MBA (2011-13) – Semester IV – ACTIVITY BASED COSTING
ASSIGNMENT - LEARNING EXERCISE

Students will select a company or firm or business unit in any one of the following industries:

1) Manufacturing 2) Insurance 3) Bank 4) Health care 5) Hospitality 6) Government 7) Service

Each student should explore the internet for an example of a company that had implemented Activity Based Costing (ABC) and Activity Based Management (ABM) with a focus on determining customer profitability. Prepare a report (suggested length – not more than 10 pages) covering the following and give a briefing in the class:

1) Describe, in brief, the company and its business. 2) What was the problem faced by the business or company? 3) What was the scope of ABC / ABM project? 4) What were the goals for the ABC / ABM project? 5) How ABC/ABM was implemented? 6) Summarize the results achieved after implementation of the project. Financial evaluation of results by quantification expected. 7) Your observations, comments, criticism and suggestions, if any. 8) Legend, bibliography, references etc.

Submit assignment to Exam Section. Print-out of PPTs (handout mode – 4 or 6 slides per page) can be submitted later, but before presentation in the class.

Important: This is an individual assignment and each student should select different company from the sector selected for study and complete the assignment. Please inform other students of the name of the company you have selected, by entering company name in an excel sheet. Two or more students should not select same company for assignment.

Students should not select any of these companies / projects:

The Classic Pen Company Paisley Insurance Company
Western Dialysis Clinic. Bedford Mining
The Rossford Plant The Portables Group
John Deere Component Works UTI Bank Ltd.
Color Plus Ltd. Jay Engineering
Stac Industries Seneca Foods
General Motors Corporation Siemens Electric Motor Works
Kanthal The Co-operative Bank
Airport Complex City of Indianapolis – Costing of City Services