Resolving inadequacies of the Navy Industrial Fund cost accounting system to enable its use in the RAMP SMP facility
Murphy, Joseph William.
Euske, Kenneth J.
Matthews, Danny G.
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The Navy is constructing an automated manufacturing facility which incorporates flexible manufacturing systems (FMS) and computer integrated manufacturing (CIM). The facility, which is known as the RAMP SMP facility, will operate within the Navy Industrial Fund (NIF) system. Previous research concluded that several elements of the NIF cost accounting system were inadequate for use in the RAMP facility. Inadequate areas included direct and indirect cost definitions, indirect cost allocations, and performance measures. This thesis identifies resolutions to the inadequacies of the NIF cost accounting system for use in the RAMP facility. A model was developed, presented, and adapted to the NIF cost accounting system. The model focused on redefining direct and costs and cost centers, developing appropriate multiple indirect cost allocation bases, and expanding performance measures to include operational performance measures. The author concluded that these changes were minimal yet essential so the NIF cost accounting system will be adequate for use in the RAMP facility. (kr)
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