Abstract:
The purpose of this paper was to identify why activity based costing (ABC)
implementation in organizations at times do not continue despite their early
interest, but later regain importance. Using the qualitative case study
approach, the paper explored the reasons for the appearance, disappearance
and reappearance of ABC drawing field data from a Sri Lankan porcelain
manufacturing firms, called Gamma. Guided by the theoretical
underpinnings of the Actor-Network Theory (ANT), and the translation
process therein, we follow organizational managers (human actors) and their
interactions with various objects and systems (non-human actors) within the
particular context of Gamma, during the different phases of the ABC project.
Our findings suggest that the appearance, disappearance and reappearance of
ABC have been shaped by a network of actors comprising both humans and
non-humans, and that the implementation and continuation of ABC is
constrained by the interests of these various actors both inside and outside of
the firm. While most prior research has focused on a single phase of ABC
implementation, such as the success or the failure, this study brings out its
reappearance, following a phase of appearance and disappearance, hence it is
a useful addition to prior literature. Furthermore, the findings of this research
have important implications for practitioners who are striving to revive
projects, such as ABC in organizations.
