IMPLEMENTATION OF THE ACTIVITY BASED COSTING METHOD IN CONSTRUCTION
DOI:
https://doi.org/10.21009/jpensil.v12i1.32323Keywords:
Activity Based Costing, Project Construction, Cost StandardizationAbstract
This study examines the factors that influence the application of the activity-based costing (ABC) method in construction projects. This research adopts a quantitative approach by developing a case study model. The study tested the model on a sample of 24 hydromechanical and gate works, weirs, irrigation networks, river protection, dams and ponds, coastal protection, swamp infrastructure, groundwater infrastructure, and raw water infrastructure. Primary data collected from field surveys. This study found that the proportion of indirect costs, competitive pressures in price and quality, and product diversification significantly influence a company's decision to apply the ABC method. There were found to be implications for managerial practice and public policy. It is hoped that this research will be useful in meeting the planning needs that are currently being addressed.
References
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Basri, F. H. (2005). Tantangan dan Peluang Otonomi Daerah. Universitas.
Cooper, R., & Kaplan, R. S. (1991). Profit priorities from activity-based costing. Harvard Business Review, 69(3), 130–135.
Culmo, M. P., Sadasivam, S., Gransberg, D. D., Boyle, H., Deslis, A., Duguay, W., Rose, D., Mizioch, C., & Mallela, J. (2013). Contracting and Construction of ABC Projects with Prefabricated Bridge Elements and Systems. United States. Federal Highway Administration.
Duran, O., & Afonso, P. S. L. P. (2020). An activity based costing decision model for life cycle economic assessment in spare parts logistic management. International Journal of Production Economics, 222, 107499.
Elghaish, F., & Abrishami, S. (2021). A centralised cost management system: exploiting EVM and ABC within IPD. Engineering, Construction and Architectural Management, 28(2), 549–569.
Er, A. C., Selvadurai, S., Ardieansyah, A., & Jusoh, H. (2011). Pembangunan Perindustrian dan Impak Terhadap Ekonomi Lokal di Dumai, Riau, Indonesia. Jurnal of Social Sciences and Humanities, Universiti Kebangsaan Malaysia.
Fang, Y., & Ng, S. T. (2011). Applying activity‐based costing approach for construction logistics cost analysis. Construction Innovation, 11(3), 259–281.
Gosselin, M. (2006). A review of activity-based costing: technique, implementation, and consequences. Handbooks of Management Accounting Research, 2, 641–671.
Kaiser, M. J. (2019). The role of factor and activity-based models in offshore operating cost estimation. Journal of Petroleum Science and Engineering, 174, 1062–1092.
Kaplan, R. S., & Anderson, S. R. (2003). Time-driven activity-based costing. Available at SSRN 485443.
Karianga, H. (2017). Carut-Marut Pengelolaan Keuangan Daerah di Era Otonomi Daerah. Prenada Media.
Kaukab, M. E. (2019). Implementasi activity-based costing pada UMKM. Journal of Economic, Management, Accounting and Technology, 2(1), 69–78.
Krishnan, A. (2006). An application of activity based costing in higher learning institution: A local case study. Contemporary Management Research, 2(2), 75.
Legowo, T. A. (2005). Pemilihan Kepala Daerah secara langsung, Good Governance dan Masa depan otonomi daerah. Jurnal Desentralisasi, 6(4), 1–13.
Li, F., Xianyi, G., & Xin, M. (2012). On reasons of uncontrollable construction cost based on the ABC analysis method and the complete decomposition model. Systems Engineering Procedia, 4, 359–365.
Liberatore, M. J., Miller, T., & Liberatore, M. J. (1998). A Framework for Integrating Activity-based Costing and the Balanced Scorecard. Journal of Business Logistics, 19(2), 131–154.
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Mardhiah, N. (2017). Identifikasi Tujuan dan Sasaran Pembangunan Desa Kabupaten Aceh Barat. Jurnal Public Policy, 3(1).
Mignone, G., Hosseini, M. R., Chileshe, N., & Arashpour, M. (2016). Enhancing collaboration in BIM-based construction networks through organisational discontinuity theory: a case study of the new Royal Adelaide Hospital. Architectural Engineering and Design Management, 12(5), 333–352.
