Activity Analyzer has been adapted to support Time-Driven ABC for environments where transaction-level integration is not practical. Our approach provides the main benefits of using activity time unit estimates instead of employee interviews and time logs to assign resource costs to activities. At run time when activity costs are calculated excess capacity costs can either be included or excluded.
Activities are assigned to cost objects in the usual way except that it's
possible to calculate driver quantities based on consumption rates and the
quantity produced. This eliminates the time consuming process of collecting
activity driver quantities for cost objects.