To see the other types of publications on this topic, follow the link: Traditional costing methods.
Journal articles on the topic 'Traditional costing methods'
Create a spot-on reference in APA, MLA, Chicago, Harvard, and other styles
Consult the top 50 journal articles for your research on the topic 'Traditional costing methods.'
Next to every source in the list of references, there is an 'Add to bibliography' button. Press on it, and we will generate automatically the bibliographic reference to the chosen work in the citation style you need: APA, MLA, Harvard, Chicago, Vancouver, etc.
You can also download the full text of the academic publication as pdf and read online its abstract whenever available in the metadata.
Browse journal articles on a wide variety of disciplines and organise your bibliography correctly.
1
Bariyah, Binti Ro’isatul, and Hwihanus Hwihanus. "PENERAPAN METODE ACTIVITY BASED COSTING DALAM MENENTUKAN HARGA POKOK PRODUKSI (STUDI KASUS PADA PENGRAJIN SANDAL DESA BERBEK)." JEA17: Jurnal Ekonomi Akuntansi 5, no. 2 (October 28, 2020): 77–88. http://dx.doi.org/10.30996/jea17.v5i2.4280.
Full textAbstract:
ABSTRACTThis study aims to determine how to apply the calculation of activity based costing in determining the cost of goods manufactured and how to compare the cost of goods manufactured using traditional methods and activity based costing methods. This study used descriptive qualitative method. The data used are qualitative data in the form of company identity and quantitative data related to the company's production costs. Data collection was carried out by observation and interviews.The results showed the calculation of the cost of goods manufactured at UD. Karimunjawa Perkasa with the traditional method compared to the activity based costng method gives lower results for the mountain slop sandals and mountain slop sandals, while for the flat sandals gives a greater result. This is due to the calculation of the cost of goods manufactured by the traditional method using one cost driver while the activity based costing method uses more than one cost driver. Charging using activity based costing makes the calculation of the cost of goods manufactured more accurate, thus helping management in making decisions and determining the selling price
2
Kamasih, Jimmy, David P. E. Saerang, and Lidya Mawikere. "ANALISIS PERHITUNGAN HARGA POKOK PRODUKSI DENGAN METODE TRADISIONAL DAN ACTIVITY BASED COSTING (ABC) PADA UD. CELLA CAKE DAN BAKERY MANADO." ACCOUNTABILITY 4, no. 2 (December 31, 2015): 28. http://dx.doi.org/10.32400/ja.10522.4.2.2015.28-40.
Full textAbstract:
Activity Based Costing System can provide information for the better of cost calculation and can assist management to manage the company efficiently and gain a better understanding on competitive advantages, strengths, and weaknesses of the company. So that with Activity Based Costing can present carefully the information of cost product and accurately to the interests of management and comparing the cost calculation of production by using traditional methods and Activity Based Costing (ABC) at UD. Cella Cake and Bakery Manado. The purpose of this study was to determine the cost calculation of production using traditional methods and Activity Based Costing (ABC). The research method used is descriptive method. The results showed that the cost calculation of production using Activity-Based Costing System provides results that are more expensive than traditional systems on Pizza Chicken Bread, Sausage Bread and donuts. Traditional systems provide greater profit than the Activity-Based Costing system, because the calculations with the traditional system using only one cost driver so make inefficiency costs and generate profit and irrelevant
3
Erena, Irma Nadia, and Engelwati Gani. "Comparative Analysis Of Conventional Method With Activity Based Costing In PT Mulia Sejati Gallery." Winners 17, no. 2 (September 30, 2016): 133. http://dx.doi.org/10.21512/tw.v17i2.1973.
Full textAbstract:
The goal of this research was to provide readers the information about the calculation methods, both traditional and activity-based costing in the application of the cost of production. The method used in this research was the qualitative method. The analysis was done by calculating the amount of the production cost using the traditional system and the magnitude of the production cost when using the activity-based costing system. The amount of each acquisition was then performed into data analysis. The results achieved are massive distortion between the calculations using traditional systems and activity based costing system. The conclusions of the whole thesis are activity-based costing system is considered more relevant than traditional systems that are currently used by the company.
4
MOSKWA-BĘCZKOWSKA, Daria. "The concept of implementing the activitybased costing in multi-assortment manufacturing enterprise – theoretical aspects (part 1)." Scientific Papers of Silesian University of Technology. Organization and Management Series 2020, no. 146 (2020): 295–303. http://dx.doi.org/10.29119/1641-3466.2020.146.22.
Full textAbstract:
Purpose: The main objective of the article is to develop and present a concept for the implementation of activity-based costing in a company dealing with multi-assortment production of bookbinding machinery. However, due to the publishing requirements, the article was divided into two parts – the first one describes the theoretical approach to the problem and the second one presents the case study. Therefore, the aim of this part of the considerations is to present the shortcomings of traditional methods of unit cost calculation in the light of the literature on the subject and to present the main assumptions and calculation procedures of the concept of activity-based costing. Design/methodology/approach: The main research methods used in this part of the considerations are: analysis of the literature on the subject and inference. Findings: The result of the research is the conclusion that the traditional methods of unit cost calculation, i.e. full costing and variable costing, are insufficient for effective cost management in the company. Originality/value: This part of the analysis presents in a synthetic way the identified main disadvantages of traditional unit costing methods. An alternative solution to the discussed problem was also presented here, i.e. the change of the applied costing system into an activity based costing system – analyzing its assumptions and calculation procedures. This content is directed both to persons dealing with these matters from the theoretical perspective, as well as company owners and heads of controlling or production departments.
5
Salim, Umar Hi. "ANALISIS PERANAN ACTIVITY BASED COSTING SYSTEM PADA PT. TIRTA MAHAKAM RESOURCES TBK. DI SAMARINDA." Research Journal of Accounting and Business Management 3, no. 1 (July 1, 2019): 25. http://dx.doi.org/10.31293/rjabm.v3i1.4221.
Full textAbstract:
The purpose of this paper is to find out the magnitude of the results of the imposition of Factory Overhead Costs on each product by implementing the Activity Based Costing System. The calculation results show that the difference in the burden of factory overhead using the traditional management accounting system with Activity Based Costing System shows that there are differences in each product, Plywood, Sawmill and Fancywood absorb factory overhead costs with traditional management accounting systems lower than Activity Based methods. Costing System (ABC) with costs of Rp. 5,056,946,700, -, Rp. 955,958,600 and Rp. 1,311,464,900 respectively, while Blockboard and Coating products absorb factory overhead costs using the Activity Based Costing System (ABC) method more. lower than the traditional management accounting system method with costs of Rp. 4,994,382,200 and Rp. 2,315,936,800The results of the per M3 cost calculation using the traditional management accounting system with Activity Based Costing System for each type of product produced by PT. Tirta Mahakam Resources Tbk. For Plywood, Sawmill and Fancywood products the difference in cost of goods with traditional accounting systems is lower than the activitybased costing system, while Blockboard products and coatings have a difference in the cost of products with an Activity Based Costing System lower than traditional accounting systems. The results of the calculation of product cost of the five products with the imposition of factory overhead costs using Activity Based Costing System illustrate the pattern of consumption of factory overhead costs which better reflects the amount of costs absorbed by each product. This is due to the fact that the Activity Based Costing System has a more cost center, so that the use of resources can be followed carefully to the cost center that consumes it. Thus, it can be seen that the Activity Based Costing System results in the loading of factory overhead costs which better reflect the amount of costs absorbed by each product than the traditional management accounting system.
6
Faishal, Fahmi Hikmah, Heni Mulyani, and Leni Yulianti. "Analisis Penerapan Metode Activity Based Costing dalam Menentukan Harga Sewa Kamar Hotel." JURNAL PENDIDIKAN AKUNTANSI & KEUANGAN 6, no. 2 (July 20, 2018): 93. http://dx.doi.org/10.17509/jpak.v6i2.15918.
Full textAbstract:
Abstract.This study aims to find out how the application of hotel room rental prices by using activity based costing at de’Kayakini Bandung hotels. This study uses descriptive research methods. Descriptive research to determine the difference in activity based costing methods with traditional methods. In this study there is only one type of variable used, namely rent. The rental price is the amount of money that will be paid for something to be received, the rental price in this study is the selling price. The data sources used in this study are secondary data sources. Secondary data is obtained from Hotel De’Kayakini in the form of hotel cost reports. The results of the study show that from the calculation of the cost of rooms using the activity based costing method, the lower cost of goods is obtained compared to the traditional cost accounting method.Keywords. activity based costing; room rental prices AbstrakPenelitian ini bertujuan untuk untuk mengetahui bagaimana penerapan harga sewa kamar hotel dengan menggunakan activity based costing pada hotel de’Kayakini Bandung. Penelitian ini menggunakan metode penelitian deskriptif. Penelitian deskriptif untuk mengetahui perbedaan metode activity based costing dengan metode tradisional. Dalam penelitian ini terdapat hanya satu jenis variabel yang digunakan yaitu harga sewa. Harga sewa adalah sejumlah uang yang akan dibayarkan untuk sesuatu hal yang akan diterima, harga sewa dalam penelitian ini adalah harga jual. Sumber data yang digunakan dalam penelitian ini, merupakan sumber data sekunder. Data sekunder didapatkan dari Hotel De’Kayakini berupa laporan biaya hotel. Hasil penelitian menunjukkan bahwa dari perhitungan harga pokok kamar dengan menggunakan metode activity based costing diperoleh harga pokok yang lebih rendah dibandingkan dengan metode traditional cost accounting.Kata kunci. activity based costing; harga sewa kamar
7
Haroun, Ahmed E. "Maintenance cost estimation: application of activity-based costing as a fair estimate method." Journal of Quality in Maintenance Engineering 21, no. 3 (August 10, 2015): 258–70. http://dx.doi.org/10.1108/jqme-04-2015-0015.