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Rotikan, G. S. (2013). Penerapan metode activity based costing dalam penentuan harga pokok produksi pada PT. Tropica Cocoprima. Jurnal EMBA: Jurnal Riset Ekonomi, Manajemen, Bisnis Dan Akuntansi, 1(3).
Rundora, R., Ziemerink, T., & Oberholzer, M. (2013). Activity-based costing in small manufacturing firms: South African study. Journal of Applied Business Research (JABR), 29(2), 485–498.
Salawu, R. O., & Ayoola, T. J. (2012). Activity based costing adoption among manufacturing companies in Nigeria. Journal of Modern Accounting and Auditing, 8(1), 40.
Salim, A., Fadilla, F., & Purnamasari, A. (2021). Pengaruh Inflasi Terhadap Pertumbuhan Ekonomi Indonesia. Ekonomica Sharia: Jurnal Pemikiran Dan Pengembangan Ekonomi Syariah, 7(1), 17–28.
Schulze, M., Seuring, S., & Ewering, C. (2012). Applying activity-based costing in a supply chain environment. International Journal of Production Economics, 135(2), 716–725.
Sommaliagustina, D. (2019). Implementasi otonomi daerah dan korupsi kepala daerah. Journal of Governance Innovation, 1(1), 44–58.
Syafputro, E., & Ibrahim, M. (n.d.). OPTIMALISASI APBD DALAM PERSPEKTIF PERFORMANCE BUDGET. Jurnal Kebijakan Publik, 4(01), 73–80.
Tran, U. T., & Tran, H. T. (2022). Factors of application of activity-based costing method: Evidence from a transitional country. Asia Pacific Management Review, 27(4), 303–311.
Tri Asmorowati E, S. . (2021). Perencanaan Perhitungan AKNOP Pada Daerah Irigasi Mrican Sebagai Upaya Peningkatan Kinerja Irigasi. Cantilever:Jurnal Penelitian Dan Kajian Bidang Teknik Sipil, 10(1), 11–17.
Tsai, W.-H., Lan, S.-H., & Huang, C.-T. (2019). Activity-based standard costing product-mix decision in the future digital era: green recycling steel-scrap material for steel industry. Sustainability, 11(3), 899.
Utomo, C., Indriyani, R., Rohman, M. A., Nurcahyo, C. B., & Putri, Y. E. (2022). Model Pelatihan Inovasi Manajemen Biaya untuk Ketangguhan Usaha UMKM Konstruksi. Sewagati, 6(4), 463–469.
Vetchagool, W., Augustyn, M. M., & Tayles, M. (2020). Impacts of activity-based costing on organizational performance: evidence from Thailand. Asian Review of Accounting, 28(3), 329–349.
Yusuf, M., Rahmawati, R., & Aswar, A. (2020). Penyusunan Analisis Standar Belanja Pembangunan Gedung Dan Rehabilitasi Ruang Kelas Lingkup Pemerintah Kabupaten Buton Tahun 2019. RESONA: Jurnal Ilmiah Pengabdian Masyarakat, 3(2), 58–65.
Zhao, P. A., & Wang, C. C. (2014). A comparison of using traditional cost estimating software and BIM for construction cost control. In ICCREM 2014: Smart Construction and Management in the Context of New Technology (pp. 256–264).
Zulfikar, M., Ulupui, I. G. K. A., & Gurendrawati, E. (2020). Pengaruh, Inflasi, Pertumbuhan Biaya Konstruksi, Nilai Tukar, dan Suku Bunga terhadap Gross Profit Margin (GPM). Jurnal Akuntansi, Perpajakan Dan Auditing, 1(2), 249–262.
Ahmad, A. W., Misra, F., & Rosalina, E. (2013). Penyusunan Analisis Standar Belanja Sebagai Pedoman Penerapan Value For Money dalam Penganggaran pada Pemerintah Daerah: Kasus Belanja Kegiatan Pelatihan. Prosiding Simposium Nasional Akuntansi Vokasi Ke, 2, 96–111.
Back, W. E., Maxwell, D. A., & Isidore, L. J. (2000). Activity-based costing as a tool for process improvement evaluations. Journal of Management in Engineering, 16(2), 48–58.
