Application Research Of Activity-based Costing To Third Party Logistics

With the fast development of global economy and the advancement of technology, logistic industry-a new and developing service business is rapidly growing up in the world.Logistic industry is regarded as a basic industry for the development of national economy, and its development level is one of important symbols to measure a country's modernization degree and comprehensive nation strength. Recently,logistic industry has also been rapidly grown up in China,a number of modern tremendous logistic enterprises have emerged out. How to strengthen management of the logistics cost,and how to support enterprises to run with the proper logistics cost rational, are the issues that modern enterprises have to face.Since problems of high indirect costs and personized logisitcs services as well as pricing difficult which exit in the third party logistic industris,the traditional costing practices which adopt single standard of distribution of costs and properly unable to reflect the effect on product service of different costs,and can not fit in with the requirement of enhance cost in the thirt party logistic industries(3PLs). Aiming to characteristics of 3PLs,the main purpose of this paper is to study the application of ABC to calculate and manage logistics costs in Third-Party Logistics providers (3PLs), then search for an effective way to calculate logistics cost, from a microscopic view and the angle of logistics service provider. This article mainly adopts methods of application researching, and uses methods of integration of quantitative and qualitative analysis to confirm the applicability of ABC in 3PLs, and to construct ABC calculation model, A case is used on actual logistics enterprises' data for demonstrating the ABC application in 3PLs.The following five chapters are the main research content:Chapter 1 explains the study background,the study significance,literature review and writing ideas.The literature review mainly analyzes the current cost management in foreign logistics enterprises, and analyzes the current situation of logistics enterprise cost management, disadvantages,future developing trend in China.Chapter 2 mainly introduces the basic theories.Firstly,it makes more detailed explanation on logistics enterprise cost defination,classification and features. Second,it introduces Activity-Based Cost concept and compare calculation between ABC and Traditional Costing. Based on the analysis of the present problem of cost calculation and product cost structure, cost attributes in 3PLs, this paper demonstrates the applicability of ABC in 3PLs.Chapter 3 is the core of this essay. It defines each activity and process involved in enterprise logistics system with Activity-Based Cost first,and then, combines Activity-Based Cost with logistics enterprise cost accounting, especially constructs an ABC calculation apply model in 3PLs.A typical calculating example to introduce how is used to apply ABC to calculate logistics cost.Chapter 4 analyzes the procedure and method of the accounting of logistics cost based on activity, sets up the standard of logistics costing control, utilizes the analysis model of the cost variance to resolve the cost variance of the logistics, analyzes the reason why the difference produces according to the analytic approach of the factor confirm the focal point that the cost reduces and evaluates appraises the performance of the logistics cost-controlling system.Chapter 5 concludes the thesis and introduces some remaining problems to be resolved.