scholarly journals The Effect of Activity-Based Costing (ABC) on Managing the Efficiency of Performance in Jordanian Manufacturing Corporations – An Analytical Study

2018 ◽  
Vol 7 (1) ◽  
pp. 262 ◽  
Author(s):  
Nabil Bashir Al-Halabi ◽  
Omar Fareed Shaqqour
Keyword(s):  
Value Chain ◽  
Cost Reduction ◽  
Analytical Study ◽  
Value Added ◽  
Activity Based Costing ◽  
Pricing Decisions ◽  
Efficiency Cost ◽  
Decision Making Processes ◽  
Questionnaire Form ◽  
Unused Capacity

The study explored the effect of  activity-based costing (ABC) on the efficiency of performance in Jordanian manufacturing corporations. A questionnaire form was designed and distributed to a sample of 72 managers in 20 manufacturing corporations, and data were collected and analyzed using EXCEL and SPSS packages. The results found  that the application of  ABC has a significant effect on managing resources, performance efficiency, cost reduction, and costs of unused capacity in Jordanian manufacturing corporations. The conclusion showed that ABC were able to differentiate between high and low volume products among different activities of manufacturing corporation in Jordan. The research also concluded that the main difficulties were in differentiating between value added and non value added activities, unclear strategies, and incomplete information for decision making processes, thus, whatever activity-slack existed more levels of cooperation also existed between members of the value chain (VC). The study recommended more application of the ABC in different corporations as proved its effect on pricing decisions, cost reduction and a competitive ability of corporations in different markets. 

scholarly journals Reduction of Crude Oil Production Cost in Nigerian Indigenous Company using Activity Based Costing

2019 ◽  
Vol 4 (1) ◽  
pp. 49-53 ◽  
Author(s):  
Segun Adebisi Osetoba ◽  
Nkoi Barinyima ◽  
Rex Amadi
Keyword(s):  
Crude Oil ◽  
Cost Reduction ◽  
Production Cost ◽  
Value Added ◽  
Oil Production ◽  
Activity Based Costing ◽  
Service Company ◽  
Crude Oil Production ◽  
The Cost ◽  
The Impact

The aim of this study is to investigate the impact of activity based costing in reducing crude oil production cost in Nigerian indigenous oil and gas company. This research work identified strategies to effectively reduce the cost of crude oil production by adopting a cost reduction tool for crude oil production and to establish a good crude oil flow to the surface for production. Activity based costing was the cost reduction tool used for this work. The tool helps to differentiate between value added costing and non-value added costing. Non-value added costs must be reduced or eliminated during production so as to maximise profit. Data was collected from an indigenous oil service company. The collated data were tabulated and graphs were plotted with the aid of Microsoft excel. The analysis revealed a total sum of ₦ 416,978,977 was wrongly spent for a duration of three years on crude oil production due to non-value added costing. The activities are: poor transportation of crude oil, that is, use of mobile tanker for haulage instead of laying 4 inches coated pipes for a distance of 5km and contracting the treatment of produced water to a contractor instead of setting up a water treatment plant. Also, using a diesel engine generator for electric power supply while gas was available as a fuel gas for natural gas consuming generator was a non-value added activity. Lastly, inadequate oil well flowing practice by flowing the well through an adjustable choke for a long period of time instead of using a fixed choke. This is a huge loss for indigenous oil producing fields operated by an indigenous oil service company in Nigeria. The loss was due to inability of the producers/field location owners to set up few equipment to meet up with complete operation standard.

scholarly journals Value Creation dengan Penerapan Prinsip-Prinsip Lean Manufacturing dalam Accounting

Owner ◽  
2019 ◽  
Vol 3 (1) ◽  
pp. 56
Author(s):  
Rina Nopianti ◽  
Andreas Tri Panudju ◽  
Umi Marfuah
Keyword(s):  
Value Chain ◽  
Lean Manufacturing ◽  
Single Case ◽  
Value Added ◽  
Annual Reports ◽  
Inductive Method ◽  
Accounting System ◽  
Activity Based Costing ◽  
Case Control Studies ◽  
Value Chain Management

In many cases, some conventional accounting practices are no longer compatible with the complex manufacturing environment. The proposed this research is to inspire a systems thinking theory and a value chain management, building a business model that prioritizes customers. The objective of this paper is to find out how accounting techniques can optimize of resource utilization wihich would lead in creating value. The second objective is to minimize the lack of conventional accounting using the accounting method that appears. The method in this shis paper is a qualitative research by considering the inductive method designed as a single case study. Empirical data is used based on classic single case control studies that embedded designs including survey data, academic papers theoretical reviews, data collection from interviews, annual reports and documents collected from case companies. The research found that the management accounting system could be integrated in the framework of Just in Time (JIT) + Total Cost (TC) + Time Driven- Activity Based Costing (TD-ABC) + Balance Scorecard (BSC) to develop lean accounting. The utilization of resource is optimized after non-value added activities are eliminated.