Full textAbstract:
Purpose – The purpose of this paper is to present the use of activity-based costing (ABC) approach as an alternative option to the traditional cost accounting system. The contribution of this study is to demonstrate, through a simple example, the application of that costing system in a service (maintenance) industry, i.e. the paper intended to develop a procedure for a cost model that help in calculating any maintenance job cost, to a reasonable degree of accuracy, based on the actual activities performed. Design/methodology/approach – This research uses a simple example whereby hypothetical activities and cost data of maintaining an injector and a pump, of an internal combustion engine, are used, presented and analyzed based on the use of the developed procedure. Findings – ABC system provides more accurate cost estimates rather than the traditional “order costing” methods that uses unit-level costs which are variable in relation to change in service volume. Traditional cost methods distort the costs by applying overhead uniformly over different jobs of varied complexities and activities scope. On the other hand, ABC is a useful means to distribute the overhead costs in proportion (fairly) to the actual activities performed in a specific job and, hence, enhance the rationality of decision making, i.e. will not distort the accounting information used for cost reduction, pricing, and evaluation matters. The results obtained from the analysis showed that allocating costs to the maintained injector decreased from $83.55 to $71.95 and, finally, to $67.57 when using the workshop-wide, two-stage and ABC overhead allocation methods, respectively; while that of the pump increased from $298.90 to $340.34 and, finally, to $359.48 when using the same three methods, in the same order, respectively. The result is quite fair when considering the complexity of the fuel pump, in terms of design and maintenance, when compared with the injector. Notice that using volume to allocate overhead costs results in over costing high-volume products, e.g. injectors (simple in terms of design and operation) and under costing low-volume products, e.g. pumps (more complex in terms of design and operation). The paper recommends to use ABC as a more accurate and fair method when charging maintenance job orders based on the analysis of costing two maintained items in the same premise while consuming different overhead resources. Practical implications – This study attempts to analyze different methods to calculate a specific corrective maintenance job order. It strives to remedy the drawbacks of the traditional overhead costing of a job order when using principles related to the size of service, such as the direct labor cost/hours, as an allocation base. Consequently, the study proposed a new costing method, i.e. application of ABC. The traditional costing approach is considered by many firms as the best costing method. Nevertheless, it allocates overhead cost over job performed uniformly (equally) not differentiating between the complexity of the job and variety of the activities performed, e.g. using the same allocation base for “oil change” and “fuel pump adjustment” activities. So, ABC prevents cost distortions (unfairness) that could not be prevented by traditional cost accounting system. The author believes that the method presented in this paper will provide a useful management tool for costing maintenance jobs based on the appropriate selected activity drivers in maintenance workshops. The method could be applied for costing maintenance activities in maintenance of all industrial sectors. Originality/value – The use of traditional costing method has proven to be distorted by applying overhead uniformly over different jobs of varied complexities and activities scope. In this paper the authors strive to present an effective costing alternative that outperforms the traditional ones with regard to overhead allocation. The paper aims to find reliable and fair maintenance costing method, i.e. to find out the relationships between maintenance activities and cost drivers. Although, ABC is widely used in manufacturing industry, no application or current research has presented an applicable thorough worked-out example, with the exception, to the author’s knowledge, of one in the aeronautical industry, to implement ABC method in maintenance industry. The importance of using this method comes from the fact that it provides, relatively, accurate and fair maintenance bills that provide customer satisfaction and firm good image. Hence, the paper is relevant in this respect and intended to contribute to the practice of maintenance management.
8
Čečević, Bojana Novićević, Ljilja Antić, and Kristina Spasić. "Cost Accounting and Performance Measurement With the Purpose of Increasing the Competitiveness of Sports Organizations." Economic Themes 58, no. 2 (June 1, 2020): 235–53. http://dx.doi.org/10.2478/ethemes-2020-0014.
Full textAbstract:
AbstractDynamic business environment, rise in the share of overheads in total costs, strong competition on the global market and numerous other challenges that organizations are facing have imposed the need to reexamine the existing, design new costing methods and apply more appropriate management tools to improve management information basis, maintain and improve competitive advantage. In addition to traditional costing methods, organizations apply the methods adapted to the changing business environment, such as Activity-Based Costing (ABC). The positive experiences of manufacturing organizations which apply activity-based costing have led to the expansion of ABC application among service organizations. Changes in cost accounting are in line with changes in performance measurement systems, all for the purpose of improving the functioning of organizations and successfully responding to the demands of a changing business environment. The paper analyzes the possibility of applying activity-based costing and Balanced Scorecard in sports organizations that provide a large number of specific services.
9
Linassi, Rossano, Anete Alberton, and Sidnei Vieira Marinho. "Menu engineering and activity-based costing." International Journal of Contemporary Hospitality Management 28, no. 7 (July 11, 2016): 1417–40. http://dx.doi.org/10.1108/ijchm-09-2014-0438.
Full textAbstract:
Purpose This paper aims to examine whether using menu engineering (ME) together with activity-based costing (ABC) for menu analysis provides new insights into true menu profitability. The traditional ME approach only uses food costs to determine the contribution margin (CM) of individual menu items. This combined approach uses both food and traceable operating costs to estimate CMs more accurately. Design/methodology/approach An improved ME model was developed and tested in an oriental restaurant in Brazil. Direct observation of restaurant activities allowed most costs to be traced (not simply allocated) to individual menu items. Findings The results revealed small differences in the rankings between the traditional approach and ABC/ME, demonstrating that the integration of ABC with ME made it to possible to identify increased food-costs and lower CMs for all groups of menu items. The results also show that ABC methods are applicable to an oriental-style restaurant. Research limitations/implications Just one restaurant and only 80 per cent of the menu were examined in this study. Future research should apply the model used here to other restaurant types located in different geographical areas to validate the approach. Practical implications The results suggest that ME can be improved upon by first assessing variable costs using ABC methods. Originality/value This paper combines two different analytic techniques (ME and ABC) into a new approach that reveals the true picture of profit and loss for a menu from a restaurant in Brazil.
10
Vedernikova, Olga, Lorena Siguenza-Guzman, Johanna Pesantez, and Rodrigo Arcentales-Carrion. "Time-Driven Activity-Based Costing in the Assembly Industry." Australasian Business, Accounting & Finance Journal 14, no. 4 (2020): 3–23. http://dx.doi.org/10.14453/aabfj.v14i4.2.
Full textAbstract:
Costs and their determination play a critical role in all manufacturing companies. The traditional costing system has received criticism resulting from the arbitrary allocation of indirect manufacturing costs. As an important initiative to address its weaknesses, new costing methods such as the Time-Driven Activity-Based Costing (TDABC) have emerged. Unfortunately, up to our knowledge, no investigations have been applied in analyzing assembly companies thoroughly nor considering all the processes necessary to obtain the final products. This article explores the TDABC application in the assembly industry through comparison with traditional volume-based costing by focusing on manual and semi-automatized production. Since the research is descriptive, a multiple-case study design was implemented in the assembly of televisions, motorcycles, and printed circuit boards. The developed methodology allowed determining the existence of factory overhead and direct labor cost variances between two different cost accounting systems, which also affected the unit cost of the products. Findings also highlight the benefits of TDABC application in the assembly industry, along with the shortcomings and future potential of research in this area.
11
Kont, Kate-Riin, and Signe Jantson. "Activity-Based Costing (ABC) and Time-Driven Activity-Based Costing (TDABC): Applicable Methods for University Libraries?" Evidence Based Library and Information Practice 6, no. 4 (December 15, 2011): 107. http://dx.doi.org/10.18438/b8gg8z.
Full textAbstract:
Objective – This article provides an overview of how university libraries research and adapt new cost accounting models, such as “activity-based costing” (ABC) and “time-driven activity-based costing” (TDABC), focusing on the strengths and weaknesses of both methods to determine which of these two is suitable for application in university libraries.
Methods – This paper reviews and summarizes the literature on cost accounting and costing practices of university libraries. A brief overview of the history of cost accounting, costing, and time and motion studies in libraries is also provided. The ABC and the TDABC method, designed as a revised and easier version of the ABC by Kaplan and Anderson (Kaplan & Anderson 2004) at the beginning of the 21st century, as well as the adoption and adaptation of these methods by university libraries are described, and their strengths and weaknesses, as well as their suitability for university libraries, are analyzed.
Results – Cost accounting and costing studies in libraries have a long history, the first of these dating back to 1877. The development of cost accounting and time and motion studies can be seen as a natural evolution of techniques which were created to solve management problems. The ABC method is the best-known management accounting innovation of the last 20 years, and is already widely used in university libraries around the world. However, setting up an ABC system can be very costly, and the system needs to be regularly updated, which further increases its costs. The TDABC system can not only be implemented more quickly (and thus more cheaply), but also can be updated more easily than the traditional ABC, which makes the TDABC the more suitable method for university libraries.
