Supply Chain Cost Control Using Activity-Based Management: 1st Edition (Hardback) book cover

Supply Chain Cost Control Using Activity-Based Management

1st Edition

By Matthew Zander

Auerbach Publications

224 pages | 93 B/W Illus.

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pub: 2006-07-19
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Description

Having an accurate assessment of company expenditures is a key to staying in business. Activity-based management (ABM) is the only system that offers the tools to correctly assess the outflow involved in a tightly knit supply chain and enables understanding not only of the total cost of ownership (TCO), but also how these costs should be allocated. Supply Chain Cost Control Using Activity-Based Management discusses the competitive advantage that cost analysis and management can bring to companies within a supply chain.

Addressing a number of strategies to evaluate the total cost inherent in a customer-supplier relationship, this book uses TCO, activity-based costing (ABC), and ABM to analyze and control supply chain costs. It employs industry survey data to examine whether these techniques are being used in real life, which factors affect their usage in the supply chain, and whether they are producing results. Combining survey results with game theory, the authors suggest cost reduction strategies for competitive environments and predict the outcomes of these strategies. This cost-effective system helps businesses remain competitive and profitable.

Supply Chain Cost Control Using Activity-Based Management shows the importance of partnerships in applying ABM principles to suppliers and demonstrates the positive results that ABM can have on elements of the TCO.

Table of Contents

ACTIVITY-BASED MANAGEMENT AND TOTAL COST OF OWNERSHIP - AN OVERVIEW

Introduction

References

MAJOR TRENDS IN SUPPLY-CHAIN INNOVATIONS

Introduction

Influencing the Manufacturing Environment

The Acceleration Principle

Lead Time and Inventory Reduction Syndromes

Supply-Chain Structure

References

ELEMENTAL TASK LEARNING CURVES IN A PRODUCTION LINE

Introduction Learning Curves

Balancing Cycle Times

Interrelationships of Elemental Task Learning Curves and Line Balance

Organizational Learning

Conclusion

Recommendation

References

OFFSHORING KNOWLEDGE WORK TO INCREASE SHAREHOLDER VALUE

Introduction

Knowledge Work

Drivers of Knowledge Work Offshoring

Benefits to Business

Economic Implications

Drawbacks and Risks

Offshore Locations

Case Study

Conclusion

References

INTEGRATED TOTAL COST OF OWNERSHIP AND ACTIVITY-BASED MANAGEMENT PROCESS MODEL

Introduction

Literature Analysis

Process Models

Hypothetical Model

Game Theory

References

METHODOLOGY FOR ANALYSIS

Introduction

The Survey Construct

Data Analysis

ANALYSIS AND FINDINGS

Introduction

Hypothesis Testing

Results

Game Theory Analysis

CONCLUSIONS AND RECOMMENDATIONS

Appendix A: Survey Instrument

Appendix B: Survey Data

Index

About the Series

Supply Chain Integration Modeling, Optimization and Application

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Subject Categories

BISAC Subject Codes/Headings:
BUS053000
BUSINESS & ECONOMICS / Quality Control
BUS070050
BUSINESS & ECONOMICS / Industries / Manufacturing Industries
BUS076000
BUSINESS & ECONOMICS / Purchasing & Buying