Basri, F. H. (2005). Tantangan dan Peluang Otonomi Daerah. Universitas.
Cooper, R., & Kaplan, R. S. (1991). Profit priorities from activity-based costing. Harvard Business Review, 69(3), 130–135.
Culmo, M. P., Sadasivam, S., Gransberg, D. D., Boyle, H., Deslis, A., Duguay, W., Rose, D., Mizioch, C., & Mallela, J. (2013). Contracting and Construction of ABC Projects with Prefabricated Bridge Elements and Systems. United States. Federal Highway Administration.
Duran, O., & Afonso, P. S. L. P. (2020). An activity based costing decision model for life cycle economic assessment in spare parts logistic management. International Journal of Production Economics, 222, 107499.
Elghaish, F., & Abrishami, S. (2021). A centralised cost management system: exploiting EVM and ABC within IPD. Engineering, Construction and Architectural Management, 28(2), 549–569.
Er, A. C., Selvadurai, S., Ardieansyah, A., & Jusoh, H. (2011). Pembangunan Perindustrian dan Impak Terhadap Ekonomi Lokal di Dumai, Riau, Indonesia. Jurnal of Social Sciences and Humanities, Universiti Kebangsaan Malaysia.
Fang, Y., & Ng, S. T. (2011). Applying activity‐based costing approach for construction logistics cost analysis. Construction Innovation, 11(3), 259–281.
Gosselin, M. (2006). A review of activity-based costing: technique, implementation, and consequences. Handbooks of Management Accounting Research, 2, 641–671.
Kaiser, M. J. (2019). The role of factor and activity-based models in offshore operating cost estimation. Journal of Petroleum Science and Engineering, 174, 1062–1092.
Kaplan, R. S., & Anderson, S. R. (2003). Time-driven activity-based costing. Available at SSRN 485443.
Karianga, H. (2017). Carut-Marut Pengelolaan Keuangan Daerah di Era Otonomi Daerah. Prenada Media.
Kaukab, M. E. (2019). Implementasi activity-based costing pada UMKM. Journal of Economic, Management, Accounting and Technology, 2(1), 69–78.
Krishnan, A. (2006). An application of activity based costing in higher learning institution: A local case study. Contemporary Management Research, 2(2), 75.
Legowo, T. A. (2005). Pemilihan Kepala Daerah secara langsung, Good Governance dan Masa depan otonomi daerah. Jurnal Desentralisasi, 6(4), 1–13.
Li, F., Xianyi, G., & Xin, M. (2012). On reasons of uncontrollable construction cost based on the ABC analysis method and the complete decomposition model. Systems Engineering Procedia, 4, 359–365.
Liberatore, M. J., Miller, T., & Liberatore, M. J. (1998). A Framework for Integrating Activity-based Costing and the Balanced Scorecard. Journal of Business Logistics, 19(2), 131–154.
Lou, Y.-I., & Wang, H. C. (2013). Design and implementation of activity-based costing in a communication company. International Journal of Business and Management, 5(8), 28–33.
Mardhiah, N. (2017). Identifikasi Tujuan dan Sasaran Pembangunan Desa Kabupaten Aceh Barat. Jurnal Public Policy, 3(1).
Mignone, G., Hosseini, M. R., Chileshe, N., & Arashpour, M. (2016). Enhancing collaboration in BIM-based construction networks through organisational discontinuity theory: a case study of the new Royal Adelaide Hospital. Architectural Engineering and Design Management, 12(5), 333–352.
Moonti, R. M. (2019). Regional Autonomy in Realizing Good Governance. Substantive Justice International Journal of Law, 2(1), 43–53.
Noviades, D. (2013). Pengelolaan Keuangan Daerah Di Era Otonomi Daerah. Jurnal Ilmu Hukum Jambi, 4(1), 43294.
Rahmaji, D. (2013). Penerapan activity-based costing system untuk menentukan harga pokok produksi PT. Celebes Mina Pratama. Jurnal EMBA: Jurnal Riset Ekonomi, Manajemen, Bisnis Dan Akuntansi, 1(3).
