Getting more Value from Activity Based Costing (ABC)
Abstract: Activity-based costing (ABC) models enable managers to understand product and customer net profitability by providing better methods of allocating overheads. But few challenge the need for these costs in the first place many of which are caused by the controlling bureaucracy. More enlightened managers use ABC’s big brother, activity-based management (ABM), to see whether costs should be incurred at all, but as this paper explains its implementation can be complicated and expensive.

