Value analysis-material control, Managerial Accounting

Value analysis

Is a formalized technique involving a rigorous analysis of products at the design stage or at any time during the saleable lives, to determine their value characteristics? These are the attributes that a customer looks for in a product and include its use value (functional qualities), appeal value (color, style etc.) and second-hand value (e.g. trade-in-price). The object of value analysis is to build into the product the optimum of desired value at minimum cost, by introducing the most up-to-date designs, materials and methods of manufacture.  No more value need be built into the product than is desired by the customer.  For example, moulded plastic bumper bars are now fitted to many cars, because they are cheaper than and equally as functional as chromium-plated steel ones.

Posted Date: 12/5/2012 7:54:23 AM | Location : United States







Related Discussions:- Value analysis-material control, Assignment Help, Ask Question on Value analysis-material control, Get Answer, Expert's Help, Value analysis-material control Discussions

Write discussion on Value analysis-material control
Your posts are moderated
Related Questions
Explain the main purpose of cost centre The main purpose of cost centre is two fields. 1. Recovery of cost: costs are collected, classified into two field in respect of



How can we draw a break even chart Under this method the variable cost line is drawn first and then fixed cost line is drawn over and parallel to the variable cost line. The fi

Going rate or follow the crowd pricing:- In this method the firm price its products at the similar level as that of the competition. This method supposes that there will be no

how long will it take to get answers after question are submitted

Issa Company manufactures a personal computer designed for use in schools and markets it under its own label. Issa has the capacity to produce 25000 units a year but is currently p


Balanced Score Card This is a popular approach in current management thinking which consists of a variety of indicators both financial and non-financial. The balanced scorecard

Classification of ratio according to significance   The ratios have also been classified according to their significance. Some ratios are more important than other and the fir