Activity based costing system and an application on business providing logistic service: The case of Tekirdağ province

It is difficult for business organizations to maintain their position in markets where technological changes are rapidly increasing and competition conditions are getting more and more heavy. Increased costs reduce the profits of enterprises. Costing methods used are inadequate. Accurate and healthy cost information is needed in strategic decisions of business management. At this point, Activity Based Costing System has emerged. The logistics activities which are the bridge in delivering the goods or services produced by the enterprises to the customers; bring along additional costs like personnel, transport, warehouse and so on. In this study, activity based costing system has been applied in a logistics company. This method, which is developed as a new cost approach to the inadequacy of traditional costing systems, aims to determine the costs of logistics activities in logistics service providers. In this study, operational costs in the realization of logistics activities will be calculated and compared.