Conclusion – Both methods are suitable for university libraries. However, the ABC method can only be implemented in collaboration with an accounting department. The TDABC method can be tested and implemented by separate departments, and thus can contribute to the provision of better and more effective library services at lower costs. However, the involvement of experts in costing and accounting is recommended.
12
Pradipta, Himawan. "APLIKASI ACTIVITY-BASED COSTING PADA UMKM." LISAN AL-HAL: Jurnal Pengembangan Pemikiran dan Kebudayaan 15, no. 1 (June 30, 2021): 47–62. http://dx.doi.org/10.35316/lisanalhal.v15i1.973.
Full textAbstract:
The fact that there was a challenge for the UMKM sector was the lack of capability in terms of business menegement. One of them was accuracy in calculating the amount of the main price of production on the resulting product. even though that calculation was crucial in determining the selling price of the product. Therefore, it was important to apply a better method to make the right decision. The purpose of this study was to analyze the comparison of the calculation of the price of production using traditional costing (TC) and Activity-Based Costing (ABC) methods, as well as analyzed the advantage in gaining the application of this method. This research was a descriptive qualitative study with interview methods and documentation. The analysis showed that in the calculation of the underlying price between TC production and ABC, there was an undercosted of 4.04%, while for the profit difference there was 1.2%.
13
Bokor, Zoltan, and Rita Markovits-Somogyi. "Improved Cost Management at Small and Medium Sized Road Transport Companies: Case Hungary." PROMET - Traffic&Transportation 27, no. 5 (October 28, 2015): 417–28. http://dx.doi.org/10.7307/ptt.v27i5.1719.
Full textAbstract:
Small and medium sized road freight transport companies located in Hungary are facing strong competition on the logistics market. An advanced cost management system supporting decisions on capacity allocations or pricing may be a competitive advantage for them and indirectly for the whole economy as well. Still, they generally apply simple, traditional cost calculation regimes, potentially sufficient in case of a homogeneous service portfolio. Nevertheless, road haulage companies with heterogeneous service structures may witness information distortions when using traditional costing methods. So it might be recommended for them to introduce better costing principles. To support an improved transport costing, a multi-level full cost allocation model has been set up and tested in this paper. The research results have pointed out that such a methodological development accompanied by the extension of the data collection mechanism can contribute to making the cost management systems of road freight transport companies more effective.
14
Kamal Abd Rahman, Ibrahim, Normah Omar, and Zubaidah Zainal Abidin. "The Applications Of Management Accounting Techniques In Malaysian Companies: An Industrial Survey." Journal of Financial Reporting and Accounting 1, no. 1 (January 6, 2003): 1–12. http://dx.doi.org/10.1108/19852510380000664.
Full textAbstract:
In exploring the management accouting practices of companies in Malaysia, two categories of companies were chosen: Malaysian‐owned and Multinational corporations (MNCs). The majority of the companies selected were either manufacturing‐based or service‐based. To asess the level of management accounting applications in these organizations, Akira’s “Four‐Phase” model was adopted. While a “drifting phase” connotes an extremely low level of application, the “integrated phase” on the other hand deliberately uses the latest management accounting approaches for strategic purposes. Management accounting techniques surveyed include the applications of traditional methods such as Standard Costing, Budgeting and Cost‐Volume‐Profit (CVP) and other integrated approaches such as Just‐in‐Time (JIT), Activity‐Based‐Costing (ABC), Benchmarking and Target Costing.
15
Sharasanti, Diah Anugrah. "Implikasi Penerapan Activity Based Costing System Terhadap Kinerja Perusahaan Dan Keunggulan Bersaing." BIP's JURNAL BISNIS PERSPEKTIF 12, no. 2 (July 31, 2020): 149–72. http://dx.doi.org/10.37477/bip.v12i2.101.
Full textAbstract:
The strategy for determining the accurate production cost is one way for the company to compete among its competitors. Activity Based Costing assumes allcosts have a cause, and the causes can be managed so that the costs charged can be effective and efficient. Several studies have shown that there are differences in production costs between calculations using traditional methods and Activity Based Costing. Previous studies have shown that production costs are more accurate when using the Activity Based Costing method of calculation. Bjornenak and Mitchell (1999) in Rendy and Devie (2013) argue that Activity Based Costing is a system that is promoted and adopted as a basis for strategic decision-making and to improve earnings performance. According to Reimann (1990) the use of the Activity Based Costing system encourages companies to produce products that have competitive advantages. The results of several studies show that the ability of the Activity Based Costing system can not only measure product costs accurately, but the information generated can be used for various other strategic interests within the company, and the implementation of the Activity Based Costing system is not only focused on the financial aspects, but also on other nonfinancial aspects which are indicators of the success of company performance.
16
Koolmees, Dylan, Prem N. Ramkumar, Luke Hessburg, Eric Guo, David N. Bernstein, and Eric C. Makhni. "Time-Driven Activity-based Costing for Anterior Cruciate Ligament Reconstruction: A Comparison to Traditional Accounting Methods." Arthroscopy, Sports Medicine, and Rehabilitation 3, no. 1 (February 2021): e39-e45. http://dx.doi.org/10.1016/j.asmr.2020.08.006.
Full text
17
Liu, Yao Jun, Xiu Feng Lu, Fang Qi, and Chun Xiang Liu. "Application of Virtual Reality Technology in the Distribution Network Living Work Methods Research." Applied Mechanics and Materials 303-306 (February 2013): 2186–90. http://dx.doi.org/10.4028/www.scientific.net/amm.303-306.2186.
Full textAbstract:
In recent years, with power supply reliability requirements increased, living work projects in distribution network are developed extensive. Except the traditional projects, it is becoming more and more prominent to expand the living work projects in the distribution network. But, research the bran-new living work methods have some problems like long period, significant risk and high cost. This paper base on the theoretical arithmetic, use the virtual reality technology to simulate and research the 10kV distribution network 1-tower double-circuit transmission line living work and the model is established. Compared to the traditional living work methods, introduce the virtual reality technology supply a new train of thought to research the living work methods, it greatly reduces the period of researching new living work methods, and effectively cut down the costing on the experimental stage of traditional researching methods.
18
Sumardiningsih, Sri, Sugiharsono Sugiharsono, Mimin Nur Aisyah, and Aula Ahmad Hafidh Syaiful Fikri. "MODEL ACTIVITY BASED COSTING PADA SEKOLAH MENENGAH KEJURUAN." Jurnal Ekonomi dan Pendidikan 15, no. 1 (October 29, 2018): 1–12. http://dx.doi.org/10.21831/jep.v15i1.19471.
Full textAbstract:
Penelitian ini bertujuan mengetahui alokasi dana pendidikan ke seluruh aktivitas yang ada di sekolah, unit cost pelayanan pendidikan tiap siswa di setiap tingkat dan paket keahlian, dan perbandingan unit cost pelayanan pendidikan di setiap tingkat dan paket keahlian dihitung dengan ABC dan metode Traditional Costing. Objek penelitian yakni unit cost pelayanan pendidikan di SMK Negeri Yogyakarta 2016/2017. Pengumpulan data melalui wawancara dan dokumentasi, FGD. Menggunakan analisis data deskriptif. Hasil menunjukkan alokasi dana terbesar untuk biaya aktivitas belajar mengajar yaitu 55,77%, paling rendah adalah biaya kegiatan manajemen sekolah 6,20%, dan aktivitas lainnya sekitar 9%. Unit cost per siswa dihitung dengan ABC dilihat antar Paket Keahlian berbeda-beda, berkisar dari Rp 1.168.513 sampai Rp 1.424.116. Unit cost dengan Traditional Costing dibanding dengan ABC ada yang termasuk kategori undercosted dan overcosted. Biaya yang termasuk kategori overcosted adalah seluruh paket keahlian di kelas X dan kategori undercosted adalah pada seluruh paket keahlian di kelas XI dan XII. The cost of education services for each student in each level and the package of expertise, and the cost of education services at each level and skills packages are calculated by ABC and Traditional Costing methods. The object of this study is the unit of cost of education services in Yogyakarta 2016/2017 State Vocational School. Data collection through interview and documentation techniques, FGD. Data analysis using descriptive data analysis. The results of the funding for teaching and learning activities are 55.77%, 6.20% of the lowest cost of school management activities, and other activities around 9%. Unit cost per student is calculated with seen ABC between different skill packages, ranging from Rp 1,168,513 to Rp 1,424,116. Unit costs with Traditional Costing compared to ABC are categorized as undercosted and overcosted. Costs included in the overcosted category are all skill packages in X and undercosted categories in all skills packages in class XI and XII.
19
Becker, Jörg, Philipp Bergener, and Michael Räckers. "Activity-Based Costing in Public Administrations." International Journal of E-Services and Mobile Applications 2, no. 4 (October 2010): 1–10. http://dx.doi.org/10.4018/jesma.2010100101.
Full textAbstract:
The traditional way of budgeting in public administrations is input-oriented; however, this system does not meet actual methods of efficient budget controlling as a mapping of output parameters. Due to challenges, such as the need for cost reduction because of decreasing tax revenues, pressure for controlling mechanisms is rising. Furthermore, Europe Pan-European directives foster process harmonization and introduction of IT-supported and optimized business processes in the public sector. In this regard, activity-based costing can be a useful instrument for efficiency measurement of public administrations output. Through the introduction of new public management and double-entry accounting public administrations, the opportunity to use cost-centered accounting mechanisms to assess process performance while evaluating their activities in a holistic concept is accomplished. Process modeling can be a useful instrument to help public administrations to capture relevant process knowledge and thus create the data basis for activity-based costing.
