Cash Focus




 cash focus software

  

ABC Focus
ABC Focus
Benefits and features.

 

ABC Focus

 

ABC Focus.
Benefits and features
 Activity based costing software

 

 

ABC Focus Benefits         

 
 


1. ABC Focus allows the user to get a good approximation of the total real costs of products, services and unused capacity

  By real costs we mean the direct as well as an appropriate proportion of indirect overhead costs. A standard costing model (that is not based on activity based costing techniques) only caters for direct costs – the components and labour used directly in manufacturing an item. An activity based costing model provides a better estimate of the real costs because it brings in an appropriate proportion of the indirect costs associated with the manufacture of an item (or providing a service).

ABC Focus uses activity based costing to obtain total real costs very easily. It helps identify where efficiency improvements should be directed in the delivery of products and services. Enables management to control usage of materials, operational costs and track employees' time. Management can compete more effectively if they understand their costs.


2. Much easier to use than its competitor products
  The time to master the use of ABC Focus is minimal (a few hours). Installation is a matter of minutes. For those who prefer to work independently there are accompanying tutorials provided with every package. The user can learn to use ABC Focus in an afternoon, whereas the competitor products usually need a substantial training course.

The competitor products are hugely more expensive in the cost of the package and the time and cost of training. without  necessarily providing a significant amount of additional functionality.

Activity based costing models fail when people build too much accuracy and hence complexity into the model. Our philosophy is that the model needs to be sufficiently accurate that you can make good business decisions, yet not so complex that it is difficult to understand. Our competitors have much more complex components to learn and the audit trails are difficult to see which invites scepticism about the numbers amongst managers, particularly if the numbers don’t suit their agenda.

With ABC Focus the software is so easy to use that copies of the model can be given to managers for use as a management tool. You don't need to export the data via a 3rd party for dissemination to managers. Managers get the actual model which they can play with and hence take ownership. Everything is transparent.


3. Know your most profitable and least profitable products and customers
  Get a better understanding of unit costs and profitability by product, customer or process. Know what it costs to do work in your organization.

Allocate costs to product or services by the activities and resources consumed in developing, producing selling and delivering the product or service.

ABC Focus gives you a competitive cost advantage over competitors.


4. Identify expensive activities that can be targeted for re-engineering
  Draw attention to inefficiencies so managers can allocate resources to where they are most beneficial. Instead of only focusing on the costs (e.g. expenses, materials, labour), ABC Focus helps you to focus on what causes the costs (the activities that the organization does that consume resources).


5. Understand the cost trends of a business
  Can be used to monitor costs every month, and compare costs month to month. This assists the business to keep a good handle on the cost trends in their business.


6. Can cost processes (Gold version)
  The business activities can be grouped into processes. Example of a process: Service clients. ABC Focus will cost all the activities, and then all the processes. The process cost can be analyzed by cost line as well as by activity. This enables the client to understand and manage the costs of their key processes.  (Competitors don’t do this as thoroughly or as easily).


7. ABC Focus can include capital costs (Gold version)
  ABC Focus can incorporate into the model the capital used by activities to obtain the total economic cost of an item. This feature is unique and is not found in most of the competitor’s offerings. It allows the user to obtain the total economic cost of the item.


8. ABC Focus can provide all the benefits of output based budgeting (Gold version)
  When it comes to budget time, most businesses budget based on inputs (salaries, electricity, etc). With ABC Focus you can budget on outputs. For example, a business produces 100 widgets (products or services). They have set up an ABC Focus model so they know how much it costs to produce each widget and the inputs needed. Next year they plan to produce 120 widgets. ABC Focus can then report what additional inputs are required for the new requirement, and this can be used to prepare the budget for next year.


9. Be productive immediately
  Avoid the agony and cost of a lengthy implementation and training schedule. Easily installed and operated with comprehensive accompanying documentation. Install the software and start analyzing and understanding the cost of your products, services or unused capacity.

