Activity Based Costing can help to drive down costs by focusing management attention on the activities that cause the costs to occur in the first place. Traditional costing methods can be misleading and sometimes downright dangerous in larger and more complex organisations with multiple products/locations/departments. Activity Based Costing will get you closer to the truth about product profitability and overhead allocation than any other costing method.
This program will enable participants to use Activity Based Costing techniques to clearly identify activities that cause costs to occur, identify activities that are operating at less peak performance and to plan for performance improvements.
OUTCOMES
- Identify the weaknesses in traditional costing systems
- Understand the essential aspects and process of Activity Based Costing
- Assess the financial, service and operational aspects for implementing ABC
- Understand how to fine tune your ABC costing information
- Use ABC to become more responsive to your customer's real needs
- Reduce costs of non value adding company activities
- Significantly improve the accuracy of your company's management information systems
