new New techniques are often described as contributing to cost reduction, but when cost reduction is necessary it is not obvious that such new approaches are used in preference to more established approaches. Three examples are: established technique compared approach with (a) benchmarking interfirm comparison, (b) activity based budgeting zero base budgeting, (c) target costing continuous cost improvement.
new New techniques are often described as contributing to cost reduction, but when cost reduction is necessary it is not obvious that such new approaches are used in preference to more established approaches. Three examples are: established technique compared approach with (a) benchmarking interfirm comparison, (b) activity based budgeting zero base budgeting, (c) target costing continuous cost improvement.
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter15: Lean Accounting And Productivity Measurement
Section: Chapter Questions
Problem 20E: Total productive efficiency is achieved when both technical efficiency and allocative efficiency are...
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new New techniques are often described as contributing to cost reduction, but when cost reduction is necessary it is not obvious that such new approaches are used in preference to more established approaches. Three examples are: established technique compared approach with (a) benchmarking interfirm comparison, (b) activity based budgeting zero base budgeting, (c) target costing continuous cost improvement.
you are required for two of the three newer techniques mentioned above;
to explan its objectives
to explain its workings
to differentiate its from the related approach identified
to explain how it would contribute to a cost reduction programme.
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