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ABC in service companies such as airlines?
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Chal
16
Chal, Ethiopia

ABC in service companies such as airlines?

ABC may be appropriate in the manufacturng company, but I doubt applying in service givng companies is worth while. Especially in the airline industry where there are various types of common costs and too much different types of activities. Hence can ABC be applicable to the service rendering company?

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  Scott
0
Scott, USA
 

ABC in Service companies such as airlines

Actually, ABC works quite well for allocating costs to airlines. I've built a model that does exactly that, using a few basic activity drivers, that results in allocating an airline's cost to each seat in its route. I'm sure that ABC works well in other service industries as well.

  lil
0
lil, Canada
 

How?

i wonder if company such as airport can use ABC?

 

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Special Interest Group


More on Activity Based Costing
Summary Discussion Topics
topic Limitations and Advantages of ABC for Budgeting
topic Limitations ABC monitoring operations
topic ABC in an Advertising Firm?
topic The Cost of Non-value-added Activities
topic ABC: reduce non value adding activities?
topic Consequences of ABC Analysis
topic Capacity Minutes and Industry Norms
topic Drivers still Right?
topic ABC Helps Companies Survive Recession
topic Traditional Costing versus Activity Based Costing
topic The Process of Activity Based Costing (ABC) simplified
topic Activity Based Costing (ABC)
topic Conditional Resources in ABC
👀ABC in service companies such as airlines?
topic Overhead Costing - Food Manufacturing
topic Degree of Detail in ABC
topic Activity Based Costing Implementation
topic ABC and Decision making
topic Time-driven ABC (TDABC)
topic Activity Based Management (ABM)
topic Calculating the Most Profitable Way of Manufacturing a Product
topic ABC or TOC? The Differences between Activity Based Costing and the Theory of Constraints
topic Recommended ABC Software
topic Comparison Activity Based Costing, Time-Driven-ABC and Lean Accounting
topic ABC Costing in Make to Order of Repetive Manufacturing
topic Organizational Issues when Introducing ABC
topic Over Recovery / Under Recovery Level
🔥 What is Process Costing?
topic ABC in the Federal Environment
topic An ABC Initiative is Only as Effective as the Software That Supports It
topic What is Job Order Costing?
topic How to Derive Overhead Cost from a P&L?
Special Interest Group
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