Activity based costing
"As products and distribution channels become more complex and interwoven businesses need to understand where they are creating and destroying value"
Understanding the true activity basis of costs helps businesses identify the most and least profitable product and channel combinations. This further enables value and non-value add activities to be identified driving efficiency and improved decision making.
Our approach focuses on understanding the specific requirement of the activity based costing approach and tailoring the design accordingly whether it be to identify efficiencies, product profitability and pricing, transfer pricing, outsource decisions etc.
Typical services include:
- Model design
- Model build and documentation
- Refurbishment of existing models
- Report design to inform Senior Managers
- Training and communication to staff
- Transfer pricing set up