scholarly journals A game theory application of a cruise value chain – the case of China

2018 ◽  
Vol 3 (2) ◽  
pp. 145-164 ◽  
Author(s):  
Grace W.Y. Wang ◽  
Qingcheng Zeng ◽  
Chenrui Qu ◽  
Joan Mileski
Keyword(s):  
Game Theory ◽  
Value Chain ◽  
Value Added ◽  
Pricing Strategy ◽  
Pricing Strategies ◽  
Content Type ◽  
Market Participants ◽  
Market Shares ◽  
Theory Application ◽  
Decision Making Processes

Purpose Regardless of the facts showing a booming Chinese cruise market, cruise operations in China are very different from the current practices of the two major cruise markets – the US and the Mediterranean Sea. This study aims to quantify pricing strategies and possible incentive mechanisms of cruise operations in China. Design/methodology/approach Using optimization in economic-based game theory, the complexity of the pricing strategies and interaction and/or possible coordination within the cruise value-added chain can be captured. Findings The results show that a coordinative pricing strategy with Shapley profit redistribution within the value-added chain offers benefits to both cruise passengers and service suppliers. With two subsidy scenarios, one to the passenger and the other to the travel agent, a cooperative pricing strategy outperforms other strategies and successfully increases market shares and total revenue. Originality/value The advantages of coordination between participants in cruise value chain are quantified. Effective strategies for attracting players participating in cruise value chain are designed. This paper will provide market participants with strategies to enhance their decision-making processes.

scholarly journals The application of activity-based costing in the cost calculation of thermal-power enterprise

2020 ◽  
pp. 254-254
Author(s):  
Rong Zhang ◽  
Jian-Li Li
Keyword(s):  
Value Chain ◽  
Cost Management ◽  
Thermal Power ◽  
Value Added ◽  
Cost Calculation ◽  
Activity Based Costing ◽  
Resource Network ◽  
Power Enterprise ◽  
Abc Method ◽  
Operation Center

The advantages of Activity-Based Costing (ABC) include promoting the basic budget of activities and improving the management of activities, process and activity chain (value chain). ABC method, as an important tool of cost management in management accounting, extends the management of cost to the whole value-chain in the enterprise, and it also effectively changes the limitation of the focus of the law of manufacture costing on the study of the process concerning the making of certain products, thus offering adequate help to the enterprise in establishing systematic cost management. This paper, starting from the construction of thermal-power enterprises and through an analysis of the application of ABC method in improving the quality and increasing the efficiency of the thermal enterprise, aims to point out the ways to eliminate the non-value-added activities so as to improve the management of value chain of the construction of the thermal-power enterprises by setting up multi-thermal-resource network operation center, thermal provision center and thermal-power enterprises.

International Geomechanics Symposium a success

2021 ◽  
Vol 40 (2) ◽  
pp. 152-153
Author(s):  
Gang Han ◽  
Abdulaziz Mansour ◽  
Mohammed Badri ◽  
Tariq Mahmood
Keyword(s):  
Rock Mechanics ◽  
Value Chain ◽  
Cost Reduction ◽  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Gas Industry ◽  
Modeling Simulation ◽  
Efficiency Cost ◽  
Improved Performance

As the oil and gas industry is striving for efficiency, cost reduction, and improved performance across the value chain, integrated workflows that combine various disciplines into subsurface drilling, characterization, and production have become increasingly important. Geomechanics is gaining stronger ground as a vital tool in modeling, simulation, and operations. Given its importance, the American Rock Mechanics Association, Dhahran Geoscience Society, and Society of Exploration Geophysicists cohosted the International Geomechanics Symposium. The event was conducted virtually 3–5 November 2020.

scholarly journals Business Model 4.0

2018 ◽  
Author(s):  
Carlo Bagnoli ◽  
Alessia Bravin ◽  
Maurizio Massaro ◽  
Alessandra Vignotto
Keyword(s):  
Value Chain ◽  
Cost Reduction ◽  
Industry 4.0 ◽  
Business Models ◽  
Industrial Revolution ◽  
Digital Transformation ◽  
Process Efficiency ◽  
Strategic Innovation ◽  
Efficiency Cost ◽  
Market Needs

The manufacturing digital transformation is changing the industry through the introduction of advanced solutions that allow companies to re-interpret their role along the value chain. The industrial revolution opens up great opportunities for Italian companies, in terms of process efficiency, cost reduction and improvement in productivity, but also in the rethinking of products, new services, and the ability of reaction to market needs. This report examines the possible impact of Industry 4.0 on business models considering technological innovation also as a driver of strategic innovation.