20
Воронова, Екатерина, and E. Voronova. "Strategic Management Accounting Systems and Company Development Strategy." Auditor 5, no. 1 (January 31, 2019): 25–30. http://dx.doi.org/10.12737/article_5c457af838ed94.30902304.
Full textAbstract:
The article deals with the relationship of strategic management accounting and company strategy. The article deals with the following methods of strategic management accounting: value chain costing, clients and competitors are considered. Attention is paid to the comparison of traditional and strategic management accounting.
21
Kinsella, Steven M. "Activity-Based Costing: Does it Warrant Inclusion in a Guide to the Project Management Body of Knowledge (PMBOK® Guide)?" Project Management Journal 33, no. 2 (June 2002): 49–56. http://dx.doi.org/10.1177/875697280203300207.
Full textAbstract:
Profit is a critical consideration in project selection. Using traditional cost-accounting techniques standardized during the Industrial Age, estimators and accountants determine project costs. Those techniques result in costs that are substantially different from costs calculated using activity-based costing (ABC). Knowledge of ABC principles is important for project managers because it offers an alternative costing methodology that allocates costs through a cause-and-effect relationship that is more appropriate for today's operating methods. This paper reviews cost determination methods included in A Guide to the Project Management Body of Knowledge (PMBOK® Guide) and offers an argument for enhancing the PMBOK® Guide by including ABC as a cost-determination methodology.
22
Cygańska, Małgorzata, and Magdalena Kludacz-Alessandri. "Incorporating clinical factors into medical procedures costing." Zeszyty Teoretyczne Rachunkowości 2018, no. 98 (154) (June 28, 2018): 87–106. http://dx.doi.org/10.5604/01.3001.0012.1548.
Full textAbstract:
The aim of the study is to assess the effect of selected methods of allocating indirect costs to operating room medical procedures. When allocating indirect costs of operating room medical procedures, the following factors were taken into consideration: total direct costs, time of providing treatments and points reflecting, among others, procedure complexity and treatment intensity. For this purpose, the concept of quantitative description of patients' characteristics and hospitalization process was used based on the identified cost-generating factors of medical procedures. The conducted analysis included direct costs of 428 surgical procedures, grouped into 17 categories according to ICD-9, and indirect costs of operating blocks for the period from January 2017 to June 2017. The obtained results indicate that indirect costs allocated to patients proportionally to direct costs differ in a statistically significant way from other methods for all considered ICD groups. The differences in allocated indirect costs when using treatment duration and clinical cost-generating factors are statistically significant in the vast majority of the ICD-9 groups. This justifies the abandonment of the traditional, simplified methods of indirect costs allocation and incur-ring additional expenses related to the ongoing monitoring of patients' parameters and the course of hospi-talization. The results of the conducted study may be used to develop standards related to the recommended methods of calculation of costs of specific medical services for the purpose of making decisions in hospitals and financing medical services at the central level.
23
Kitsantas, Thomas, Athanasios Vazakidi, and Constantinos Stefanou. "Integrating Activity Based Costing (ABC) with Enterprise Resource Planning (ERP) for Effective Management: A Literature Review." Technium: Romanian Journal of Applied Sciences and Technology 2, no. 7 (October 21, 2020): 160–78. http://dx.doi.org/10.47577/technium.v2i7.1882.
Full textAbstract:
In the age of a global competition environment, the accurate costing measurement is important for planning and decision-making. To achieve this goal, contemporary costing methods are tested and applied such as the Activity Based Costing (ABC) in conjunction with the use of modern Information Technology (IT). The review study attempts a comparative analysis of both ABC and Traditional Costing Accounting (TCA), examining the main themes emerging from academic research and practitioners concerning the challenges, benefits, and barriers of ABC, analyzing the impact of the integration between ERP and ABC systems and its effect on management performance. A review of the literature generated an initial pool of 322 studies. Upon extensive review, 38 studies were found to be relevant to this topic. It appears from the review and analysis of the academic literature and professional sources that a successful integration among ERP and ABC minimizes the operation costs, enhances competitiveness, improves the management of the enterprise, due to its abilities to provide more accurate costing information for a strategic decision. However, practical implications in adopting ABC under ERP could be very challenging, requires a huge amount of internal resources, commitment among employees, and top management. In closing, additional research studies employing both qualitative and quantitative methods as well as case studies are needed in order to provide insights into the impact of ERP and detailed implications of how the ABC accounting system is adapting to the ERP environment and its effect on firm performance.
24
MOSKWA-BĘCZKOWSKA, Daria. "The concept of implementing the activitybased costing in multi- assortment manufacturing enterprise – case study (part 2)." Scientific Papers of Silesian University of Technology. Organization and Management Series 2020, no. 146 (2020): 305–14. http://dx.doi.org/10.29119/1641-3466.2020.146.23.
Full textAbstract:
Purpose: As mentioned in the first part of the article, its main objective is to develop and present a concept for the implementation of activity-based costing in a company dealing with multi-assortment production of bookbinding machinery. Design/methodology/approach: The main research method used is a case study of the implementation of activity-based costing in a selected multi-assortment production company. The concept of an original model of implementation of activity-based costing in the analyzed company as well as the benefits resulting from this implementation are presented in this article. Findings: The carried-out research indicates that the calculation of cost according to the concept of activity-based costing is more useful for effective cost management than traditional methods. After the development and presentation of the model of the analyzed costing method, the board of directors of the examined company began seriously considering the implementation of this method within their business unit. Research limitations/implications: The main barrier in the conducted research was the lack of conviction on the part of the company about the advantages of the presented unit cost calculation method and its usefulness for effective cost management within the company. Originality/value: The article is an example of the practical application of activity-based costing in multi-assortment production. Its content is directed both to persons dealing with these matters from the theoretical perspective, as well as company owners and heads of controlling or production departments.
25
Wahidi, Sufian Imam, Vialdo Muhammad Virmansyah, and Triwilaswandio Wuruk Pribadi. "Study on Implementation of Activity-Based Costing (ABC) System on Determination of Indirect Costs in Ship Production." Kapal: Jurnal Ilmu Pengetahuan dan Teknologi Kelautan 18, no. 1 (November 13, 2020): 1–7. http://dx.doi.org/10.14710/kapal.v18i1.33000.
Full textAbstract:
Currently, business development, especially in the maritime sector, has quite rapid progress in Indonesia. Recently, the shipbuilding industry's development is an effort to improve competitiveness with the global market. With the increasing development of the shipbuilding industry in Indonesia, cost accounting as a cost information system is challenged to develop the shipbuilding industry, requiring high product quality. This matter requires the company to decide on proper budget planning not to experience losses. Activity-Based Costing (ABC) System is a system to determine costs using activities to classify costs to produce indirect costs that are more systematic and relevant. Activity-based costing systems identify resources in each department's activities to provide information about a product's cost. It collects indirect costs and allocates them to various products in proportion to the product volume. Therefore, activity-based costing can estimate the product costs and individual activity costs used in the production well. The first step is classifying activities, associating various costs with various activities, determining homogeneous cost groups, and determining group rates. The second step of this stage is the determination of overhead prices selected from each cost group. This research compares indirect costs to the construction of 2x1800 HP tugboat ships according to traditional cost accounting methods with the Activity-Based Costing System method. The first method's result is 3,432,920,043 IDR and the second method is 2,231,760,472 IDR.
26
Ainiyah, Ghonimah Zumroatun, and Siti Maesaroh. "PENERAPAN ACTIVITY BASED COSTING DALAM PENENTUAN TARIF JASA RAWAT INAP DI RUMAH SAKIT UMUM DAERAH HJ. ANNA LASMANAH KABUPATEN BANJARNEGARA." Fokus Ekonomi : Jurnal Ilmiah Ekonomi 15, no. 2 (December 1, 2020): 369–84. http://dx.doi.org/10.34152/fe.15.2.369-384.
Full textAbstract:
The phenomenon of the Hj. Anna Lasmanah Banjarnegara is less able to provide proper and accurate information for management, which can affect the profitability of the hospital. The objectives of this study: 1) describe the cost calculations used to determine inpatient service rates in 2019, 2) analysis cost calculations using an activity based costing system in determining the rates for inpatient services at Hj. Anna Lasmanah HospitalThe focus of this research is to calculate the cost of inpatient care and analysis the possibility of implementing an activity-based costing system as an alternative in determining the cost of hospitalization. The data analysis used in this research is quantitative descriptive analysis. Namely by comparing the results of the calculation of inpatient rates for patients with an activity based costing system with inpatient rates determined by the hospital.There are differences in the results of the calculation of inpatient rates for each class between the traditional method and the activity based costing system. This difference results in lower or higher tariffs. The results of the calculation show that the inpatient service tariff using an activity based costing system for VVIP A class is IDR 437,658, VVIP B class IDR 395,674, Class I IDR 378,180, Class II IDR 320,249, Class III IDR 319,374. It can be seen from these results that when compared with conventional methods, the activity based costing system provides higher hospitalization rates for Class I, II and III. The rates are set lower for Class VVIP A and VVIP B. Activity based costing system can provide more precise accuracy because it has made calculations according to the resources consumed by each class
27
Popovic, Nikola, and Marina Vasilic. "Activity-based costing on the example of prune-drying company." Journal of Agricultural Sciences, Belgrade 59, no. 3 (2014): 363–73. http://dx.doi.org/10.2298/jas1403363p.
