haku: @author Shank, J. K. / yhteensä: 11
viite: 5 / 11
| Tekijä: | Shank, J. K. Govindarajan, V. |
| Otsikko: | Making strategy explicit in cost analysis: A case study. (!Cost analysis) |
| Lehti: | Sloan Management Review
1988 : SPRING, VOL. 29:3, p. 19-29 |
| Asiasana: | COST ACCOUNTING STRATEGY |
| Kieli: | eng |
| Tiivistelmä: | Project valuation using only cost accounting techniques may neglect important strategic issues. Principles of a strategic cost analysis are summarized. The case of Baldwin Bicycle Company is described. First the traditional accounting techniques were applied. Some conclusions are drawn from the experience. Next strategic issues were explicitly incorporated into the analysis. Cost behavior was considered to be a starting point. As a second element the necessary incremental investment was estimated. As a third element of the relevant cost analysis they carried out a calculation of erosion charge from the lost sales in older models. It is shown how cost analysis may be supplemented by a strategic decision analysis. |
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