Quick Menu

Upcoming Journals
  • No Upcoming Journals

British Journal of Economics, Management & Trade

British Journal of Economics, Management & Trade, ISSN: 2278-098X,Vol.: 17, Issue.: 1

 

Original-research-article

 

Implementation Problems of Activity Based Costing: A Study of Companies in Jordan

 

 

Abedalqader Hasan1*

1Faculty of Business Studies, Arab Open University-Oman Branch, Oman.

 

Abstracts

 

The aim of this study is to know the implementation rate of activity based costing system in Jordanian Limited Liability Companies (LLC) and to know the most important problems which face the implementation process. Two data collection methods used in current study. Firstly, a quantitative method conducted by using a questionnaire survey to determine ABC adoption and implementation rate. This followed by a qualitative method, semi-structured interviews were utilized to find out the most important barriers and problems which face the implementation process of ABC implementation. The  results  of  this  study  showed  that  ABC  implementation  rate  in  Jordanian  Limited  Liability Companies (LLC) is approximately 3.5% measured according to the third criteria which combine between implementers and users. This criterion used before by [3] in 2012. Regarding the interviews analysis, the data analysis counted on within-company analysis to know the background of each company, the barriers and problems encountering the implementation of ABC. This analysis followed by cross-company analysis to know all barriers and problems identified by all companies. The research results suggested that Jordanian Economic Crisis caused by the wars around Jordan in Iraq and Syria led to stop all the new management accounting initiative such as ABC. ABC is too costly, spending too much time, not our priority also a barrier mentioned by the companies. These followed by a lack of top management support, difficulties of choosing of cost drivers, Activity-based costing software can be expensive and high cost consultants as the problem hindering the implementation of ABC, followed by difficulty in identifying activities, lack of local consultants, and changes required for company structure to fit activities selected.

 

Keywords :

Activity-based costing; strategic management accounting; cost drivers; overhead costs; traditional costing system.

 

Full Article - PDF    Page 1-9    Article Metrics

 

DOI : 10.9734/BJEMT/2017/32855

Review History    Comments

Search this site

Advanced Search

Announcement & News

ISI Thomson Reuters selected British Journal of Pharmaceutical Research for Emerging Sources Citation Index

We are delighted to inform that ISI Thomson Reuters selected British Journal of Pharmaceutical Resea...

SCOPUS selected Annual Research & Review in Biology (ARRB)

We are delighted to inform that famous indexing organization SCOPUS (from Elsevier) selected  A...

Index Copernicus Evaluation Result Released

We are delighted to inform that Index Copernicus (a leading indexing organization from Pol...

Journal Repository (JR): Permanent Digital Archiving of SDI journals

SDI is happy to announce that all our journals are now permanently archived in Journal Repository (J...

Index Copernicus Value of British Journal of Medicine and Medical Research

  We are delighted to inform that Index Copernicus (a leading indexing organization ...

SDI journal got 35th ranking in Publons

We are delighted to announce (as of 04/01/2016) that British Journal of Medicine and Medical Re...

Growth of SDI and world publication market

As of 2014, total 25,064 journals are competing in World market of journal publication. In 2011, tot...

Publication and site statistics (up to Sept, 2015)

  Number of submission: 22181 (Total up to Sept, 2015) Number of published paper: 10949&n...

Index Medicus selected 15 SDI journals

We are delighted to inform that Index Medicus (IMSEAR) has selected following 15 SDI journals for in...

SCIENCEDOMAIN international received 5844 submissions in 2013

SCIENCEDOMAIN international is pleased to announce that it has received 5844 submissions in 2013, ac...



SCIENCEDOMAIN Awards

  • No Awards listed.

Browser Compatibility : Mozila firefox, Google Crome and IE 7 & above. Creative Commons License Terms & Condition   |   Privacy Policy   |   Join Us   |   Help   |   Contact Us
© Copyright 2010-2017, SCIENCEDOMAIN international. All rights reserved.