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Fully
understand your product and supply chain costs.
SBM's Activity Based Process Model gathers financial and operational
data together in a comprehensive applied business model that defines
the relationships between resources, activities, processes and
products. By modeling the compliextiy of real business processes it
enables you to fully understand your product and supply chain costs.
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Accurate
allocation of costs.
By tracing consumption in units of time and quantity and applying
unit prices to calculate costs, costs are properly attributed to
specific activities and production processes so you get more accurate
allocation of costs and a better understanding of resource
consumption patterns
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Burden
is proactively allocated.
Because cost follows the consumption of capacity, unused
capacity is not automatically attributed to products so product costs
are not burdened with the cost activities they have not consumed.
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Excess
and Idle Capacity is Visible.
Excess
and idle capacity is made visible so the full absorption of costs is
proactive and the impact of absorption costing on product costs can
be clearly seen
-
The
maintenance of cost models is a simple task
as there is no need for expensive and time consuming surveys
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Provides
a forward looking business model.
In
contrast to conventional costing methods which use historical data,
SBM: Solutions provide a forward looking business model that
recognises future business changes.
-
Forecasting
change is easy. By
using different price tables and changing models to reflect the use
of different materials and resources, forecasting the impact of
changes to price and consumption becomes a straightforward analysis
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Eliminate
non value added processes.
By
modelling the process route and business logic of how resources are
consumed you are able to see how costs are accumulated and profits
eroded during the manufacturing and distribution process and through
this focus on eliminating non value added processes and activities
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Manage
operational and capacity constaints. Limiting
resources, unused capacity and operational constraints are
automatically identified so they can be proactively managed.
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Use
time based calculations.
As
resource consumption and machine occupancy tiimes are clearly
visible, time based calculations of profitability, revenue and Return
On Assets and Investments are straightforward.
-
Enhance
the value of existing systems by using the data that
they contain
-
No
need for time consuming surveys.
Data
tables, equations and generic industry rules enable you to calculate
accurate resource consumption times and quantities without the need
for expensive time consuming interviews and surveys and on-going maintenance