Full textAbstract:
This paper examines the possibility of application of the activity-based costing in a company engaged in drying fruit. Activity Based Costing (ABC) was developed due to the shortcomings of traditional cost accounting systems, which was shown to have serious limitations, on one hand, and due to the need for more accurate cost price, on the other. This is of great importance for business decision making, which requires quality data and information, because the intense technical and technological progress has significantly altered the environment companies operate in. Along with this fact, major changes in cost structure occurred, which reflected through the increase of the indirect cost portion, and decrease of direct labor and material costs. Traditional cost accounting methods allocate indirect production costs using keys which are no longer appropriate for the new circumstances, and therefore typically allocate unreasonably high amount of indirect costs to those products which are produced in larger series. ABC cost accounting system firstly allocates indirect costs to pre-defined activities, and afterwards carries them to cost and profit drivers. The application of ABC costing in Serbia is at the very beginning. Having in mind that the privatization and the restructuring phase in the economy is followed by the establishment of a new management with fresh ideas, this can be a good timing for companies to introduce modern approach and modern methods of cost accounting. ABC method is very convenient for application in service companies, food processing industry, confectionery companies, driers, sugar refineries, breweries, dairies, mills etc.
28
Lv, Jie, Ling Ling Xiong, and Wen Min Han. "Discussion on the Application of Activity-Based Costing in Virtual Manufacturing Cell Mode." Applied Mechanics and Materials 551 (May 2014): 290–95. http://dx.doi.org/10.4028/www.scientific.net/amm.551.290.
Full textAbstract:
As a new development of cell manufacturing mode, virtual manufacturing cell (VMC) has complied with the new production organization requirements of current production efficiency and production flexibility improving synchronously, and it presents new characteristics in terms of cost accounting and cost control. Traditional cost methods present some shortcomings in VMC mode. For these situations, this paper discusses the advantages of activity-based costing (ABC) in VMC mode and improves traditional ABC to better meet the cost accounting requirements of VMC. Finally, an example is used to illustrate the basic use of the improved ABC in VMC mode.
29
Papadaki, Šárka, and Boris Popesko. "Cost Analysis of Selected Patient Categories Within A Dermatology Department Using an ABC Approach." Global Journal of Health Science 8, no. 6 (November 17, 2015): 234. http://dx.doi.org/10.5539/gjhs.v8n6p234.
Full textAbstract:
<p><strong>BACKGROUND: </strong>Present trends in hospital management are facilitating the utilization of more accurate costing methods, which potentially results in superior cost-related information and improved managerial decision-making. However, the Activity-Based Costing method (ABC), which was designed for cost allocation purposes in the 1980s, is not widely used by healthcare organizations. This study analyzes costs related to selected categories of patients, those suffering from psoriasis, varicose ulcers, eczema and other conditions, within a dermatology department at a Czech regional hospital.</p><p><strong>METHODS:</strong> The study was conducted in a hospital department where both inpatient and outpatient care are offered. Firstly, the diseases treated at the department were identified. Further costs were determined for each activity using ABC. The study utilized data from managerial and financial accounting, as well as data obtained through interviews with departmental staff. Using a defined cost-allocation procedure makes it possible to determine the cost of an individual patient with a given disease more accurately than via traditional costing procedures.</p><p><strong>RESULTS: </strong>The cost analysis focused on the differences between the costs related to individual patients within the selected diagnoses, variations between inpatient and outpatient treatments and the costs of activities performed by the dermatology department. Furthermore, comparing the costs identified through this approach and the revenue stemming from the health insurance system is an option.</p><p><strong>CONCLUSIONS: </strong>Activity-Based Costing is more accurate and relevant than the traditional costing method. The outputs of ABC provide an abundance of additional information for managers. The benefits of this research lie in its practically-tested outputs, resulting from calculating the costs of hospitalization, which could prove invaluable to persons involved in hospital management and decision-making. The study also defines the managerial implications of the performed cost analysis for the hospital management. Based on the analysis results, it is possible to standardize activities and performance appraisal (Benchmarking), and provide all necessary information for hospital budgeting practices, especially Activity-Based Budgeting (ABB).</p>
30
Pajrok, Andor. "Application of Target Costing method in the Hospitality Industry." Journal of Education Culture and Society 5, no. 2 (January 6, 2020): 154–65. http://dx.doi.org/10.15503/jecs20142.154.165.
Full textAbstract:
Traditional approaches to managing costs are based on the costs that are the result of existing capabilities and resources in the company. Adding to these costs a specified margin or profit, leads to the sales price. If the market is not ready to accept such a selling price, managers need to find opportunities for rationalization and cost reduction. Target cost management begins the process of managing the sales price and the planned profit that the market can accept, and only then is it possible to determine the cost of the product. In the planning phase of the product and the manufacturing process the approach is to finding a method to lower costs and to reduce them as much as possible. The aim this of study is to investigate the application of target (strategy) cost accounting methods in the Hospitality Industry.
31
Setiawan, Angga, and Reswanda Reswanda. "Activity Based Costing Implementation to Determine MSME’s Cost Production." IJIEEB : International Journal of Integrated Education, Engineering and Business 1, no. 2 (September 30, 2018): 113–23. http://dx.doi.org/10.29138/ijieeb.v1i2.765.
Full textAbstract:
MSME’s are proven capable to survive after the crisis that occurred to maintain sustainability. In this global era, one of them is controlling costs, This study aims to determine the Cost Production of MSME’s Wader dan Olahan Sambal Bu Gito Surabaya located at Jl.Sidorukun 2 no.41, Surabaya for one month using the Activity Based Costing method to be more accurate in tracking Factory Overhead Costs based on activities related to production, this study used qualitative methods with a case study approach. The results of the study show that for Wader Original shows conditions under cost (6,05%), and for Wader Rempah Pedas, the same conditions are under cost (13,85%) compared to using traditional system. thus the use of ABC as a method of determining the cost production is more accurate, and can be applied by the company as a consideration making policies for the progress of companies and cost control procedures
32
Bokor, Zoltán. "IMPROVING TRANSPORT COSTING BY USING OPERATION MODELING / TRANSPORTO SĄNAUDŲ APSKAIČIAVIMO TOBULINIMAS, TAIKANT OPERATYVŲ VEIKLOS MODELIAVIMĄ / СОВЕРШЕНСТВОВАНИЕ РАСЧЕТА ИЗДЕРЖЕК ТРАНСПОРТА С ИСПОЛЬЗОВАНИЕМ ОПЕРАТИВНОГО МОДЕЛИРОВАНИЯ ЭКСПЛУАТАЦИОННОЙ ДЕЯТЕЛЬНОСТИ." TRANSPORT 26, no. 2 (July 7, 2011): 128–32. http://dx.doi.org/10.3846/16484142.2011.586111.
Full textAbstract:
Transport costing methods applied in practice rely mainly on traditional, accounting approaches. These methods are not able to provide reliable cost of information for decision makers on elementary services as they use arbitrary allocation principles. The operation based on costing is one of the methodological developments whose adaptation can contribute to improve the accuracy of transport cost management. To support costing improvements in transport, this present paper aims to identify the shortcomings of currently used techniques and give a guideline on how to overcome them. The theoretical basics of a new transport costing model are developed while some experiences of early pilot applications are also considered. Santrauka Kaip žinoma, klasikiniai transporto sąnaudų apskaičiavimo metodai grindžiami tradiciniais buhalterinės apskaitos metodais. Šie metodai negali užtikrinti sprendimus priimantiems asmenims – vadybininkams patikimos sąnaudų informacijos, nes tenka naudotis sutartinio paskirstymo principais. Sąnaudų apskaičiavimu grindžiama kiekviena finansinė operacija ir jų visuma, tinkamai adaptuojant konkrečioje įmonėje, padėtų pagerinti transporto sąnaudų valdymo tikslumą. Straipsnyje tiriami ir nustatomi naudojamų transporto sąnaudų apskaičiavimo metodų trūkumai, siekiant patobulinti metodus ir pateikti sąnaudų mažinimo gaires. Įvertinant anksčiau atliktus eksperimentinius tyrimus, pateiktas naujos transporto sąnaudų apskaičiavimo metodikos teorinis pagrindas. Резюме Как известно, классические методы расчета издержек транспорта основаны на использовании традиционного бухгалтерского подхода. Такой подход не обеспечивает надежности информации о стоимости для лиц, например, менеджеров, принимающих решение хотя бы и об элементарных услугах, так как в таком случае используются произвольные принципы распределения. Каждая отдельная финансовая операция, основанная на учете расчета издержек, и совокупность всех операций являются методологическим событием, при правильной адаптации которого можно улучшить точность управления транспортными издержками. В представленном исследовании идентифицированы недостатки используемых методов расчета издержек транспорта с целью их совершенствования и приведены указания по снижению издержек. Представлены теоретические основы новой методики по расчету издержек транспорта с использованием ранее проведенных экспериментальных исследований.
33
Geri, Nitza, and Boaz Ronen. "Relevance lost: the rise and fall of activity-based costing." Human Systems Management 24, no. 2 (April 16, 2005): 133–44. http://dx.doi.org/10.3233/hsm-2005-24202.
