Qht1 Task 1

Internal failures happen for a variety of reasons, defective materials, incorrect machine settings, faulty equipment, carelessness and others. The trade-off cost for fixing these types of failures would be cost of additional production time, scrap materials and rework of inadequate products, investigation costs into the root cause of the issues as well as workers’ salaries to not only do the investigation and rework if needed, but the salaries of the employees that are not able to run the production lines to produce items. The other failure cost is External and these are failures that are discovered by the consumer once they have purchased the product. These can carry a much higher cost when found by the consumers. These costs can include Warranty repairs or replacements, costs of having a customer care center or call center to deal with customer complaints, discounts to customers for current or future products and Legal action if the failure of a product caused some type of personal injury.

Internal failures often happen for many different reasons including receiving defective products from vendors, having the wrong settings set on the machines used to produce the product, using equipment that is not up to the correct safety standards, as well as using the improper methods when operating the machines, carelessness of employees, and not using the proper material handling procedures set forth by the company. The costs of internal failures include loss of production time, having to scrap and rework products, having to investigate circumstances within the workplace that are costing the company money, and damage done to the equipment. Regarding rework, often times the salaries and wages of employees can be affected. With his, there are many steps and procedures that a company must undergo and figure out to be able to get to the bottom of the issues that lie within this aspect of internal failure costs.

A variety of data will be required to test the theory of effectiveness being employed. Firstly, data will be required regarding incidences where in EMNC could be faced with lawsuits ranging from: patient negligence to a, failure to protect nursing staff and other health care workers from injury. Other data will come from the literature on health care giver standards that have been shown to help avoid lawsuits, (e.g. failure to use equipment in a responsible manner, failure to communicate, failure to document patient care and failure to act as a patient advocate).

1. Activities to be crashed in order to complete the project within 30 weeks: Task F. and task D.

In exams, you will not have demonstrated your understanding of the answers to these exercises if you seek only to memorise them. You are encouraged to use tutorial time to discuss issues that will test and clarify your understanding of these exercises, as well as expanding your analytical and critical-thinking skills. 2.5 Costs can be classified and reported in many different ways, depending on the purpose for which managers will use the information. Students should be careful how they interpret this phrase. It is not really different costs but the same bundle of

There are many entrepreneurs who come together as an organization and build an entrepreneurial culture to seek opportunities for innovations. An entrepreneurial culture is an environment where entrepreneurs are inspired to create new innovations. Innovation is basically to have a new idea, to change something from the old and make it new. The way people interact with one another and recognize their environment is all a part of a culture. In a business industry setting, entrepreneurial cultures are defined as the business owners getting together to inspire each other to brainstorm new ideas/ products, innovations. There are many companies out there that exemplify innovation. One that comes to mind and I believe everyone can agree is Apple

This article discussed variable costing, what is primarily used for and applicability in manufacturing situations. Cost accounting supplies management with the necessary information for decision making (Hasan, 2016). The appropriate costing of a product is essential in taking appropriate managerial decisions (Hasan, 2016).

For external reporting, production costs must be assigned to products for both income and asset reporting purposes. For operational cost control, strategic decision making, and performance measurement purposes, however, many organizations also capture and assign costs from the other functions in the internal value chain. What methods are used to measure costs and profits across the value chain, and does their usage vary by function? We identified the most frequently used types of methods as: x Actual costing, x Normal costing, x Standard costing, and x Activity-based costing.

Generally, every activity that a company does has costs. So all the activities like placing an order for its production, inspection of the raw materials, hiring of employees, training for the new employees, packaging of the products, shipment of the products, advertisements etc.

The costing systems aid companies in determining the cost of a product in relation to the revenue the product generates. The costing systems commonly used in businesses include activity-based costing and traditional costing. Traditional costing system assigns the manufacturing overhead based on the capacity of a cost driver. For example, the amount of direct working hours required to produce a particular item. Cost drivers are factors that cause cost to incur, like machine hours, direct material hours, and direct labor hours. Activity-based costing system allocates cost of manufacturing a product in accordance to the activities required to produce the particular item. It’s therefore essential for managers to understand the merits

Therefore according to Fisher and Krumiede (2012), relevant cost information is essential for profitability analysis and strategic planning. For example, a few years ago, after implementing a more detailed costing system, Nestlé SA Chief Executive Peter Brabeck made an unexpected and alarming discovery: His company was producing 130,000 variations of its various brands, and 30 percent were not making money (Ball, 2007). Although almost two-thirds of Australian executives (63%) believe that retailers reducing product range/varieties on their shelves will negatively affect their businesses (Thornton, 2013). Voodoo Ltd has taken initiative and experienced exponential growth in their new brands that they have created to attract new customers. However, Voodoo Ltd should not lose focus from its signature products. Voodoo Ltd should look to reassess which brands are not economically viable and remove them from production.

The final type of cost that I will be talking about is Total Costs. Total cost describes the total economic cost of production which is made up of variable costs, which can change according

Major cost categories of the company, the drivers behind these costs, and the internal and external factors that influence costs the most

In conclusion, ABC stands out by breaking down the costs into a very detailed level. This information will give management a very clear picture of which processes come with high costs but little value and how to improve the process or to eliminate the process entirely. This method is suitable for use when there is high overhead, complex product and in very competitive market.

The ABC costing system is a technique in cost management. Activity Based Costing aims to reduce costs while at the same time enhancing product quality. Managers use ABC to identify how resources uses cost differently and then determine areas which need continuous improvements. When a unit is produced, unit level activity is done. After a whole batch is doe every time, batch level activity is undertaken for the company. For effective production process, we allow facility sustaining activities in the company. Service industries consist of different services which take different levels of resources. The existence of regulation and stiff competition in the service industry do determine the costing system to be used in the