Costing and reporting in outdoor ornamental plant production companies

In Turkey, with the increasing demand for ornamental plants in recent years, the ornamental plants sector has gained momentum, and in parallel with this, the number of nurseries for growing ornamental plants has increased considerably. Parallel to these developments, production of ornamental plants, especially indoor and outdoor ornamental plant cultivation, has started to take an important place in agriculture economy in Turkey. Despite the growing importance of growing ornamental plants, the research shows that it is not given importance determining the cost of ornamental plants. It appears that a large part of the academic studies intendent to determine the cost of ornamental plants involves units costs for one decare of land but not unit cost of plant and these studies to be aimed at determining the cost of bedding plants. It is seen that the few academic studies that have made the determination of the cost of perennial plants do not have a systematic and comprehensive costing therefore, it does not offer a structure that would allow cost management. In this context, it is aimed to present an approach for the detailed determination of the production costs of outdoor ornamental plants. For this purpose, a detailed costing study was carried out by using the actual and estimated data of a company that produces outdoor ornamental plants operating in the province of Sakarya. In the scope of the study, primarily the activities carried out in the nursery were identified. After that, the cost of each activity was determined and the allocation of operating costs was made by taking into account the rates of utilization of the activities. Thus, the direct costs of the plant and the shares they receive from the activities are calculated, and a comprehensive roadmap for determining the cost of each plant is presented.