ABC –ABM – Innovative Methods For Streamlining Public Spending

During the time, managers were seeking new methods of costs calculation incurred in the production of new products or services for profit and the achievement of more qualitative production services. In this way, the realization of some comparative cost – benefit analysis based on spending incurred by companies were very difficult, considering that the values were determined based on coefficients, without having established causal link with generating activities; the pursuit of cost reduction. Today, one can appeal to other methods of increasing competitiveness, for example the development of political strategies. Also, indirect costs are considered secondary and support activities are underestimated as important for the companies’ systemic management.