This Course aims to: Develop understanding of various costing systems in different strategic decision situations. Provide the details of contemporary issues in costing systems such as activity-based costing and pricing, target costing, etc. Provide a comprehensive view on management control covering control structure issues like profit centers/SBUs and control process issues like budgeting and performance evaluation. The course has following modules: Module - 1: The Cost management processModule - 2: Cost removal taking out costsModule - 3: Value EngineeringModule - 4: DCF and Target CostingModule - 5: Manufacturing Cost EstimationModule - 6: Sensitivity and Risk AnalysisModule - 7: BudgetingModule - 8: Budgetary Control MeasuresModule - 9: Role of Business Goals and Strategies in BudgetModule 10: Zero Based Budgeting ( ZBB )Module 11: Awareness of Overheads and Other CostsModule 12: Activity Based Costing ( ABC )Module -13: Spend Analysis-BriefQuiz, Test and AnswersNeed for STRATEGIC COST MANAGEMENTIt is an updated form of cost analysis, in which the strategic elements are more clear and formal and improves the overall position of the company. It is used to analyze cost information, and use it to develop various measures to achieve a sustainable competitive advantage. It provides a better understanding of the overall cost structure in the quest of gaining a sustainable competitive advantage. It uses cost information specifically to govern the strategic management process formulation, communication, implementation and control. It helps in identifying the cost relationship between value chain activities and its process of management to gain competitive advantage. The strategic cost management must be implemented at the initial stages of production, so as to reduce heavy cost failure.
