管理会计0648796.pptVIP

Activity-Based Management and Today’s Advanced Manufacturing Environment Just-in-Time Inventory and Production Management No materials are purchased and no products are manufactured until they are needed. Key Features of the JIT Approach JIT Purchasing Two-Dimensional ABC and Activity-Based Management Two-Dimensional ABC and Activity-Based Management Elimination of Non-Value-Added Costs Using ABM to Eliminate Non-Value-Added Activities and Costs Identify Activities. Identify Non-Value-Added Activities. Understand Activity Linkages, Root Causes, and Triggers.  Establish Performance Measures. Report Non-Value-Added Costs. Customer Profitability Analysis Customer Profitability Analysis Achieving Cost Reduction Kaizen Costing The process of cost reduction during the manufacturing phase of an existing product. Kaizen Costing The process of cost reduction during the manufacturing phase of an existing product. End of Chapter 6 McGraw-Hill/Irwin 6-* 6 Chapter Six The primary goal of a JIT production system is to reduce or eliminate inventories at every stage of production. Smooth, uniform production rate Pull method of production Purchase is small lot sizes Quick, inexpensive setups High quality of materials Effective preventive maintenance Teamwork Multiskilled workers Long-term contracts with suppliers. Only a few suppliers. Parts delivered in small lots. Minimal inspection of materials. Grouped payments to vendor. Activity Triggers Cost Objects Activities Root Causes Process View Activity Analysis Resource costs Cost Assignment View Performance Measures Activity Evaluation Resource costs Root Causes Activity Triggers Performance Measures Cost Objects Activities Cost Assignment View Assign resource costs to activity cost pools. Assign activity costs to cost objects using cost drivers. Analysis andClassification Value-addedActivities Nonvalue-addedActivities Activities Reduce orEliminate Continually Evaluate and Improve Specify parts Select vendor Receive p