%0 Journal Article
%T Activity-based Costing (ABC) and Activity-based Management(ABM)Implementation ¨C Is This the Solution for Organizations to Gain Profitability?
%A Ildik¨® R¨¦ka CARDOS
%A Stefan PETE
%J Revista Romana de Economie
%D 2011
%I Romanian Academy
%X Adherents of ABC/ABM systems claimed traditional management accounting systems generated misleading costs in a contemporary, tumultuous, often changing business environment and implementing ABC/ABM would remedy this. That is why activity-based costing (ABC) and activity-based management (ABM) represents the symbol of improved competitiveness and efficiency in every organization.The purpose of this article ¨C after analyzing the existing literature in the field ¨C is to emphasize that new cost systems such as ABC and ABM could be a strong couple that assures competitiveness and efficiency for each company. Another objective is to present that, besides its disadvantages, firms implement the ABC/ABM system because it permits better tracing of costs to objects, superior allocation of overheads to cost objects, financial and non-financial analysis and measures useful to managers and management accountants in the decision-making process.
%K ABC
%K ABM
%K implementation process
%K profitability
%U http://www.revecon.ro/articles/2011-1/2011-1-9.pdf