In order to evaluate and estimate the costs of products produced in a complex manufacturing environment properly,an improved activity-based costing(ABC) model is presented.By utilizing the input-output analysis method,the complex consumption relationships in a complex manufacturing environment are first expressed.The consumption characteristics(mainly presented by the activity rates) of all production activities are extracted by solving these relationships.Then with the consumption characteristics and operating parameters of these activities,the detailed cost consumption of a product in its manufacturing process is estimated.A case study is finally given based on the compressor products of a manufacturing company,and its effectiveness is shown.As the cost influence of complex consumption relationships is fully considered,the limitation of traditional ABC method is overcome,and therefore a high accuracy in product cost estimation under the complex manufacturing environment can be achieved.
