As a production manager, one of your key tasks is to improve efficiencies by either increasing productivity or reducing cost. Determine whether the responsibility reports needed to track performance should be created by department, function, or manager, using a costing method of your choice. Based on the costing method you selected, determine the type of data needed to track and evaluate performance to control costs such as cost per unit, cost per hour, etc.

As a production manager, one of your key tasks is to improve efficiencies by either increasing productivity or reducing cost. Determine whether the responsibility reports needed to track performance should be created by department, function, or manager, using a costing method of your choice. Based on the costing method you selected, determine the type of data needed to track and evaluate performance to control costs such as cost per unit, cost per hour, etc

Responsibility accounting which mainly refers to an accounting system which collects and reports the accounting data related to responsibilities of the individual managers. Responsibility reports for tracking performance should be created by individual managers not by departments. Responsibility reports system is designed to evaluate the performance of managers rather than departments.

ABC costing is the best method to track expenses according to activities. Activities drivers we need to identify to determine cost per unit and cost per hour. While traditional techniques may group costs in conventional classes like direct materials, work, and other overhead, ABC bunches all the expenses related with a solitary assembling task, whether or not they fall under the headings of work or materials or something different. In the manufacturing costing strategies are bookkeeping procedures that are utilized to help comprehend the estimation of information sources and yields in a creation procedure. By following and ordering this data as per a thorough bookkeeping framework, corporate administration can decide with a serious extent of exactness the expense per unit of creation and other key execution pointers. The board needs this data so as to settle on educated choices about creation levels, evaluating, serious technique, future speculation, and a large group of different concerns. The upside of this methodology is that managers would then be able to see which assignments cost the most versus which include the most worth; this examination may demonstrate that a lopsided measure of cash is being spent on low-esteem exercises, flagging a requirement for process changes or for re-appropriating to a merchant that can play out the tasks mainly less expensively.