Cost Management: A Literary Review of Time-Driven Activity-Based Costing

Abstract

In the literature on costing methods, the Time Driven Activity Based Costing (TDABC) is presented as a new instrument developed in order to respond to the various criticisms addressed to its predecessor, the Activity Based Costing (ABC). Presented in 2004 by its promoters R. Kaplan and S. Anderson as a new method, a new instrument to improve the allocation of indirect costs in the global cost, in order to obtain still accurate information, and this to define the priorities of improvement of the processes, the variety of the products, prices and relations of the customers. The present paper reminds the different limits of the ABC method, then, through an analysis of articles published on internet databases (Scopus, WOS ...) on the implementation of the TDABC, presenting the calculation principle, contributions and criticisms.