Cost Management Strategies And Making Competitive Advantage (a comparative study: target costing and quality costing)

Subject Areas : Management Accounting

Jamadverdi  Gorganli Dooji1 ¹ (نویسنده اصلی و مسئول مکاتبات)
Naghi  Fazeli ² (ندارد)

Received: 2009-02-28 Accepted : 2009-06-15 Published : 2009-03-21

Keywords: Cost Management, Target costing, quality costing and competitiv,

Abstract :

Organizations have been formed in a complicated political, economical, social andtechnical environment. Their development is by very nature dependant on achievingtheir goals & approaches. Creating & protecting their competitive advantage in suchan environment in national and international levels has been introduced as acomponent effective in an organization’s survival & continual. Nowadays, thecustomers demand their services and essential Goods in their lowest price, fastdelivering and best quality. Due to the existence of various products and suppliers.The organizations managers have been trying to achieve these goals i.e reducing costof goods & services, improving quality and their fast delivering in interaction withcustomers value. considering the environment condition dominant on economicinstitution. Managing & balance-making among 3-above mentioned factors is on ofthe most controversial issues in strategic management. It has been introduced as a keyfactor to continue its activities in business. On the other hand, the recent changes i.elaissez-faire, flourishing of stock exchange and changing the interest-rate to thebalanced-rate are example to make different issues posed in cost managementsignificant. Since any measure to reduce cost of goods production and services candirectly have an impact on stock price in stock exchange. The main aim of this studyis to state cost management & its modern techniques focusing on target costing,quality costing, their roles in making competitive advantage & organization againstbeing effective from competitors in business.