The use of Activity Based Cost Time Drivine (TDABC) and its role in implementing the cost leadership strategy

Abstract

The research aims to apply the time-oriented activities-based costing (TDABC) method in improving the cost leadership strategy for the woven fabric department (polyester blended - polyester 150/1) in the Wasit weaving and knitting factory. The problem of the research is that the research sample laboratory does not apply modern cost management methods represented in the time-oriented activities-based costing method (TDABC), as the Iraqi economic units suffer from their inability to compete in the labor market in light of the competitive environment, and the research was based on a basic premise that: The application of the time-oriented activities-based costing method (TDABC) contributes to the implementation of the cost leadership strategy for the polyester and polyester blend fabrics product 150/1. Time Directed Activities (TDABC) to contribute to reducing product costs, the research sample through the redistribution of indirect industrial costs based on time vectors, as well as a set of recommendations, the most important of which are: the need to apply the activity-based costing method (TDABC) as one of the cost management tools Modern for the purpose of improving the cost leadership strategy of the knitting factory - the department of knitting outer fabrics in the factory. The research also recommends the necessity of determining the unused energy in the research sample laboratory because this leads to the optimal exploitation of this energy and then reduce the cost, which in turn leads to enhancing the competitive position of the research sample laboratory.