IMPLEMENTASI TIME DRIVEN ACTIVITY BASED COSTING PADA PERUSAHAAN PUPUK ORGANIK

Abstract

The organic fertilizer industry in Indonesia faces significant challenges due to rising raw material
prices during the pandemic. Therefore, the need for a more accurate production cost calculation
method is recognized. This research analyzes the implementation of the Time-Driven Activity-Based
Costing (TDABC) method in calculating the Cost of Goods Sold (HPP) at the organic fertilizer
company of PT. Sumber Alam Unggul. The research question is how are the results of calculating
production costs using the TDABC method and how does the comparison of HPP calculated using the
TDABC method compare to the traditional method. Furthermore, the study is descriptive-qualitative,
with close interviews and observation as the instruments in the data collection technique. The result
indicates that the TDABC method produces lower and more accurate HPP calculations compared to
traditional methods, which are namely liquid biological fertilizer, down from Rp 16.775 became Rp
11.282 per liter, and organic fertilizer from Rp 34.193 became Rp 20.488 per kilogram. Moreover, the
implementation of TDABC also produces more competitive product selling prices in the market,
supporting the companies in decision-making. The research gives a contribution to the understanding
that the use of time-based methods can increase the accuracy and transparency of production costs,
as well as recommend similar companies for considering implementing TDABC in product pricing.