Open AccessA Typology of Cost Accounting Practices Based on Activity-Based Costing – A Strategic Cost Management Approach
Author(s) -
Grégory Wegmann
Publication year - 2019
Publication title -
asia-pacific management accounting journal/asia-pacific management accounting journal
Language(s) - English
Resource type - Journals
eISSN - 2550-1631
pISSN - 1675-3194
DOI - 10.24191/apmaj.v14i2-08
Subject(s) - typology , activity based costing , cost accounting , dimension (graph theory) , management accounting , business , target costing , accounting , management science , process management , strategic management , knowledge management , computer science , marketing , economics , sociology , mathematics , anthropology , pure mathematics
This article examines cost accounting methods containing one or more activity-based costing (ABC) like dimensions. The objective is to analyze cost accounting proposals with, in part, a philosophy reminiscent ABC. The research purposes are to analyze the strategic dimension of the methods described and to build a typology useful for managers. The discussion leads to a four-dimensional typology based on three strategic objectives assigned to the cost accounting systems. The foundation of the research is the Strategic Cost Management Theory from which emerges the ABC philosophy. The methodology applied is an academic and professional literature review. The typology designed shows common points and similarities of the methods observed and their strategic dimensions. Some of the methods studied are more or less useful for practitioners, according to the situation of their companies. Keywords: strategic cost management, activity-based costing, typology