“Product cost” is probably the most cherished sacred cow in industry. It is also the most damaging concept.
The idea is that as long as the selling price is higher than the cost of the product/service, the company is making money by producing and selling that product/service.
If that is really the case, why is it that for almost any company that loses money the reality is that for everyone of its product/services the selling price is higher than the product/service cost?
On March 24th at 8:00 AM at Elcona, Reach 360 and Insight Strategic Concepts offer you the opportunity to hear world renowned speaker Dr. Donn J. Novotny outline and explore the theory that the standard practice of cost accounting is actually Enemy #1 of Productivity.