2000 Volume 9 Issue 1 Pages 25-42
So far, Target Costing has put great emphasis on systems to set up and achieve target costs. As management tools for Target Costing, we have most offen considered Value Engineering only. We have an idea that states that the integrated Target Costing concurrently accomplish not only target costs, but also quality, reliability and delivery and so on to customer demand. Therefore, this paper builds up a hypothesis that it is much effective to integrate Target Costing with three management tools : Value Engineering, Quality Function Deployment, and Benchmarking.
The aim of this paper is to find out the relationship between three management tools and Target Costing through empirical studies for Integrated Target Costing of those tools. The hypothesis obtained by the causal relation analysis based on structural equation models provide a theoretical ground for the construction of integrated Target Costing, and for the effective selection of management tools.
