Abstract: Highly developed technology and highly competitive
global market highlight the important role of competitive advantages
and operation performances in sustainable company operation.
Activity-Based Costing (ABC) provides accurate operation cost and
operation performance information. Rich literatures provide relevant
research with cases study on Activity-Based Costing application, but
the research on cause relationship between key success factors and its
specific outcome, such as profitability or share market are few. These
relationships provide the ways to handle the key success factors to
achieve the specific outcomes for ensuring to promote the competitive
advantages and operation performances. The main purposes of this
research are exploring the key success paths by Key Success Paths
approach which will lead the ways to apply Activity-Base Costing.
The Key Success Paths is the innovative method which is exploring
the cause relationships and explaining what are the effects of key
success factors to specific outcomes of Activity-Based Costing
implementation. The cause relationships between key success factors
and successful specific outcomes are Key Success Paths (KSPs). KSPs
are the guidelines to lead the cost management strategies to achieve the
goals of competitive advantages and operation performances. The
research findings indicate that good management system design may
affect the well outcomes of Activity-Based Costing application and
achieve to outstanding competitive advantage, operating performance
and profitability as well by KSPs exploration.
Abstract: It is a critical time to upgrade technology and increase value added with manufacturing skills developing and management strategies that will highly satisfy the customers need in the precision machinery global market. In recent years, the supply side, each precision machinery manufacturers in each country are facing the pressures of price reducing from the demand side voices that pushes the high-end precision machinery manufacturers adopts low-cost and high-quality strategy to retrieve the market. Because of the trend of the global market, the manufacturers must take price reducing strategies and upgrade technology of low-end machinery for differentiations to consolidate the market.By using six key success factors (KSFs), customer perceived value, customer satisfaction, customer service, product design, product effectiveness and machine structure quality are causal conditions to explore the impact of competitive advantage of the enterprise, such as overall profitability and product pricing power. This research uses key success paths (KSPs) approach and f/s QCA software to explore various combinations of causal relationships, so as to fully understand the performance level of KSFs and business objectives in order to achieve competitive advantage. In this study, the combination of a causal relationships, are called Key Success Paths (KSPs). The key success paths guide the enterprise to achieve the specific outcomes of business. The findings of this study indicate that there are thirteen KSPs to achieve the overall profitability, sixteen KSPs to achieve the product pricing power and seventeen KSPs to achieve both overall profitability and pricing power of the enterprise. The KSPs provide the directions of resources integration and allocation, improve utilization efficiency of limited resources to realize the continuous vision of the enterprise.