In continuation to my previous articles on cost accounting profession I will be discussing about the new segment of strategic cost management where those cost accountants who are employed needs to focus. As we cost accountants are now in the mode of decision making we need to develop strategies breaking the traditional strategies. The Time has again come when the Indian economy is trying hard to get back on track and macro factors are also working in favor of the business and industry. It might take few more quarters to get the real numbers coming up in the profit loss and cash-flow statements but prior to that I find the strategic cost management division should focus aggressively on increasing revenue. It has been found that by just saying cost management one gets a image of only cost reduction. Well the period of cost reduction and cost efficiency have been achieved much during the slowdown phase of the Indian economy over the past several years. The time has now come when we need to focus on efficient application of resource and design strategic cost management to maximize the returns during these macroeconomic growths. We have found that many companies suffer from high sales but poor margins and profitability. This is article is expected to solve a certain part of this issue.
Indraneel Sen Gupta
Master in Economics/MBA in International Business Management/ICAI Final/Journalist
Global Business Strategist & Global Macro Economic Researcher