Strategic Cost Management is a framework for incorporating cost information into decision made in support of an organization’s strategic plan. SCM can be defined as making decisions concerning specific cost drivers within the context of an organization’s business strategy, its internal value chain, and its place in a longer value chain stretching from the development and use of resources to the final consumer. Strategic Cost Management has a long run orientation, focusing on structured cost drivers (such as the location & size of a bank) or an organizational cost driver (such as designing processes for billing credit for billing credit card customers.)