ABC Focus makes activity based costing techniques accessible to a wide range of users. When the package was reviewed in Charter (published by The Institute of Chartered Accountants). the conclusion of the reviewer, a senior accountant at Ernst & Young, follows:

"ABC Focus is a tool which makes perplexing ABC concepts simple to understand and use. Overall it is a very attractive package because its flexible costing model, combined with multi-user network capabilities, consolidated reporting and a very competitive pricing regime, make it suitable for large or small business in virtually any industry."

 

 

 

ABC Focus Features         

These features are in all versions:-  (click link for a "screen shot")
 


1. Activity based costing model is driven from a "map", which makes for quick option selection
  The software is driven from a unique "map" on the front screen that acts as a guide through the activity based costing ("ABC") analysis and implementation


2. Cost lines: employees, materials, expenses
  Cost lines have three main sections: employees, materials and expenses. There are extensive employee facilities including individual or group "on-cost" calculations.


3. Cost line allocation
  Cost lines are allocated to the cost objects either directly, or indirectly via cost pools, as appropriate.


4. Revenue can be included in the activity based costing model
  Revenue can be allocated to the cost objects. This enables the costs as well as the profitability margins to be determined.


5. Integrity check for data entry
  Data entry is facilitated by the Integrity check available at all times.


6. Results can be shown in a number of ways
  Results show the cost of the cost objects and the cost pools on a total or per unit basis. Most of the key results are easily accessible on the screen, as well as via the reports.


7. Audit trails are built-in
 

Detailed audit trails are available.

  • The flows into and out of the cost pools are audited..
  • Cost objects are audited by cost pool and cost lines.
  • The audit trails are presented in category, significance or type order.
 


8. Composite objects can be created from the cost objects in a model
  The system includes an option to combine cost objects in unlimited permutations to create new composite cost objects.


9. Note pads are included
  Note pads are available for each cost pool and cost object. This allows for detailed documentation.


10. What-if calculations
  "What if" scenarios are available by making the appropriate selections from the what-if routine.


11. Reporting is extensive
  Summary and detailed formats are available. There is a comprehensive tracker facility for both cost objects and cost lines.


12. Graphics
  Graphs are built in. User can choose items to graph. Graph can be copied into Word document or elsewhere if required.


13. Terminology is changeable by user
  Change the terminology to suit your needs.


14. Flexible and easy-to-use
  Very fast. ABC Focus will give you a real understanding of the costs and activities in your organization and will reveal inefficiencies so resources can be allocated to where they are most beneficial. Costing analysis is easy, quick and more accurate. It will help you create a more valuable business. Unlimited number of activity based costing models can be entered and analyzed. Import or export from any system that has the ability to export / import data to an Excel or ASCII formatted file.
 
These advanced features are in the Gold version:-
 


15. ABC Focus Gold includes capital costing
  ABC Focus includes capital costs (Gold version). ABC Focus goes beyond operating costs to include the cost of capital. It incorporates into the model the capital used, and provides the total economic cost of activities, processes, products or services. ABC Focus combines EVA with activity based costing giving organizations revolutionary insight, into costs, the formation of costs and profitability. Know when capital is being created or eroded, when operations are not profitable enough to support the cost of capital or if there is too much capital invested for operations. This feature is unique to ABC Focus.


16. Output-based budgeting
  ABC Focus provides all the benefits of output based budgeting (Gold version).


17. Compare models
  ABC Focus (Gold version) enables models to be compared. The comparison is shown of the costs of activity cost pools and cost objects.


18. Consolidation
  In the Gold edition consolidation of models is included. Consolidation is automatic.


19. Other features in Gold edition
  In the Gold edition:
  • Process costing and process audit trails.
  • Process view.
  • Activity dictionary.
  • Cost of capital - calculates impact on costs.
  • Trace hours to cost objects.
  • Trace units through model.
  • A supervisor function maintains user names, passwords and controls model access.
 

Take a closer look at ABC Focus software ...

Home

 

 

 

© Cash Focus Pty Limited

Site Map | Home | Purchase | Contact us | Budgets | Financial analysis | Activity based costing | Balanced scorecard