THE ROLE OF ACTIVITY BASED COSTING SYSTEM IN COST CONTROL IN SAUDI MANUFACTURING FIRMS
This study aimed at determining the role of activity-based costing system for cost control in Saudi manufacturing firms that produce "Raw Materials". The data was collected from 154 staff members with a job title of general managers, assistant managers, financial managers, and accountants...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
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Center for Quality, Faculty of Engineering, University of Kragujevac, Serbia
2023-06-01
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| Series: | International Journal for Quality Research |
| Subjects: | |
| Online Access: | http://ijqr.net/journal/v17-n2/19.pdf |
| Summary: | This study aimed at determining the role of activity-based costing system for cost control in Saudi manufacturing firms that produce "Raw Materials". The data was collected from 154 staff members with a job title of general managers, assistant managers, financial managers, and accountants working at Saudi manufacturing Firms that produce "Raw Materials" and listed in Saudi Stock Exchange and use ABC system at the end of July 2021 using a questionnaire that was developed and distributed to them. This study revealed that the ABC system; achieves production efficiency, increases the effectiveness of control over administrative and financial costs, and helps managers make cost and price decisions. The Researchers recommended that other Saudi manufacturing firms adopt the ABC system to reduce the cost of their products, greater production efficiency, and raise profitability. |
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| ISSN: | 1800-6450 1800-7473 |