Strategic cost management practices and organizational performance: A study of manufacturing firms in Nigeria

Simple item page
dc.contributor.authorAdigbole, Ezekiel Aiyenijo
dc.contributor.authorAdebayo, A. O.
dc.contributor.authorOsemene, O.F
dc.date.accessioned2023-04-28T16:09:06Z
dc.date.available2023-04-28T16:09:06Z
dc.date.issued2020
dc.description.abstractThere has been a lot of transformation in the manufacturing industry. The manufacturing processes are highly automated, multiple product mix strategies are employed, and the nature of production cost drivers are complex, production costs have increased and market competition has risen due to market globalization. Therefore, the use of the traditional cost management system, such as standard costing and predetermined overhead allocation system in the Nigerian manufacturing industry has proven to be ineffective in product costing, cost management, and decision making. As a result of these developments, it has become necessary to employ more refined product costing techniques of Strategic Cost Management. Some of the Strategic Cost Management methods are Activity-Based Costing, Target Costing, Life Cycle Costing, Balance Scorecard, and Total Quality Management. The implementation of the Strategic Cost Management system has led to improved product costing analysis and decision-making, production efficiency, and improved firm performance and market competitiveness. This study examines the effect of Strategic Cost Management practices on organizational performance of Nigerian manufacturing industry. A survey research design is employed to collect primary data, which are analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) method. The study reveals that Strategic Cost Management practices positively impact organizations’ performance. Therefore, it is recommended that manufacturing firms still using the traditional costing methods should consider employing the Strategic Cost Management methods to enhance their performance and competitiveness.en_US
dc.identifier.citationAdigbole, E .A., Adebayo, Arinola O., Osemene, Olubunmi F. (2020). Strategic cost management practices and organizational performance: A study of manufacturing firms in Nigeria. Global Journal of Accounting and Finance, 4 (1), 142 -157.en_US
dc.identifier.issn2574-0482
dc.identifier.urihttps://uilspace.unilorin.edu.ng/handle/20.500.12484/9411
dc.language.isoenen_US
dc.publisherInstitute for Global Business Research, Nashville, USAen_US
dc.subjectActivity-based costing, Life cycle costing, Target costing, Organizational Performance, Strategic Cost Management, Production Costingen_US
dc.titleStrategic cost management practices and organizational performance: A study of manufacturing firms in Nigeriaen_US
dc.typeArticleen_US

Files

Original bundle
Now showing 1 - 1 of 1
No Thumbnail Available
Name:
Adigbole et al. - GJAF_Vol_4_No_1_2020 pp 142-157.pdf
Size:
400.21 KB
Format:
Adobe Portable Document Format
Description:
Strategic cost management practices and organizational performance: A study of manufacturing firms in Nigeria
Download
License bundle
Now showing 1 - 1 of 1
No Thumbnail Available
Name:
license.txt
Size:
1.71 KB
Format:
Item-specific license agreed upon to submission
Description:
Download

Collections