The Study On Enterprises Logistics Cost Based On Activity-based Costing

With the develop of modern logistics industry in China, the social and corporate’s interest in logisticscosts continuous to grow, reduce logistics costs of logistics management has become an important task. Insome perspective, the development of logistics technology and logistics management is continuing topursue the process of reducing logistics costs. From a macro point of view, logistics costs to GDP as ameasure of the proportion of a country’s level of modernization of logistics logo, from the microscopicpoint of view, logistics costs account for a large proportion of the total cost, logistics cost is directly relatedto the level of corporate profits and the level of competitiveness. Although the cost of logistics managementhas been growing concern, however, the logistics cost in the academic and the logistics sector is relativelyweak, it is lack of a scientific system on logistics cost control. Logistics cost control is an important aspectof logistics management, reduce logistics costs and improve logistics service level constitutes afundamental issue of logistics management. The logistics cost control means that through the effectivegrasp of logistics costs, use of effective relationships between the elements of logistics to rationalorganization of logistics activities, strengthen the effective control of the expenses in logistics activities,reduce the consumption of materialized labor and living labor, which can reduce the total logistics costs andimprove the social economic efficiency.The calculation of logistics cost is the premise of logistics cost control, only to find out the size of thelogistics costs, can we be able to implement the analysis of logistics cost, preparing the logistics costbudgets and control the logistics costs. But the key problem is how to divide the scope of logistics costs inpractice, how to accurately calculate the cost of logistics. In terms of logistics cost accounting we still lackof effective methods and experience, due to the lack of an accurate grasp of the logistics cost, it bringsmany obstacles to the logistics management of enterprise, so it is difficult to discovery the efficiency of theactivities in enterprise logistics operation, and it is difficult for logistics cost comparison of longitudinal andtransverse. Therefore, on the basis of understanding the concept of logistics costs, we must also have acomprehensive grasp in the scope of logistics cost accounting, calculation methods and logistics costanalysis methods. In this paper, it combined with logistics management and cost management, then it presents the basicframework of logistics cost management and control system, which from the objectives of logistics costcontrol, standards of cost control and daily cost control to start control the logistics cost, elaborate theanalysis of logistics cost behavior and logistics operations cost. First introduced some research on domesticlogistics costs, the logistics costs in our country is still relatively weak and the theory is also need toimprove. The second section describes the theoretical basis of the relevant logistics costs, logistics costs aregeneralized throughout the cost of production, distribution, and sale of the whole process, according to thedifferent business entities it can be divided into the logistics cost of production and distribution companies.This article mainly in the distribution companies. Then it discussed the difference between the cost oftraditional method and Activity Based Costing. In the field of logistics, the Activity Based Costing can beregarded as a relatively new method of accounting, the Activity Based Costing select a job to reflect thecost drivers, get rid of the constraints of cost accounting in production organization and process, improvedcost allocation method, it is good to enterprise product (service) cost control and productivity analysis, it isbetter to meet the needs of internal management. Finally, for a example of MY company, it analyze thecurrent situation in logistics costs control and other problems in the MY company, and it analysis of thefeasibility of the Activity Based Costing in the MY company, as the company’s indirect costs attributablecosts accounted for more than direct labor costs, while it using computerized accounting accounting, so theinformation data collection more convenient, all these meet the prerequisite for the Activity Based Costingimplement in the MY company. It is going to using the Activity Based Costing to account the MY’slogistics cost and then discusses the goals of logistics cost control and the formulate of target cost as well asthe control of target cost, then, it assessments the target cost of logistics.