MyAssignmentServices uses cookies to deliver the best experience possible. Read more

ABC Analysis of South Africa

Activity Based Costing (ABC) analysis is recognized as a technique required for betterment of inventory management. An inventory classification approach, like A is a costly product whose requirement is low. B is an average cost product whosedemand is also average and C is a mass product in low price range but demand is very high.It is basically a type of research based analysis which is implemented by the develop countries. Developed countries are adopting ABC now a days for the betterment of calculating costs more perfectly, ensuring product availability as well as to manage cost etc. It is a costly IT based analysis, so South Africa being a developing country finding it difficult for adopting it.

South African organizations’ or companies are avoiding ABC as it results in increment in the overheads cost.South African companies want to remain in their traditional costing system. In a survey it has proved that overhead cost of the companies in developed countries are bigger than the branches which are existing and operating successfully in South Africa. Another reason for not implementing ABC system is that it leads to increment of the pressure from the regulatory authority. In the develop countries regulatory authorities are tighter than South Africa. In a develop countries regulatory authorizes are demanding more transparency and efficiently business operation in the country. On the other hand it creates more accuracy that can be delivered by the ABC (Reserch gate, 2007)And along with this, the demand of the products can also be evaluated with the help of ABC in regard to many other products lines present. Therefore, ABC approach is considered more effective than others.

References

Reserch gate. (2007), The design and implementation of activity-based costing (ABC): A South African survey research.

Remember, at the center of any academic work, lies clarity and evidence. Should you need further assistance, do look up to our Supply Chain Management Assignment Help

Get It Done! Today

Applicable Time Zone is AEST [Sydney, NSW] (GMT+11)
Not Specific >5000
  • 1,212,718Orders

  • 4.9/5Rating

  • 5,063Experts

Highlights

  • 21 Step Quality Check
  • 2000+ Ph.D Experts
  • Live Expert Sessions
  • Dedicated App
  • Earn while you Learn with us
  • Confidentiality Agreement
  • Money Back Guarantee
  • Customer Feedback

Just Pay for your Assignment

  • Turnitin Report

    $10.00
  • Proofreading and Editing

    $9.00Per Page
  • Consultation with Expert

    $35.00Per Hour
  • Live Session 1-on-1

    $40.00Per 30 min.
  • Quality Check

    $25.00
  • Total

    Free
  • Let's Start

Get
500 Words Free
on your assignment today

Browse across 1 Million Assignment Samples for Free

Explore MASS
Order Now

Request Callback

My Assignment Services- Whatsapp Tap to ChatGet instant assignment help

Hire Certified Experts
Ask your Question
Need Assistance on your
existing assignment order?