Activity Based Costing

The vicious circle of non-performing companies very often starts with a missing efficiency tracking and activity based costing in the manufacturing area.

Imagine you are selling a product, which, in reality, is loss generating, but you do not know this due to the lack of a proper costing method in the manufacturing area. This is extremely critical for narrow margin industries!

Margin growth activities are also supported by focusing your sales and marketing activities behind your high margin products. But what happens, if your costing tool is not properly set up? The likelihood that you allocate marketing and sales activites behind low or even loss taking products is extremely high! The vicious circle of non-performing companies very often starts at this point.

We can help you to implement Activity Based Costing in your manufacturing company. Our concept is Excel based and can be used easily by any controller, finance expert or even your head of factory! This will further allow you to carry out annual planning activities, variance analysis, headcount planning and costing of new products to be launched or offered for a quotation.