Should Activity‐based Costing be Considered as the Costing Method of Choice for Total Quality Organizations?

Abstract

Managers of contemporary organizations are continually examining modern management techniques with a view to adopting best management practices and thus gain competitive advantage. The danger is that managers will adopt a functional stance and consider only narrowly defined management techniques contained within a functional specialism, for example finance or operations management, considering the inter‐functional implications of developing a particular technique. Describes activity‐based costing/management, total quality management and quality costing and considers the extent to which these techniques are interdependent and appropriate for a total quality organization.

Citation

Letza, S.R. and Gadd, K. (1994), "Should Activity‐based Costing be Considered as the Costing Method of Choice for Total Quality Organizations?", The TQM Magazine, Vol. 6 No. 5, pp. 57-63. https://doi.org/10.1108/09544789410067862