Facility-level activities definition
/What are Facility-Level Activities?
Facility-level activities are those actions taken to maintain the general operations of a business. These actions cannot be traced to individual products, production cells, or product lines.
Examples of Facility-Level Activities
Several examples of facility-level activities are as follows:
Facility monitoring and maintenance. includes building maintenance, janitorial services, groundskeeping, and security.
Utilities. Includes HVAC management, waste disposal and recycling programs, and electricity consumption management.
Health and safety compliance. Includes emergency evacuation planning, hazardous materials management, and occupational health and safety programs.
Environmental management. Includes energy conservation programs, renewable energy initiatives, and water conservation efforts.
Administrative services. Includes mailroom operations and facility-wide IT infrastructure management.
Employee and visitor services. Includes cafeteria management, front desk operations, and visitor sign-in systems.
These activities are necessary for maintaining a functional environment but are not directly tied to the production of goods or services, which makes them indirect cost centers in many business accounting systems.