MBA Strategic Cost Management

This book is a comprehensive and authentic textbook for those seeking a thorough understanding of strategic cost management in the modern business environment. It emphasises the importance of cost consciousness in the competitive business world, highlighting its role in the survival and sustainability of business concerns.

Structured into 38 well-organised chapters, the textbook discusses traditional and modern cost management techniques, ensuring a broad and updated coverage of the subject matter. Special attention is given to Operations Research, simplifying complex topics like Simulation Modeling, Learning Curve Theory, Assignment Problems, Transportation Problems, Linear Programming, and Network Analysis for easier student comprehension.

This book is tailored for students and professionals in higher-level cost management courses. It is particularly beneficial for those preparing for M.Com., MBA, MFM, CA, CMA, and CS courses.

The Present Publication is the 5th Edition, authored by Ravi M. Kishore, with the following noteworthy features:

• [Simple & Lucid Language] The content is presented to simplify complex concepts, making it accessible to students and professionals alike
• [Illustrations & Diagrams] The concepts within are elucidated through a multitude of illustrations and diagrams, making complex and advanced subjects more accessible
• A significant focus is given to Operations Research, presented in an easy-to-understand manner
• [Theory Questions] are included at the end of each chapter to aid in self-testing and reinforce learning
• [Practical Problems] Each chapter is fortified with numerous solved practical problems for self-study, enhancing the hands-on learning experience

The detailed contents of the book are as follows:

• Overview of Strategic Cost Management
• Cost Concepts for Decision-Making
• Incremental, Relevant and Opportunity Cost Concepts
• Activity-Based Cost System
• Target Costing
• Backflush Accounting and Resource Consumption Accounting
• Throughput Accounting
• Breakeven and Volume – Cost-Profit Analysis
• Application of Marginal Costing Technique
• Cost Control Through Standard Costing
• Cost Management with Setting Budgets
• Product Pricing – Methods and Strategies
• Responsibility Accounting and Divisional Profitability
• Interdivisional Transfer Pricing
• Management of Marketing and Distribution Cost
• Productivity Management
• Capacity Management
• Employee Training, Relocation and Cost of Strike
• Pareto Analysis and Theory of Constraints
• Just In Time and Lean Manufacturing
• Quality Management – Systems and Techniques
• Project Life Cycle Costing
• Product Life Cycle Costing
• Balanced Score Card
• Business Process Outsourcing
• Benchmarking
• Value Chain Analysis
• Supply Chain Management
• MRP, MRP II and ERP
• Management Information Systems
• Uniform Costing and Interfirm Comparisons
• Cost Audit and Management Audit
• Simulation Modelling
• Learning Curve Theory
• Network Analysis (PERT and CPM)
• Assignment Problem
• Transportation Problem
• Linear Programming
• Mathematical Tables

About the Author

Ravi M. Kishore

Ravi M. Kishore was a distinguished academician, author, and management consultant with a remarkable career spanned multiple domains, including finance, accounting, and corporate management. A scholar with a Master's degree in Commerce from Sri Venkateswara University, Tirupati, and a Bachelor of Laws from Acharya Nagarjuna University, Guntur, also held esteemed professional qualifications. He was an Associate Member of the Institute of Cost Accountants of India (ICAI) and a Fellow Member of the Institute of Company Secretaries of India (ICSI). He had pursued advanced studies, including a Post-Graduate Diploma in Personnel Management from Annamalai University.

Mr Kishore's dedication to excellence extended to global standards, having completed the ISO 9000 Quality Management Systems Auditor Course from Lloyds Register Quality Assurance, London. He brought this wealth of knowledge to his 15 years of senior management experience in medium and large manufacturing organizations, where he handled critical functions in Finance, Accounting, and Secretarial Operations.

Later, as a Management Consultant, he provided specialized advisory services to the corporate sector. In addition to his professional accomplishments, Mr. Kishore was deeply committed to education. For 18 years, he actively taught and authored several influential books for CA, CMA, CS, MBA, and M.Com courses, making complex topics accessible to students and professionals alike.

His literary contributions include classics like Strategic Management, Cost and Management Accounting, Financial Management, and advanced titles for CA and CMA students, such as Advanced Management Accounting and Strategic Financial Management. His works remain widely used and respected in academic and professional circles.

Ravi M. Kishore's legacy lives on through his books, which continue to empower students and professionals across India. His contributions to finance and management are remembered with great respect and admiration.