Activity-Based Costing Approach in Manufacturing Systems Using Simulation Method

In the last two decades traditional cost accounting practices have been unable to respond to the changing information needs of manufacturing management. Activity Based Costing (ABC) is a method which can solve many of the limitations of traditional cost systems. This method of accounting involves the breaking down of the individual activities and costing of the amount of time spent on each step of the manufacture of a product. This paper presents an integrated simulation and activitybased costing approach for computing the accurate cost of products. The case of this study is based on a specific pressing line (2000 ton) in industry forging. Furthermore, this paper illustrates how Discrete Event Simulation may be used to evaluate the ABC of a manufacturing system. A visual interactive simulation software VISUAL SLAM AND AWESIM (VSA) is used to model a semi-automated pressing line. Finally, the simulation model was verified and validated against actual system by independent t-test. In addition, all repair, maintenance, inspection activities, etc are included in the simulation model.

کلیدواژه ها:

Activity-based costing (ABC) ، Manufacturing systems ، Simulation ، Limited of processing ، Cost Accounting