Activity Based Costing for Construction Companies (eBook)

Yong-Woo Kim is Associate Professor of Construction Management in the Department of Construction Management at the University of Washington, Seattle, WA, USA. He teaches undergraduate and graduate courses in construction accounting, project delivery systems, lean construction and project cost analysis. His primary research interests are lean project delivery systems, sustainable construction and project cost management.

Chapter One. Introduction

1.1. What Comprises Costs in a Construction Company?

1.2. Overhead Costs in New Business Environments

1.3. Role of Overhead Cost Management

1.4. Structure of this Book

Chapter Two. What is Activity-based Costing?

2.1. Traditional Accounting Method: Resource-Based Costing with Volume-Based Allocation

2.2. What are the problems with the Current Method?

2.3. What is Activity-Based Costing?

2.4. How Can You Implement Activity-Based Costing?

2.5. Chapter Summary

Chapter Three. Managing Overhead Costs in Construction Projects

3.1. Project Overhead Costs as Profit Points

3.2. How can ABC be Implemented in Managing Project Overhead Costs?

3.3. How can ABC Data be Used for Managerial Purpose?

3.4. Chapter Summary

Chapter Four. Managing Your General Overhead Costs

4.1. General Overhead Costs

4.2. Role of Managing General Overhead Costs

4.3. Does the Current Practice of Managing General Overhead Costs Work?

4.4. How can ABC be implemented in managing general overhead costs?

4.5. How can ABC Data be Used in Managing General Overhead Costs?

Chapter Five. Managing Overhead Costs in a Fabrication Shop

5.1. Rebar Supply System

5.2. Case Study: PQR Construction

5.3. Case Analysis using Traditional Rebar Costs Allocation

5.4. Case Analysis using Activity-Based Costing

5.5. How can ABC data be used for managaerial purpose?

5.6. Chapter Summary

Chapter Six. Activity-Based Costing in your Organization

6.1. The Benefits of ABC Journey

6.2. Implementation Roadmap for ABC

6.3. Common Mistakes in your Journey

Index