Year: 1999
Type: article
Abstract: This article shows how activity-based costing concepts can be adapted to measure quality-related costs and prioritize quality improvement efforts. It first reviews three levels of activity analysis that can be used to quantify the internal costs arising from failure to meet customer requirements. It then highlights how activity-based costing concepts can be extended to encompass quality-related costs arising from supplier deficiencies and the opportunity costs of lost sales due to quality problems.
Source: European Management Journal
Author: Christopher D. Ittner
Institution: University of Pennsylvania
Language: English
Subfield: Management Information Systems
Domain: Social Sciences
Open Access status: hybrid
Estimated APC paid: $2,160
OpenAlex ID: W2123065628