Thanks to new computers and new software, leading-edge ABC solutions are available. Unfortunately, "old technology" software won't work. Old technology software was written to do one thing. For example, fleet management software tracks equipment costs and usage. It manages equipment.

But, that's all it does! It doesn't allocate equipment costs to projects or work orders. It only manages one task or function: fleet management.

ABC, on the other hand, "integrates" tasks into activities. This integration allows one entry to capture all essential information and helps managers make informed decisions. A comparison of old technology and the new integrated standard.

The City of Indianapolis, Indiana is an excellent example how ABC/M techniques work. Faced with tight budgets, they chose improved efficiency over reduced services. Thanks to ABC, Indianapolis cut costs across the board and improved the quality of service it provided. It was able to compete with private industry as a supplier of essential services, such as garbage collection. It evaluated costs and operations, and reduced pothole repair costs by 38%!

The Pricewaterhouse Coopers Endowment for The Business of Government completed a report entitled "Using Activity-Based Costing to Manage More Effectively". (This is a pdf file.)

CitiTech Management Software was developed using ABC/M standards. It is a fully-integrated, single-entry system that improves operations, controls costs and improves productivity. See what that looks like (PDF File)