Full textAbstract:
In the debate between marginal decision-making and full absorbance that has been going on since the nineteenth century, activity-based costing/management (ABC/M) appeared as a promising decision support tool which answers the criticism leveled against traditional cost accounting. This paper describes the strengths and weaknesses of ABC/M from a global value creation perspective, in an effort to explain why it failed to live up to its promise and why not too many companies retained it beyond a short pilot period. The paper suggests the global decision-making methodology (GDM), as an effective alternative to costing methods, which improves the quality of decisions and enhances organization value. The paper illustrates its implementation by presenting a case study of a large international financial services organization that abandoned the ABC/M system it had been using for seven years in favor of GDM. The ABC/M system was transformed to a throughput focused “light ABC” system that supports GDM. The article describes the circumstances that led the organization to adopt GDM, and provides general guidelines for its implementation.
34
Kiris, Safak, and Sena Aydogan. "Lean accounting and applications in an automotive supplier industry." Financial Forum 8, no. 1 (November 24, 2019): 1. http://dx.doi.org/10.18282/ff.v8i1.527.
Full textAbstract:
<p>Lean accounting is an approach that supports Lean Manufacturing in a financial concept. It has a different perspective than traditional costing approach and the main key point in lean manufacturing is removing or reducing the wastes in the system. In this study, the aspect of lean accounting was analyzed in a wiring harness production firm which is in an automotive supplier industry. Lean manufacturing methods were applied in the firm and line balancing applications with their results were evaluated in the study based on the lean accounting system.</p>
35
Hudáková Stašová, Lenka. "Statistical analysis of suitability of the activity based costing method in agricultural enterprises." Agricultural and Resource Economics: International Scientific E-Journal 6, no. 4 (December 20, 2020): 20–42. http://dx.doi.org/10.51599/are.2020.06.04.02.
Full textAbstract:
Purpose. The paper focuses on comparing two cost calculation method describing the principle, utilisation, advantages and disadvantages of the traditional mark-up on cost pricing (overhead method) against Activity Based Costing (ABC), a new, unconventional method of cost calculation. The aim is to prove that the ABC method allocates costs differently to individual products, in a different proportion thereto, unlike the mark-up method. The ABC method is considered by us more accurate because it views differently how costs originate.
Methodology / approach. Statistical data testing was carried out, using the Kolmogorov-Smirnov and Shapiro-Wilk W tests, followed by a paired t-test, and completed with the Wilcoxon signed-ranks test. The data was evaluated for eight selected products, whose overhead value was calculated from both marking-up and ABC, out of a selected set of primary agricultural enterprises in Slovakia. Finally, the results were assessed with an unproven statistically significant difference between the calculation methods found.
Results. This paper emphasises a different view of costing with the ABC method which, unlike conventional methods, offers multidimensionality and variation of cost tracking based on real and relevant data. A statistically significant difference between the methods was demonstrated for three pairs of variables (out of a total eight pairs). Statistically significant differences were found for cattle, wheat and sugar beets. Although statistical testing has not shown any significant difference between the methods, ABC is still considered a more accurate costing method for allocating overhead. The argument here follows from the very principle and method of ABC allocation of overheads. Unlike traditional methods, ABC offers multidimensional and diverse cost tracking based on real and relevant data. The direct allocation of costs (using an equal budget base) to products and services does not necessarily capture actual cost flows. Because overheads are higher on farms, misleading data can be provided. Practical experience in agriculture seems to imply that the ABC method is the most cost-effective tool for cost control and encourages its further use in budgeting, planning, modelling and decision-making.
Originality / scientific novelty. The paper focuses on cost calculations made in agricultural holdings, often a neglected topic in agricultural management. In particular, high overhead costs in agriculture deserve more attention. Their exact allocation to products is important. The paper also focuses on assessing the suitability of calculation methods in agricultural holdings and on pointing out the need for accurate cost allocation.
Practical value / implications. The main results and ideas here can be beneficial for managing agricultural holdings. Where the proportion of overheads is higher, management may be provided with misleading data. Practical experience shows the ABC method to be currently the most cost-effective tool for controlling costs and provides opportunities for its use in budgeting, planning, modelling and decision-making on product range structure, alongside other options.
36
Schutzer, Matthew E., Douglas W. Arthur, and Mitchell S. Anscher. "Time-Driven Activity-Based Costing: A Comparative Cost Analysis of Whole-Breast Radiotherapy Versus Balloon-Based Brachytherapy in the Management of Early-Stage Breast Cancer." Journal of Oncology Practice 12, no. 5 (May 2016): e584-e593. http://dx.doi.org/10.1200/jop.2015.008441.
Full textAbstract:
Purpose: Value in health care is defined as outcomes achieved per dollar spent, and understanding cost is critical to delivering high-value care. Traditional costing methods reflect charges rather than fundamental costs to provide a service. The more rigorous method of time-driven activity-based costing was used to compare cost between whole-breast radiotherapy (WBRT) and accelerated partial-breast irradiation (APBI) using balloon-based brachytherapy. Materials and Methods: For WBRT (25 fractions with five-fraction boost) and APBI (10 fractions twice daily), process maps were created outlining each activity from consultation to post-treatment follow up. Through staff interviews, time estimates were obtained for each activity. The capacity cost rates (CCR), defined as cost per minute, were calculated for personnel, equipment, and physical space. Total cost was calculated by multiplying the time required of each resource by its CCR. This was then summed and combined with cost of consumable materials. Results: The total cost for WBRT was $5,333 and comprised 56% personnel costs and 44% space/equipment costs. For APBI, the total cost was $6,941 (30% higher than WBRT) and comprised 51% personnel costs, 6% space/equipment costs, and 43% consumable materials costs. The attending physician had the highest CCR of all personnel ($4.28/min), and APBI required 24% more attending time than WBRT. The most expensive activity for APBI was balloon placement and for WBRT was computed tomography simulation. Conclusion: APBI cost more than WBRT when using the dose/fractionation schemes analyzed. Future research should use time-driven activity-based costing to better understand cost with the aim of reducing expenditure and defining bundled payments.
37
Мизиковский, И. Е. "Improving the process of allocating indirect costs to the cost of production (works, services) of industrial enterprises." Voprosy regionalnoj ekonomiki, no. 2(47) (June 18, 2021): 179–84. http://dx.doi.org/10.21499/2078-4023-2021-47-2-179-184.
Full textAbstract:
Статья посвящена вопросам совершенствования распределения косвенных затрат на производство на себестоимость продукции (работ, услуг) промышленных предприятий, повышения точности показателей, инкорпорируемых в информационное пространство принятия управленческих решений. Разделение косвенных затрат на основные затраты (расходы на содержание и эксплуатацию оборудования) и накладные (административно-управленческие расходы), выбор соответствующих им драйверов, позволяют в значительной степени повысить точность калькуляционных результатов и эффективность экономических расчетов в целом. Целью исследования явилась разработка методики, позволяющей оптимизировать процесс калькулирования себестоимости продукции промышленного предприятия, обеспечить формирование результативной информационной базы выработки управленческих воздействий со стороны лиц, принимающих управленческие решения. Исследование проводилось с применением функционально-процессного и системного подходов к изучению традиционных бухгалтерских (управленческих) практик распределения косвенных затрат. Исследованы традиционный и предлагаемый способы распределения косвенных расходов, проведено сопоставление их результатов, сделаны выводы о перспективах внедрения элементов метода «Activity-based costing (ABC)» на исследуемых предприятиях. The article is devoted to the issues of improving the distribution of indirect production costs to the cost of production (labor, services) of industrial enterprises, improving the accuracy of indicators incorporated in the information space of management decision-making. The division of indirect costs into basic costs (maintenance and operation of equipment) and overhead costs (administrative and management costs), the choice of appropriate drivers, can significantly improve the accuracy of calculation results and the efficiency of economic calculations in general. The purpose of the study was to develop a methodology that allows optimizing the process of calculating the cost of production of an industrial enterprise, to ensure the formation of an effective information base for the development of management actions on the part of management decision makers. The study was carried out using functional-process and system approaches to the study of traditional accounting (management) practices for the distribution of indirect expenses. The traditional and proposed methods of distributing indirect costs are studied, their results are compared, and conclusions are drawn about the prospects for implementing elements of the «Activity-based costing (ABC)» method at the enterprises under study. Cost of production, industrial enterprises, calculation, activity-based costing, indirect costs, value stream, information base of management decision-making
38
Blaschke, Breanna L., Harsh R. Parikh, Sandy X. Vang, and Brian P. Cunningham. "Time-Driven Activity-Based Costing: A Better Way to Understand the Cost of Caring for Hip Fractures." Geriatric Orthopaedic Surgery & Rehabilitation 11 (January 1, 2020): 215145932095820. http://dx.doi.org/10.1177/2151459320958202.
