ABC Costing Workshop in Shared Services and Internal Billing and Invoicing of Corporate Expenses
ABC Costing Workshop in Shared Services Center for internal invoicing of departmental services to each of the group’s companies, branches or departments based on consumption and demand for services.
Workshop Objective
Participants will acquire knowledge of an analytical methodology and will develop an ABC costing model to distribute the costs of corporate services to the departments or companies of the group, focusing on internal billing and decision-making to reduce costs and improve processes, seeking profitability or self-sustainability of the shared services center.
Who Should Attend
Heads, managers and directors of the administrative, financial and support areas that provide service to the different departments or companies of a corporation, and who are responsible for the internal billing of the costs of Shared Services.
Benefits of Activity-Based Costing
The methodology generates accurate costs information based on the activities carried out by the organization. The analysis and use of information allows to easily detect and capture opportunities for:
- Costs Reduction
- Improving the efficiency of processes and activities
- Analysis of utilization and capacity of activities
- Profitability or Sustainability Analysis
- Analysis and optimization of portfolio of services that are delivered to areas or companies
- “Activity-Based” Budgeting
- Determination of Management Indicators
Knowledge Transfer / Syllabus
The ABC Cost Course in Shared Services Center focuses on participants:
- Knowing the methodology of activity-based costing – ABC in its different modalities: Push Model, Pull Model, Time Driven ABC
- Preparing the accounting and resources to include in the Costing ABC.
- Learn techniques for surveying Activities and Processes.
- Identify cost objects: customers, products, channels, business segments for which real costs and profitability are required.
- Determine drivers for cost allocation.
- Integrate profitability or sustainability values.
- Learn how to analyze ABC information to reduce costs, improve processes, increase profitability, and create budgets.
- Determine key financial and non-financial performance indicators.
Practical Case and Example of ABC Costs in Shared Services
Participants must bring computer equipment since they will be provided with Excel files to complete the practical case of Shared Services Center Costs.
ABC Costing Model in Shared Services
An ABC Costing model represents all operational areas of the organization, involving accounting (posted costs and expenses) and Shared Services delivered to departments (human resources, systems, auditing, finance, among others). A model contains the operational structure of the department. Cost data and results change in each period. If required, we have specialized software and additional developments that allow automating Shared Services Costing to obtain monthly results in a practical way.