16 September 1994 Implementation of activity-based costing (ABC) to drive cost reduction efforts in a semiconductor manufacturing operation
Author Affiliations +
Abstract
This paper presents a case study on the implementation of ABC to calculate the cost per wafer and to drive cost reduction efforts for a new IC product line. The cost reduction activities were conducted through the efforts of 11 cross-functional teams which included members of the finance, purchasing, technology development, process engineering, equipment engineering, production control, and facility groups. The activities of these cross functional teams were coordinated by a cost council. It will be shown that these activities have resulted in a 57% reduction in the wafer manufacturing cost of the new product line. Factors contributed to successful implementation of an ABC management system are discussed.
© (1994) COPYRIGHT Society of Photo-Optical Instrumentation Engineers (SPIE). Downloading of the abstract is permitted for personal use only.
Hussein Naguib, Hussein Naguib, Igor I. Bol, Igor I. Bol, J. Lora, J. Lora, R. Chowdhry, R. Chowdhry, } "Implementation of activity-based costing (ABC) to drive cost reduction efforts in a semiconductor manufacturing operation", Proc. SPIE 2336, Manufacturing Process Control for Microelectronic Devices and Circuits, (16 September 1994); doi: 10.1117/12.186788; https://doi.org/10.1117/12.186788
PROCEEDINGS
14 PAGES


SHARE
Back to Top