Full textAbstract:
Geriatric hip fractures are a common and costly injury. They are expected to surge in incidence and economic burden as the population ages. With an increasing financial strain on the healthcare system, payors and providers are looking toward alternative, value-based models to contain costs. Value in healthcare is the ratio of outcomes achieved over costs incurred, and can be improved by reducing cost while maintaining or improving outcomes, or by improving outcomes while maintaining or reducing costs. Therefore, an understanding of cost, the denominator of the value equation, is essential to value-based healthcare. Because traditional hospital accounting methods do not link costs to conditions, there has been little research to date on the costs of treating geriatric hip fractures over the entire cycle of care. The aim of this article is to summarize existing costing methodologies, and in particular, to review the strengths and limitations of Time-Driven Activity-Based Costing (TDABC) in orthopaedic trauma, especially as it pertains to the needs and challenges unique to hip fracture care. TDABC determines costs at the patient-level over the entire care cycle, allowing for population variability, while simultaneously identifying cost drivers that might inform risk-stratification for future alternative payment models. Through process mapping, TDABC also reveals areas of variation or inefficiency that can be targeted for optimization, and empowers physicians by focusing on costs in the control of the provider. Although barriers remain, TDABC is well-positioned to provide transparent costing and targets to improve the value of hip fracture care
39
Zamrud, Nurul Farahin, Sri Nur Areena Mohd Zaini, and Mohd Yazid Abu. "A case study on the application of activity based costing on the magnetic inductor." International Journal of Industrial Management 10 (March 5, 2021): 195–205. http://dx.doi.org/10.15282/ijim.10.1.2021.5983.
Full textAbstract:
Speedy improvements in cost accounting since the 1960s have been noticed, particularly after the 1980s, in the percentage of total cost, overhead costs have increased. The problem of overhead allocation was faced by several companies and a disparity between the available methods of overhead allocation was developed. Because of skewed facts about the viability of their orders, goods and clients, traditional cost accounting (TCA) not anymore represents the actual economic reality. Consequently, in the moment of increasingly growing material liquidity and ambiguity, a new costing approach is needed to address the weakness of TCA. The goal of the study is to establish a new costing structure using activity based costing (ABC) method to the magnetic inductor for better precision. The case study is located at electronic industry in Pahang, Malaysia. ABC reports on the costs of manufacturing, selling or funding the goods used in the operations. The job was done correctly by the operator to accomplish the entire mission. The maximum time used by operators is at epoxy application activity which is 44.04% and the smallest is 0.64% at oven curing and boundary inspection activity. The highest amount of cost of capacity is epoxy application activity with MYR 1,665,600.00 and the quantity of material utilized is selected as the cost driver. Since the product required volume is up to 10%, production costs are expected to increase by MYR 4,160,614.85 while the unit product cost is forecast at MYR 0.79. Therefore, ABC is an cost management insightful process and cost control efficient approach.
40
Tutcu, Burçin. "An Analysis of the Time-Driven Activity-Based Costing System in Foundation Higher Education Organizations." Yuksekogretim Dergisi 11, no. 2Pt2 (August 31, 2021): 537–49. http://dx.doi.org/10.2399/yod.21.672064.
Full textAbstract:
Changes in globalization and technology have made the competition in the education sector more in-tense. This change in competition has reduced the profit margins of educational organizations. In order to maintain their market share and maintain their assets under these conditions, organizations have had to put greater stress on cost management. Today, cost management has moved beyond simply being a sub-system of accounting and has become one of the main tasks of business management. Higher education organizations need to use scarce resources effectively and efficiently to achieve their goals, develop long-term strategies, and maintain their existence. The extent to which resources are used by whom and for what time should be determined correctly. The outputs obtained during this process should be checked and interpreted correctly. This study was designed as a case study and conducted in a vocational school of a foundation university in Istanbul. The aim of this study is to examine the service production process in foundation vocational school with different costing methods and to compare the results. For this purpose, the costs of the vocational school for the 2016-2017 accounting period were calculated by using both the traditional costing method and the time-driven activity-based cost-ing method. These two methods were then compared to find out their degree of accuracy in calculating the program costs.
41
Thekkekara, John Varghese, and Sundararaman Thiagarajan. "Understanding How Markets and State Action Shape Costs and Prices of Healthcare in Post-globalization India: A Study of High-end Imaging Services in Kerala." Journal of Health Management 21, no. 3 (September 2019): 394–405. http://dx.doi.org/10.1177/0972063419868565.
Full textAbstract:
Globalization has pressurized the developing nations to open their health sector for profit-driven private investors—both domestic and foreign. In a private sector dominant unregulated healthcare market like India, the service providers are free to determine the fee for services. In the present policy context of the role of central government shifting to strategic purchasing of services from the private sector (National Health Policy, 2017) and discussions on regulation of prices in private healthcare markets, an understanding of the cost of services and its relationship to prices is essential. Very few attempts have been made to estimate the cost of advanced diagnostic services; those done have most often used the traditional costing methods. Bottom-up micro-costing method which is considered as the gold standard in hospital costing is used in this study to estimate the cost of three services: CT scan, MRI scan and Cath-Lab in three districts of Kerala. A comparison with the per capita income of the population is also attempted to analyse the contextual differences in costs and prices. Using the bottom-up micro-costing method, the lowest estimated cost of service for a brain CT scan in Kerala is ₹667, for MRI scan of the brain is ₹1,177, for angiogram is ₹4,344 and for Angioplasty is ₹11,291. The costs of services are higher in locations of lower per capita income. However, the price for services is higher in locations of higher per capita income. The market prices appear to be driven by commercial interests that decide on what prices the market can bear, rather than on competition or costs of producing the services. The presence of public facilities offering the selected services at a certain fixed rate influences market prices by influencing private players to limit their prices at a level very close to the public co-players—but prices in public sector are itself significant—and could be exclusionary.
42
Zhao, J. Q., J. Yang, P. X. Li, M. Y. Liu, and Y. M. Shi. "AN UNSUPERVISED CHANGE DETECTION BASED ON TEST STATISTIC AND KI FROM MULTI-TEMPORAL AND FULL POLARIMETRIC SAR IMAGES." ISPRS - International Archives of the Photogrammetry, Remote Sensing and Spatial Information Sciences XLI-B7 (June 21, 2016): 611–15. http://dx.doi.org/10.5194/isprsarchives-xli-b7-611-2016.
Full textAbstract:
Accurate and timely change detection of Earth’s surface features is extremely important for understanding relationships and interactions between people and natural phenomena. Many traditional methods of change detection only use a part of polarization information and the supervised threshold selection. Those methods are insufficiency and time-costing. In this paper, we present a novel unsupervised change-detection method based on quad-polarimetric SAR data and automatic threshold selection to solve the problem of change detection. First, speckle noise is removed for the two registered SAR images. Second, the similarity measure is calculated by the test statistic, and automatic threshold selection of KI is introduced to obtain the change map. The efficiency of the proposed method is demonstrated by the quad-pol SAR images acquired by Radarsat-2 over Wuhan of China.
43
Zhao, J. Q., J. Yang, P. X. Li, M. Y. Liu, and Y. M. Shi. "AN UNSUPERVISED CHANGE DETECTION BASED ON TEST STATISTIC AND KI FROM MULTI-TEMPORAL AND FULL POLARIMETRIC SAR IMAGES." ISPRS - International Archives of the Photogrammetry, Remote Sensing and Spatial Information Sciences XLI-B7 (June 21, 2016): 611–15. http://dx.doi.org/10.5194/isprs-archives-xli-b7-611-2016.
Full textAbstract:
Accurate and timely change detection of Earth’s surface features is extremely important for understanding relationships and interactions between people and natural phenomena. Many traditional methods of change detection only use a part of polarization information and the supervised threshold selection. Those methods are insufficiency and time-costing. In this paper, we present a novel unsupervised change-detection method based on quad-polarimetric SAR data and automatic threshold selection to solve the problem of change detection. First, speckle noise is removed for the two registered SAR images. Second, the similarity measure is calculated by the test statistic, and automatic threshold selection of KI is introduced to obtain the change map. The efficiency of the proposed method is demonstrated by the quad-pol SAR images acquired by Radarsat-2 over Wuhan of China.
44
Chu, Isabel E.-Hui, Weranja Ranasinghe, Madeleine Nina Jones, and Philip McCahy. "Prone versus modified supine percutaneous nephrolithotomy: which is more cost effective in an Australian tertiary teaching hospital?" Journal of Clinical Urology 12, no. 5 (December 20, 2018): 391–95. http://dx.doi.org/10.1177/2051415818817131.
Full textAbstract:
Introduction: Percutaneous nephrolithotomy is currently one of the main treatment options for large renal stones, but the effect of positioning on comparative costing has been scarcely documented. We aimed to compare the cost effectiveness of modified supine with traditional prone percutaneous nephrolithotomy procedures in the context of Victoria, Australia. Materials and methods: A prospective group of 236 renal units (224 patients) was included in the two-site study, with 76 performed in the prone position and 160 performed in the modified supine position. Costing was calculated using a ‘bottom-up’, all-inclusive framework that generates per-hour costs for theatre, recovery unit and ward costs from base costs and maintenance costs. Percutaneous nephrolithotomy-specific equipment was added to calculate comparative costs of modified supine versus prone procedures. Chi squared and T tests were used for statistical analysis. Results: There was a significant difference in the overall costing between the modified supine and prone groups. The modified supine group had a lower total cost (AUD$6424.29) compared to the prone group (AUD$7494.79) ( P=0.007), lower operative costs (AUD$4250.93 vs. AUD$5084.29, P=0.002) and lower ward costs (AUD$533.55 vs. AUD$1130.20, P<0.001). There was no significant difference in recovery times in the modified supine and prone groups, although the modified supine group appeared to have shorter recovery times (AUD$690.69 vs. AUD$586.05, P=0.209). Conclusions: Modified supine percutaneous nephrolithotomy has significantly lower total costs, operative costs and ward costs compared to prone percutaneous nephrolithotomy. Larger randomised trials are needed to assess these findings further. Level of evidence: Not applicable for this multicentre audit.