scholarly journals Evaluating Investments For Services: A Value Chain Analysis Framework

2008 ◽  
Vol 1 (2) ◽  
pp. 47-56
Author(s):  
Narcyz Roztocki ◽  
Heinz Roland Weistroffer
Keyword(s):  
Value Chain ◽  
Business Processes ◽  
Economic Value ◽  
Value Added ◽  
Performance Measure ◽  
Activity Based Costing ◽  
Value Chain Analysis ◽  
Technology Investment ◽  
Chain Analysis ◽  
Costing System

This paper presents a framework based on value chain analysis to evaluate investments for services. The rationale for this approach is that to properly evaluate the benefits of any services investments, the value and cost interactions resulting from different business processes or activities need to be considered. To achieve reliable cost estimations, the framework employs a costing system, which integrates activity-based costing with the economic value added performance measure. The proposed framework is illustrated using a hypothetical case of an information technology investment in a car repair shop.

Implementasi Analisis Proses Bisnis Sebagai Upaya Pengurangan Biaya

2019 ◽  
Vol 10 (1) ◽  
pp. 1-27
Author(s):  
Aniek Wijayanti
Keyword(s):  
Business Process ◽  
Cost Reduction ◽  
Process Analysis ◽  
Value Added ◽  
Added Value ◽  
Natural Material ◽  
Management Activity ◽  
Procurement Process ◽  
Material Procurement ◽  
The Cost

Business Process Analysis can be used to eliminate or reduce a waste cost caused by non value added activities that exist in a process. This research aims at evaluating activities carried out in the natural material procurement process in the PT XYZ, calculating the effectiveness of the process cycle, finding a way to improve the process management, and calculating the cost reduction that can achieved by activity management. A case study was the approach of this research. The researcher obtained research data throughout deep interviews with the staff who directly involved in the process, observation, and documentation of natural material procurement. The result of this study show that the effectiveness of the process cycle of natural material procurement in the factory reached as much as 87,1% for the sand material and 72% for the crushed stone. This indicates that the process still carry activities with no added value and still contain ineffective costs. Through the Business Process Mechanism, these non value added activities can be managed so that the process cycle becomes more efficient and cost effectiveness is achieved. The result of the effective cycle calculation after the management activities implementation is 100%. This means that the cost of natural material procurement process has become effective. The result of calculation of the estimated cost reduction as a result of management activity is as much as Rp249.026.635,90 per year.

THE VALUE CHAIN OF COMPETENCY MODEL FOR VIETNAMESE EDUCATIONAL MANAGERS IN THE INDUSTRY 4.0 REVOLUTION ERA

2018 ◽  
Author(s):  
Le Thi My Hanh ◽  
Luis Alfaro ◽  
Tran Phuong Thao
Keyword(s):  
Value Chain ◽  
Industry 4.0 ◽  
Global Economy ◽  
Value Added ◽  
Chain Model ◽  
Individual Level ◽  
The Social ◽  
Comprehensive Development ◽  
Model Of Competency ◽  
Personal Competencies

This world is constantly changing and rapidly moving,-particular in the Industry 4.0 revolution, people must change to follow and keeping with this new trend. Education is the human foundation toward the “Truth - Good - Beautiful”, and comprehensive development of personal competencies as knowledge, skills and behaviors. A nation, such as Vietnam, if they want to integrate into global economy and affirming their position, they will need the “Talented - Virtuous” human resource who could meet the high demand of society. The purpose of this study was to propose a model of competency value chain at individual level for the educational managers, analyzing some factors of this value chain model and how to apply to Vietnamese education system in the fourth Industry era. The authors wanted to focus on the social value added that the educational managers’competency could bring as the result of this research.

PEMETAAN TEKNOLOGI INDUSTRI KELAPA SAWIT NASIONAL DAN KEBIJAKAN PENGEMBANGANNYA

2013 ◽  
Vol 13 (1) ◽  
Author(s):  
Subiyanto Subiyanto
Keyword(s):  
Palm Oil ◽  
Government Policy ◽  
Value Chain ◽  
Raw Materials ◽  
Value Added ◽  
Oil Industry ◽  
Missing Value ◽  
Technology Capability ◽  
The Government

Palm oil industry in Indonesia has been growing rapidly. But, unfortunately the growth is only effective on upstream industry with low value products, such that potential downstream value added are not explored proportionally. The government is therefore in the process of developing an appropriate policy to strengthen the national palm oil downstream industry. This paper proposes that an approriate policy for developing palm oil downstream industry could be derived from the maps of value chain and existing technology capability of the industry. The result recommends that government policy should emphasize on the supply of raw materials, infrastructure and utilities, as well as developing the missing value chain industry, especially ethoxylation and sulfonation.

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