Rochmansjah, H. (2019). Impact Regional Autonomy in Improving Public Services Quality. International Journal of Science and Society, 1(2), 173–180.
Rotikan, G. S. (2013). Penerapan metode activity based costing dalam penentuan harga pokok produksi pada PT. Tropica Cocoprima. Jurnal EMBA: Jurnal Riset Ekonomi, Manajemen, Bisnis Dan Akuntansi, 1(3).
Rundora, R., Ziemerink, T., & Oberholzer, M. (2013). Activity-based costing in small manufacturing firms: South African study. Journal of Applied Business Research (JABR), 29(2), 485–498.
Salawu, R. O., & Ayoola, T. J. (2012). Activity based costing adoption among manufacturing companies in Nigeria. Journal of Modern Accounting and Auditing, 8(1), 40.
Salim, A., Fadilla, F., & Purnamasari, A. (2021). Pengaruh Inflasi Terhadap Pertumbuhan Ekonomi Indonesia. Ekonomica Sharia: Jurnal Pemikiran Dan Pengembangan Ekonomi Syariah, 7(1), 17–28.
Schulze, M., Seuring, S., & Ewering, C. (2012). Applying activity-based costing in a supply chain environment. International Journal of Production Economics, 135(2), 716–725.
Sommaliagustina, D. (2019). Implementasi otonomi daerah dan korupsi kepala daerah. Journal of Governance Innovation, 1(1), 44–58.
Syafputro, E., & Ibrahim, M. (n.d.). OPTIMALISASI APBD DALAM PERSPEKTIF PERFORMANCE BUDGET. Jurnal Kebijakan Publik, 4(01), 73–80.
Tran, U. T., & Tran, H. T. (2022). Factors of application of activity-based costing method: Evidence from a transitional country. Asia Pacific Management Review, 27(4), 303–311.
Tri Asmorowati E, S. . (2021). Perencanaan Perhitungan AKNOP Pada Daerah Irigasi Mrican Sebagai Upaya Peningkatan Kinerja Irigasi. Cantilever:Jurnal Penelitian Dan Kajian Bidang Teknik Sipil, 10(1), 11–17.
Tsai, W.-H., Lan, S.-H., & Huang, C.-T. (2019). Activity-based standard costing product-mix decision in the future digital era: green recycling steel-scrap material for steel industry. Sustainability, 11(3), 899.
Utomo, C., Indriyani, R., Rohman, M. A., Nurcahyo, C. B., & Putri, Y. E. (2022). Model Pelatihan Inovasi Manajemen Biaya untuk Ketangguhan Usaha UMKM Konstruksi. Sewagati, 6(4), 463–469.
Vetchagool, W., Augustyn, M. M., & Tayles, M. (2020). Impacts of activity-based costing on organizational performance: evidence from Thailand. Asian Review of Accounting, 28(3), 329–349.
Yusuf, M., Rahmawati, R., & Aswar, A. (2020). Penyusunan Analisis Standar Belanja Pembangunan Gedung Dan Rehabilitasi Ruang Kelas Lingkup Pemerintah Kabupaten Buton Tahun 2019. RESONA: Jurnal Ilmiah Pengabdian Masyarakat, 3(2), 58–65.
Zhao, P. A., & Wang, C. C. (2014). A comparison of using traditional cost estimating software and BIM for construction cost control. In ICCREM 2014: Smart Construction and Management in the Context of New Technology (pp. 256–264).
Zulfikar, M., Ulupui, I. G. K. A., & Gurendrawati, E. (2020). Pengaruh, Inflasi, Pertumbuhan Biaya Konstruksi, Nilai Tukar, dan Suku Bunga terhadap Gross Profit Margin (GPM). Jurnal Akuntansi, Perpajakan Dan Auditing, 1(2), 249–262.
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Published
2023-01-31
How to Cite
Sarasanty, D., & Erna Tri Asmorowati. (2023). IMPLEMENTATION OF THE ACTIVITY BASED COSTING METHOD IN CONSTRUCTION . Jurnal Pensil : Pendidikan Teknik Sipil, 12(1), 77–86. https://doi.org/10.21009/jpensil.v12i1.32323
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