45
Yue, Binglin, Maria L. Lankford, and Pamela Landsman-Blumberg. "Estimating health care costs for advanced metastatic bladder cancer patients who are lost to follow-up: Applications of the Kaplan-Meier sampling average (KMSA)." Journal of Clinical Oncology 35, no. 8_suppl (March 10, 2017): 21. http://dx.doi.org/10.1200/jco.2017.35.8_suppl.21.
Full textAbstract:
21 Background: There is an increasing need to evaluate the quality and cost of care within oncology. Estimating health care costs for patients who are lost to follow-up or censored often results in underestimating costs, biasing comparative assessments. This study compared traditional costing approaches with that of KMSA methods for patients treated for metastatic bladder cancer. Methods: Advanced metastatic bladder cancer patients receiving second line chemotherapy were identified from the Truven Health MarketScan Claims Databases (04/2011 to 09/2014). All-cause health care costs represent the total dollars paid to all providers of care regardless of diagnosis and were inflated to 2014 USD. Total, medical, pharmacy, and site-of-care costs from treatment initiation to death, end-of-enrollment, or end-of-study period were compared using the KMSA and traditional methods. In KMSA, the follow-up period is divided into small uniform intervals; total cost in each interval is then multiplied by the individual patient’s survival probability at the beginning of each interval and then summed across the intervals. Results: The censoring rate of patients’ follow-up was 49%. The mean per patient total health care captured by traditional method was only 72% of the total cost estimated by KMSA method or $32,930 less per patient. Overall, underestimates ranged from 28% to 41% with pharmacy, ER, and lab service costs underestimated the largest when using the traditional method. Conclusions: The KMSA produced estimates more reflective of actual patient-level health care costs in this claims-based observational cancer study compared to traditional methods by accounting for the effect of censoring. Researchers should consider KMSA when evaluating and comparing costs of care in the presence of variable follow-up.[Table: see text]
46
Kurniawan, Widiar Onny. "Penerapan Metode Abc (Activity Based Costing) Dalam Menentukan Harga Jual Kamar Hotel “X” ( Studi Pada Salah Satu Hotel Berbintang Di Surabaya )." Journal of Economics Development Issues 2, no. 02 (September 17, 2019): 32–42. http://dx.doi.org/10.33005/jedi.v2i02.35.
Full textAbstract:
Increasing competition in the hospitality industry, making hotels should increase the advantage in competing. An important part of improving the competitive advantage of hotels is to set, measure and allocate accurately the costs to be efficient. Cost efficient will help managers to make decisions so as to increase the occupancy rate of hotels that ultimately impact on profit.
Researchers conducted research on the Hotel "X" located in the city of Surabaya where this hotel is one of the oldest four-star hotel in the city of Surabaya. Determination of the cost as the cost of room rental at Hotel "X" is still using the traditional method of the cost of renting each room on the same "X" Hotel. The purpose of this study is to know the application of Activity Based Costing (ABC) method in the calculation of service fee and the determination of the hotel room rental price "X". The technique of data analysis performed is to analyze the traditional method that is being used by Hotel "X" and compare with ABC method.
The results of this study is the calculation of the cost of room rental using ABC method is more accurate when compared with traditional methods. Hotel "X" should consider undercost in the cost of room rental so that the hotel does not suffer long-term losses resulting in earnings.
47
Meldona, Meldona, and Zelvi Rhizqa Prayudasari. "PERHITUNGAN HARGA POKOK PRODUKSI DENGAN METODE ACTIVITYBASED COSTING (ABC) UNTUK PENINGKATAN KEUNGGULAN KOMPETITIF PADA PT INKA (PERSERO) MADIUN." IQTISHODUNA 9, no. 2 (October 1, 2013): 164–75. http://dx.doi.org/10.18860/iq.v9i2.3566.
Full textAbstract:
The purposes of this research are to analyze the comparison of cost of goods manufacture by usingtraditional and ABC methods, and to analyze the advantage of their application in calculating the cost ofgoods manufacture to increase the competitive advantage at PT INKA (Persero) Madiun. This research is aqualitative research with descriptive method. The analysis result shows that PT INKA (Persero) Madiuncalculates direct hours of the employees as the basis of determining the overhead cost of each product. Byusing traditional method, the cost of goods manufactures of Economy Class Train (K3) AC is IDR 2,522,926,538,Economy Class Train (K3) Green Car is IDR 363,126,214, and Economy Class Train (KMP3) AC is IDR3,145,136,617. Meanwhile, the calculation using ABC method shows that cost of goods manufacture of EconomyClass Train (K3) AC, Economy Class Train (K3) Green Car and Economy Class Train (KMP3) AC are IDR2,727,987,080, IDR 360,001,314, and IDR 3,383,215,414. So, for the comparison, traditional method determinelower cost of goods manufacture from ABC method (undercosted) for two products, that are Economy ClassTrain (K3) AC and Economy Class Train (KMP3) AC. While in Economy Class Train (K3) Green Car, traditionalmethod determines higher cost of goods manufacture compare to the calculation of ABC method (overcosted).This results recomend to the important of implementing ABC method in calculating cost of goods manufacturewhich give more accurately calculation to develop competitive advantage, that help the management inmaking decision of determining the price, determining the strategy of cost leadership, and implementing theActivity Based Management (ABM).
48
Jack, Lisa, and James V. H. Jones. "Facing up to new realities: The case for using relevant cost and target cost approaches in agriculture." Journal of Applied Accounting Research 8, no. 3 (December 31, 2007): 116–45. http://dx.doi.org/10.1108/96754260880001056.
Full textAbstract:
The use of management accounting in the agricultural industry has received very little attention by accounting researchers. Agriculture is currently in an era of significant change and adjustment, where change in accounting practice needs to occur in response to external pressures. The traditional use of the gross margin system of accounting has tended to underline a notion that has had a powerful influence on farm business planning that most costs are fixed and that the best way of reducing them to achieve profit maximisation is to spread them by increasing the scale of operation. This logic has been supported by an economic environment heavily influenced by agricultural policy measures that focused on artificial support for market prices and/or direct payments linked to production activities. We argue that the decoupling of support from production has combined with a number of other changes related to payments and cost structures (including those linked to the recent dramatic rise in the price of oil) to provide a very different economic context for farm business planning. The response we advocate to this changed situation is to make greater use of two alternative methods of cost analysis; namely relevant costing and target costing. These have been developed and applied outside agriculture. They have not so far been used in a formal sense within agriculture but have links to existing methodologies used in farm business planning, such as partial budgeting, and in intuitive approaches already adopted by farmers as revealed in recent fieldwork.
49
Carter, M., and S. P. Bentley. "The geometry of slip surfaces beneath landslides: predictions from surface measurements." Canadian Geotechnical Journal 22, no. 2 (May 1, 1985): 234–38. http://dx.doi.org/10.1139/t85-031.
Full textAbstract:
A knowledge of the slip surface profile beneath a landslip is essential for stability analysis and for the design of remedial works. This note sets out to demonstrate the accuracy of a technique that utilizes the measurement of surface displacements to predict the position and shape of the slip surface. The proposed technique is tested in model studies of all major classes of landslip and is used on three large landslips for which corroboratory evidence of the position of the slip surface, located by traditional site investigation methods, is available. The results indicate that, from a knowledge of ground surface displacements alone, the depth of the slip surface can be confidently predicted to within 2% of the distance between ground stations. The usefulness of this technique for planning and costing-feasibility studies, site investigation programmes, and prospective remedial measures is also discussed.
50
Zhumatayeva, G., M. Nurgalieva, Zh Bayburayeva, B. Musabyaev, Zh Zhanbirov, and I. Taran. "FEATURES OF DETERMINING THE COST OF TRANSPORT SERVICES." REPORTS 2, no. 330 (April 15, 2020): 73–80. http://dx.doi.org/10.32014/2020.2518-1483.34.
Full textAbstract:
The strong competition in the logistics market enforces the service provider companies to enhance the capabilities of their management accounting systems. It is of high importance to know the real costs of transport services as well as the cost efficiency of activities contributing to the production of services. This information is needed for assessing the profitability and operation efficiency and for determining the price of services. Traditional costing methods, however, are not always able to provide the information necessary for decision support in the required quality. They may even distort service cost calculations as detailed cost driver analyses are not applied within conventional costing regimes. Thus it is worth introducing alternative cost calculation methods which improve the accuracy and reliability of service cost data [1]. To properly manage costs in transport logistics, it is necessary to optimize all stages of the transport and logistics process-from choosing the type of transport and building the supply chain to planning routes and monitoring the execution of tasks. The article deals with determining the optimal cost of auto cargo transportation, taking into account internal and external factors of influence. The results of the research in the article show that a transport company should have different payment options for paying for a completed flight with specific brands of cars, i.e. the cost of one m3, t, km, depending on the type of orders and the distance of transportation. The materials consider the methodology of determining the contractual price of transport services in the Republic of Kazakhstan. In the market conditions, the main objective is the correctness and accuracy of the assessment of the actual costs of the implementation of the transport service and, as a result, the correct pricing of this service.