management industri 1

PLANNING RATE PRODUCTS IN THE MANAGEMENT OF ANY INDUSTRY
AND FACTORS AFFECTING
part 1

A. PRELIMINARY

A company that wants to survive and able to compete in the global era must have a strategy and the right policy. One of the strategies and policies must be defined is the company policy on pricing of basic products the company produced. The system managerial accounting is considered conventional failed to provide information that is suitable, timely, detailed and on the implementation of the activities required by managers to control costs with more efficient and effective in increasing productivity.

In the conventional method, factory overhead costs, calculated by the number of units of the products, which in turn will generate information that the cost of distortion contain costs. Because basically the cost is not allocated directly to the product by using a base / benchmark, which is not necessarily proportional to the consumption of resources, which absorbed the product. It is therefore essential to the determination of the price does not reflect the conventional method of determining the price of staple production of accurate or real impact on the bidding and selling prices are not competitive.

Pricing method with the principal activity-based Costing (ABC) is intended to provide basic information on prices for the production of accurate management with the interests of carefully measure the consumption of all resources in economic activity that is used to generate each type of product. ABC focuses on all phases of design and product development with the delivery of the product to the consumer. So the price of an production of staple products formed from all the activities that consume resources to the use of the product in the product proportionally.

One of the difficult decisions facing a company is to set the price. Although the ruling means that the same price for each company that is based on cost, competition, demand and profit. But the optimum combination of these factors varies in accordance with the nature of the product, market, and company goals.