Research On Cost Management Of H Manufacturing Company Based On Activity-based Costing

Since the third scientific and technological revolution,the ever-changing massive information technology has promoted the continuous development of the economy.At the same time,great changes in the mode of production have also brought about innovations in the management and management of enterprises.In the face of increasingly fierce market competition,more and more manufacturing companies adopt highly automated production technologies to meet the needs of customers for diversification and small batch production.In this market environment,how to efficiently manage costs becomes a manufacturing enterprise.The key to survival and value enhancement.At the same time,as the degree of automation of enterprises increases,machines gradually replace labor,and the proportion of manufacturing costs for manufacturing costs increases.This change leads to a corresponding change in the product cost structure,and business managers need to focus directly on cost accounting.The cost was transferred to the reasonable allocation of manufacturing costs in order to further improve the accuracy of product cost calculation and improve the effectiveness of cost control.The activity-based costing method is based on the "operating consumption of resources,product consumption operations",establishing responsibilities and control centers for various operations of products,promoting the accuracy of cost allocation,providing decision-making correlation of cost information,and expanding cost service scope,etc.It can make up for the deficiencies of the traditional cost accounting methods.Therefore,it is of great theoretical and practical significance to explore the application of the ABC in manufacturing companies.The structure of this study is as follows: First,it introduces the core concepts of ABC and related theoretical research,reviews the research results of scholars at home and abroad,and summarizes the research status of relevant theories of ABC;The current situation of cost management is analyzed and the necessity and feasibility of implementing the ABC are demonstrated.According to the problems of inaccurate cost information and low level of cost management in H manufacturing companies,the ABC was introduced to conduct specific calculation and analysis.The comparison with the ABC standard highlights the cost-accurate costing of operations and the characteristics of accurate cost information;again,it proposes corresponding assurance proposals for possible problems in the H-manufacturing enterprise's implementation process for H manufacturing.Companies in the industry control their costs and improve their profits at the same time,and offer some valuable application suggestions for their same type of enterprises.Based on the analysis of theories and cases,this study draws the following conclusions:(1)There is a deviation in cost accuracy when H manufacturing companies use traditional cost method for accounting,so they need to be improved;(2)Activity-based costing accurately accounts for indirect costs.The characteristics of H manufacturing companies can improve the cost management level;(3)H manufacturing companies can improve their own cost management levels through the use of activity-based costing methods to further improve product competitiveness and market competitiveness.In summary,this study provides reference for H companies to apply the activity-based costing method to improve their cost management,and to provide references for similar companies in the manufacturing industry to improve their cost accounting and management decisions.