Browse Definitions:
Definition

Opex (operational expenditure)

Contributor(s): Brita Van Fossen

An operational expenditure (Opex) is the money a company spends on an ongoing, day-to-day basis in order to run a business or system. Depending upon the industry, these expenses can range from the ink used to print documents to the wages paid to employees. The counterpart, Capex, is the money spent on the improvement or purchase of fixed assets.

There is a direct correlation between Opex and the value of the enterprise, in that when the Opex decreases, while maintaining the same level of production and quality, the overall value of the enterprise increases.

Opex and Capex are commonly used financial reporting terms. A similar but not closely related term, forex, stands for foreign exchange.

 

See also: operational costs, hoteling, cost center, IT chargeback system, IT MOOSE management, EBITDA

 

Continue reading about OPEX:

 > The difference between Opex and Capex

 > Opex vs. Capex: Maintaining the right balance

 > Capex to Opex: Conversion of IT investments

This was last updated in December 2011

Join the conversation

6 comments

Send me notifications when other members comment.

By submitting you agree to receive email from TechTarget and its partners. If you reside outside of the United States, you consent to having your personal data transferred to and processed in the United States. Privacy

Please create a username to comment.

whether opex, capex, and forex are also interconnected?

<a href='http://radarlagu.com' title='RadarLagu' > Download lagu terbaru</a>
Cancel
thanks to provide insight into opex <a href='http://manfaat.my.id' title='Manfaat' >Manfaat</a>
Cancel
a very nice artikel to share. <a href='http://www.manfaatsiana.com' title='Manfaat' >Manfaat</a>
Cancel
this article better than ever. very helpful<a href='http://www.manfaatsiana.com' title='Manfaat' >Manfaat</a>
Cancel
for large companies, they have to calculate Opex, but how can this happen in a bankrupt company? if there are errors in the arrangement Opex? <a href='http://www.manfaatsiana.com' title='Manfaat' >thank you</a>
Cancel
this is was amazing article. Thank you for sharing your knowledge with us <a href='http://www.manfaatsiana.com' title='Manfaat' >thank you</a>
Cancel

-ADS BY GOOGLE

File Extensions and File Formats

Powered by:

SearchCompliance

SearchSecurity

  • botnet

    A botnet is a collection of internet-connected devices, which may include PCs, servers, mobile devices and internet of things ...

  • Web application firewall (WAF)

    A Web application firewall (WAF) is a firewall that monitors, filters or blocks traffic to and from a Web application. WAFs are ...

  • MD5

    The MD5 hashing algorithm is a one-way cryptographic function that accepts a message of any length as input and returns as output...

SearchHealthIT

SearchDisasterRecovery

  • call tree

    A call tree -- sometimes referred to as a phone tree -- is a telecommunications chain for notifying specific individuals of an ...

  • mass notification system (MNS)

    A mass notification system is a platform that sends one-way messages to inform employees and the public of an emergency.

  • disaster recovery as a service (DRaaS)

    One approach to a strong disaster recovery plan is DRaaS, where companies offload data replication and restoration ...

SearchStorage

  • compact disc (CD)

    A compact disc is a portable storage medium that can be used for recording, storing and playing back audio, video and other data ...

  • secondary storage

    Secondary storage is used to protect inactive data written from a primary storage array to a nonvolatile tier of disk, flash or ...

  • VRAM (video ram)

    VRAM (video RAM) is a reference to any type of random access memory (RAM) used to store image data for a computer display.

SearchSolidStateStorage

  • SSD RAID (solid-state drive RAID)

    SSD RAID (solid-state drive RAID) is a methodology commonly used to protect data by distributing redundant data blocks across ...

  • Tier 0

    Tier 0 (tier zero) is a level of data storage that is faster, and perhaps more expensive, than any other level in the storage ...

  • PCIe SSD (PCIe solid-state drive)

    A PCIe SSD (PCIe solid-state drive) is a high-speed expansion card that attaches a computer to its peripherals.

SearchCloudStorage

  • RESTful API

    A RESTful application program interface breaks down a transaction to create a series of small modules, each of which addresses an...

  • cloud storage infrastructure

    Cloud storage infrastructure is the hardware and software framework that supports the computing requirements of a private or ...

  • Zadara VPSA and ZIOS

    Zadara Storage provides block, file or object storage with varying levels of compute and capacity through its ZIOS and VPSA ...

Close