Volume 1, Issue 1, March 2017, Page: 11-15
Target Costing, the Linkages Between Target Costing and Value Engineering and Expected Profit and Kaizen
Ghodratollah Talebnia, Faculty Member Science and Research Branch of Tehran
Fatemeh Baghiyan, Department of Azad University, Kish International Unit, Nuclear Science and Technology Research Institute, Plasma Physics and Nuclear Fusion Research School, Tehran, Iran
Zahra Baghiyan, Damavand Unit, Department of Azad University, Tehran, Iran
Forough Moussavi Najaf Abadi, Damavand Unit, Department of Azad University, Tehran, Iran
Received: Dec. 8, 2016;       Accepted: Mar. 13, 2017;       Published: Mar. 29, 2017
DOI: 10.11648/j.ijem.20170101.12      View  2390      Downloads  297
Target costing is a pricing method used by firms. It is defined as "a cost management tool for reducing the overall cost of a product over its entire life-cycle with the help of production, engineering, research and design". A target cost is the maximum amount of cost that can be incurred on a product and with it the firm can still earn the required profit margin from that product at a particular selling price. In this article, financial expertise of thousands of teachers the period 2011-2012 was used to study the linkages between Target costing and Value Engineering and Expected profit and Kaizen. As the newest and most accurate method of target costing strategy can be very effective on corporate profitability and the factors discussed in the implementation of this method was considered to be controlled.
Target Costing, Kaizen, Value Engineering, Expected Profit
To cite this article
Ghodratollah Talebnia, Fatemeh Baghiyan, Zahra Baghiyan, Forough Moussavi Najaf Abadi, Target Costing, the Linkages Between Target Costing and Value Engineering and Expected Profit and Kaizen, International Journal of Engineering Management. Vol. 1, No. 1, 2017, pp. 11-15. doi: 10.11648/j.ijem.20170101.12
Copyright © 2017 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Cooper & Slagmulder (1997). "Target Costing and Value Engineering". Productivity Press, New York, NY, USA.
Maskell & Baggaley (December 19, 2003). "Practical Lean Accounting". Productivity Press, New York, NY.
Clifton, Bird, Albano & Townsend (2004). "Target Costing; Market-Driven Product Design". Marcel Dekker, Inc. ISBN 0-8247-4611-2.
Sani, Alireza Azimi; Mahdi Allahverdizadeh. "Target and Kaizen Costing". World Academy of Science, Engineering and Technology 62 (10): 49. Retrieved 22 October 2012.Cite uses deprecated parameters (help)
Cooper, R. and Slagmulder, R. (1997): Target Costing and Value Engineering.
Cooper. R. And Slagmolder. R., "Target Costing for New-Product Development: Product-Level Target Costing", Journal of Cost Management, PP 5-12, 2002.
Sakurai, Michiharu. 1989. “Target costing and how to use it.” Journal of Cost Management.
Horváth, Peter. 1993. Target Costing: State of the Art Report. Arlington, Texas: Computer Aided Manufacturing-International (CAM-I).
Yoshikawa, T., Innes, J., Mitchell, F., 1994. Applying functional cost analysis in a manufacturing environment. International Journal of Production Economics 36 (1), 53–64.
Yoshikawa, T., Innes, J., Mitchell, F., 1995. A Japanese case study of functional cost analysis. Management Accounting Research 6 (4), 415–432.
Tani, T., Okano, H., Shimizu, N., Iwabuchi, Y., Fukuda, J., Cooray, S., 1994. Target cost management in Japanese companies: Current state of the art. Management Accounting Research 5 (1), 67–81.
Ewert, R., Ernst, C., 1999. Target costing, co-ordination and strategic cost management. The European Accounting Review 8 (1), 23–49.
Carr, C., Ng, J., 1995. Total cost control: Nissan and its UK supplier partnerships. Management Accounting Research 6 (4), 347–365.
Rabino, S., 2001. The accountant’s contribution to product development teams—a case study. Journal of Engineering and Technology Management 18 (1), 73–90.
McMann, P., Nanni, J., 1995. Means versus ends: A review of the literature on Japanese management accounting. Management Accounting Research 6 (4), 313–346.
Montoya-Weiss, M. M., Calantone, R., 1994. Determinants of new product performance: A review and meta-analysis. Journal of Product Innovation Management 11 (5), 397–417.
Cooper, R., Slagmulder, R., 1997. Target Costing and Value Engineering. Productivity Press, Portland, OR.
Cooper, R., Slagmulder, R., 1999. Develop profitable new products with target costing.
Browse journals by subject