is incurred by the business that does not support the growth strategy of the business and/or cost incurred by the business that does not provide a competitive advantage in the marketplace. This definition applies for all activities that the company performs. We may not be able to solve all noncore costs at once, but over time the business should aim for eliminating these costs since they drag down the performance of the business.
