Abstract
This paper describes an approach to integrate the Activity Based Costing (ABC) technique within the framework of GRAI Integrated Methodology (GIM) in order to assist business process reengineering justification and evaluation. The first step of integration is to have ABC adopt cost pools and lists of activities derived from GIM process modelling. Further on ABC is involved in two stages of the methodology: (a) ABC adds to the ECOGRAI method of performance modelling by supporting the determination of the right performance indicators that are responsible for business process costs. (b) ABC is a sound approach to translate operational performance indicators not found in accounting ledgers into financial terms and the company’s profit bottom line.
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© 1997 IFIP International Federation for Information Processing
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Tatsiopoulos, I.P., Xerokostas, A., Panayiotou, N. (1997). The Connection of Activity Based Costing to the GRAI Integrated Methodology for Reengineering Purposes. In: Doumeingts, G., Browne, J. (eds) Modelling Techniques for Business Process Re-engineering and Benchmarking. IFIP Advances in Information and Communication Technology. Springer, Boston, MA. https://doi.org/10.1007/978-0-387-35067-7_24
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DOI: https://doi.org/10.1007/978-0-387-35067-7_24
Publisher Name: Springer, Boston, MA
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