Methods for Cost Management during Product Development: A Review and Comparison of Different Literatures

Abstract

If you would like to write for this, or any other Emerald publication, then please use our Emerald for Authors service information about how to choose which publication to write for and submission guidelines are available for all. Please visit www.emeraldinsight.com/authors for more information. About Emerald www.emeraldinsight.comEmerald is a global publisher linking research and practice to the benefit of society. The company manages a portfolio of more than 290 journals and over 2,350 books and book series volumes, as well as providing an extensive range of online products and additional customer resources and services.Emerald is both COUNTER 4 and TRANSFER compliant. The organization is a partner of the Committee on Publication Ethics (COPE) and also works with Portico and the LOCKSS initiative for digital archive preservation. ABSTRACT Purpose À The paper provides an overview of research published in the innovation and operations management (IOM) literature on 15 methods for cost management in new product development, and it provides a comparison to an earlier review of the management accounting (MA) literature (Wouters & Morales, 2014). Methodology/approach À This structured literature search covers papers published in 23 journals in IOM in the period 1990À2014.Findings À The search yielded a sample of 208 unique papers with 275 results (one paper could refer to multiple cost management methods). The top 3 methods are modular design, component commonality, and Advances in Management Accounting, Volume 26, 139À274Originality/value À This review of research on methods for cost management published outside the MA literature provides an overview for MA researchers. It highlights key differences between both literatures in their research of the same cost management methods.

Innovative management accounting practices for sustainability of manufacturing small and medium enterprises

“…During this data collection process 350 articles were identified using the following keywords: The researchers deemed it appropriate to adopt the philosophy of Creswell (2014), and Wouters et al (2016) to track subject concepts and data from a wide range of literature through which the following articles were rejected:…”

Research on target costing: past, present and future

“…Despite the centrality of accurate information, target costing's neglect of information uncertainty is emphasised as one critical but overlooked weakness (Dittmar 1996;Koonce et al 2007). The particular relevance of the uncertainty problem is mainly due to the earliness of target costing's application during the product development process (Werner 2014), coupled with the necessity to look far ahead (Wouters et al 2016).…”

“…To conduct behavioural-oriented target costing research, different research designs appear applicable. In addition to an analytical approach, various types of empirical research can be applied (Wouters et al 2016). Experiments, as one such type, appear especially fruitful, because they enable data generation within a controlled environment.…”

“…Wouters and Morales (2014) as well as Wouters et al (2016) generally criticise target costing's oftentimes limited scope in terms of not considering that a particular development project may be highly impacted by choices made in other product development projects. With regard to working capital management, each product can, on the one hand, have a positive present value.…”

“…Furthermore, IOTC is characterised as particularly transmitting market pressure to suppliers(Agndal and Nilsson 2009;Axelsson et al 2002), building buyer-supplier relationships(Varoutsa and Scapens 2015;Windolph and Moeller 2012) and controlling inter-organisational product development(Axelsson et al 2002;Martinez Ramos 2004). Open book accounting is a possibility to support the potentially farreaching cooperation initiated by IOTC(Wouters and Morales 2014;Wouters et al 2016).…”