Outlines increasing US concern over the inadequacy of traditional cost‐based performance measures in helping manufacturing businesses to achieve excellence in operations and reproduces a case from Tatikonda and Tatikonda (1993) to illustrate the problem. Summarizes some ideas on costing for...

Defines cost management as “a set of techniques and methods for controlling and improving a company’s activities and processes, its products and services” to achieve continuous improvement and deal with global competition; with commitment from top management and worker involvement. Offers...