Weakness in controlling production overhead costs at APM Vietnam Limited Liability Company

Abstract

The aim of this thesis exposes APM Vietnam’s current problems and by solving it to improve the company’s performance. At APM Vietnam, beside the operation activities, fi-nance and accounting is one of importance and critical role to help the company in optimize, cost control, resources allocations through collaboration with other departments to archives targets. Therefore, a strong finance function with standardized financial process will provide base line for company to improve performance through maximizing productivity, or re-sources utilization. However, through reviewing the business performance of the company, the firm is on the trend to decrease operating profit due to weakness in controlling production overhead costs. The report had defined symptom and its problems to determine and validate the im-portance problem as well as examined the impact of three causes: unstandardized financial process, poor collaboration between departments, and non-utilized resources capability. These are also the causes of some problems at the company including poor operating budget planning, weakness in controlling production overhead. Also, in this report historical data, in-depth interview, and literature reviews were used to find out the efficiency and suitable solutions for finance department and company. Although through this report audiences could have visibility to view relationship between cause and effects to link with solutions suitable for problems are in the finance department of APM Vietnam.