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Activity Based Costing
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This is a proven framework used by global strategy consulting firms for Fortune 500 companies. Learn this methodology and enrich your expertise. Then, save time by lifting slides directly from this presentation into your own.Activity Based Costing (ABC) analysis is a methodology for assigning costs to those activities that truly drive these costs. It is more accurate than traditional costing methods. ABC is an invaluable tool for making strategic decisions, as it allows you to develop a picture of true profitability of product lines, customer segments, geographies, distribution channels, and other markets. This document explains a 7-phase approach to ABC and steps through a detailed example.
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