Factors influencing the target costing process
The article presents principles of defining target price, target profit and target cost and conjoint concept of target costing process. Functions, performed by employees and departments of an organization during the target costing process are defined. The main direct and indirect factors influencing...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
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Vilnius University Press
2014-04-01
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| Series: | Buhalterinės Apskaitos Teorija ir Praktika |
| Subjects: | |
| Online Access: | http://www.journals.vu.lt/BATP/article/view/13304 |
| _version_ | 1818340081325309952 |
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| author | Vilius Savickas Julija Šarupičiūtė |
| author_facet | Vilius Savickas Julija Šarupičiūtė |
| author_sort | Vilius Savickas |
| collection | DOAJ |
| description | The article presents principles of defining target price, target profit and target cost and conjoint concept of target costing process. Functions, performed by employees and departments of an organization during the target costing process are defined. The main direct and indirect factors influencing the determination of target cost and target costing process are proposed. Based on the analysis of literature it is stated, that organizational functions that play an important role in the process of target costing are strategic management, marketing, engineering and manufacturing and cost planning and accounting. The level of influence of target costing related factors can differ, however to achieve cost reducing goals organization should pay attention to customer preferences, supplier abilities, the negative influence of competitors, technological production experience and previous profitability. |
| first_indexed | 2024-12-13T15:37:14Z |
| format | Article |
| id | doaj.art-d6778dac5d674ee18bef12a1fee01b18 |
| institution | Directory Open Access Journal |
| issn | 1822-8682 2538-8762 |
| language | English |
| last_indexed | 2024-12-13T15:37:14Z |
| publishDate | 2014-04-01 |
| publisher | Vilnius University Press |
| record_format | Article |
| series | Buhalterinės Apskaitos Teorija ir Praktika |
| spelling | doaj.art-d6778dac5d674ee18bef12a1fee01b182022-12-21T23:39:59ZengVilnius University PressBuhalterinės Apskaitos Teorija ir Praktika1822-86822538-87622014-04-011510.15388/batp.2014.15.12Factors influencing the target costing processVilius Savickas0Julija Šarupičiūtė1Vilnius University, LithuaniaVilnius University, LithuaniaThe article presents principles of defining target price, target profit and target cost and conjoint concept of target costing process. Functions, performed by employees and departments of an organization during the target costing process are defined. The main direct and indirect factors influencing the determination of target cost and target costing process are proposed. Based on the analysis of literature it is stated, that organizational functions that play an important role in the process of target costing are strategic management, marketing, engineering and manufacturing and cost planning and accounting. The level of influence of target costing related factors can differ, however to achieve cost reducing goals organization should pay attention to customer preferences, supplier abilities, the negative influence of competitors, technological production experience and previous profitability.http://www.journals.vu.lt/BATP/article/view/13304target costingtarget costtarget profitabilityfactors affecting target costing |
| spellingShingle | Vilius Savickas Julija Šarupičiūtė Factors influencing the target costing process Buhalterinės Apskaitos Teorija ir Praktika target costing target cost target profitability factors affecting target costing |
| title | Factors influencing the target costing process |
| title_full | Factors influencing the target costing process |
| title_fullStr | Factors influencing the target costing process |
| title_full_unstemmed | Factors influencing the target costing process |
| title_short | Factors influencing the target costing process |
| title_sort | factors influencing the target costing process |
| topic | target costing target cost target profitability factors affecting target costing |
| url | http://www.journals.vu.lt/BATP/article/view/13304 |
| work_keys_str_mv | AT viliussavickas factorsinfluencingthetargetcostingprocess AT julijasarupiciute factorsinfluencingthetargetcostingprocess |