Application of Activity-Based Costing (ABC) for a Peruvian NGO Healthcare Provider

This article in the International Journal of Health Planning and Management describes the application of activity-based costing (ABC) to calculate the unit costs of health care services provided by a nongovernmental organization in Peru. ABC assigns costs to an organization’s activities committed to a service, rather than the resources committed to a service, to determine their costs and ultimate cost-effectiveness. The study concludes that applying ABC in a developing country setting is feasible, yielding results that are directly applicable to pricing and management and enabling the organization to determine which services generate revenue and which operate at a loss.

Waters H, H Abdallah, and D Santillán, “Application of activity-based costing (ABC) for a Peruvian NGO healthcare provider,” International Journal of Health Planning and Management 16 (2001):3–18.

Publication Date 
March 2001
Authors 
Waters H, H Abdallah, and D Santillán
Resource Type 
Publications
Peer-reviewed Journal Articles