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Informationen zum Autor Yong-Woo Kim is Associate Professor of Construction Management in the Department of Construction Management at the University of Washington, Seattle, WA, USA. He teaches undergraduate and graduate courses in construction accounting, project delivery systems, lean construction and project cost analysis. His primary research interests are lean project delivery systems, sustainable construction and project cost management. Klappentext Activity Based Cotsting for Construction Companies provides guidelines on how overhead costs can be managed for using Activity Based Costing (ABC), providing gains in contractor competiveness. Illustrated with a range of case studies and examples it also presents a map that shows construction contractors how to implement ABC to calculate overhead costs accurately, identifying non or low-value added operations which can then be improved. Zusammenfassung Activity Based Cotsting for Construction Companies provides guidelines on how overhead costs can be managed for using Activity Based Costing (ABC)! providing gains in contractor competiveness. Inhaltsverzeichnis Preface ix 1 Introduction 1 1.1 What comprises costs in a construction company? 2 1.1.1 Construction costs (project costs) 3 1.1.2 Overhead costs in a construction company 3 1.1.3 The cost classification in use and the duality of overhead costs 5 1.2 Overhead costs in new business environments 6 1.3 Role of overhead cost management 10 1.3.1 Overhead costing system should provide accurate costing on cost objects 10 1.3.2 Overhead costing system should contribute to reducing total costs without sacrificing value 11 1.4 Structure of this book 11 References 12 2 What Is Activity-Based Costing? 15 2.1 Traditional accounting method: resource-based costing with volume-based allocation 16 2.1.1 Resource-based costing 16 2.1.2 Overhead costs allocation 17 2.2 What are the problems with the current method? 18 2.2.1 Is the current method contributing to reducing total costs? 19 2.2.2 Does the current method provide accurate pricing? 19 2.3 What is activity-based costing? 20 2.3.1 Definition 20 2.3.2 Characteristics of ABC 21 2.3.3 Objectives of ABC system 25 2.4 Implementing activity-based costing 26 2.4.1 Develop an activity-based costing charter 26 2.4.2 Define cost objects 27 2.4.3 Identify activities 28 2.4.4 Assign resource costs to activities 29 2.4.5 Assign activity costs to cost objects 32 2.5 Chapter summary 35 References 36 3 Managing Overhead Costs in Construction Projects 39 3.1 Project overhead costs as profit points 40 3.2 Implementing ABC to manage project overhead costs 42 3.3 Case study: xx Commercial Complex 42 3.3.1 Developing an activity-based costing charter 43 3.3.2 Workshop 45 3.3.3 Defining cost objects 46 3.3.4 Identifying activities 47 3.3.5 Assigning resource costs to activities 48 3.3.6 Assigning activity costs to cost objects 53 3.4 Using ABC data for managerial purposes 58 3.4.1 Evaluating management areas with activity analysis 64 3.4.2 Evaluating subcontractors 68 3.5 Chapter summary 70 References 70 4 Managing Your General Overhead Costs 73 4.1 General overhead costs 74 4.2 Managing general overhead costs 75 4.2.1 Accurate general overhead allocation 75 4.2.2 Providing a process view for process improvements 79 4.3 Does current practice for managing general overhead costs work? 80 4.3.1 Resource-based costing 80 4.3.2 Volume-based assignment 80 4.4 How can ABC be implemented in managing general overhead costs? 82 4.4.1 Case study: xx Co...
