Resource Consumption Accounting
Welcome to the RCA Institute website, the comprehensive online source for information and services related to Resource Consumption Accounting (RCA). The RCA Institute’s primary objective is to establish a knowledgeable RCA community. RCA Institute members have access to content not available to the public including research and publication libraries. RCA Institute members also receive discounts on products and services the institute provides. Please feel free to contact us with any comments or questions you might have.
Associate membership in the RCA Institute is now free. All you need to do is register. You gain access to the Library, Bibliography, and Webcasts. This is a great way to start learning about RCA or add to your knowledge. The RCA Institute does not sell its membership list, and typically sends only 1 or 2 Emails per month notifying you of upcoming RCA Discussions or distributing the quarterly newsletter.
Larry R White, Executive Director
RCA Discussion Series
The RCA Institute holds monthly discussion series for those interested in RCA, providing the opportunity to learn and ask questions. All levels of experience and interest are welcome. The sessions will be held on a web meeting, allowing VOIP or phone call in access. The phone number and weblink will be published about 2 weeks before the event.
The Discussions from the prior year are recorded and available on the Membership/Webcasts and Newsletters page.
2014 Discussion Sessions
January 24 Introduction to RCA (Link to Recorded Webinar)
February 14 Introduction to RCA Modeling (Link to Recorded Webinar)
April 18 RCA and the Conceptual Framework for Managerial Costing (Link to Recorded Webinar)
May 16 RCA: Linking Operations and Finance (Link to Recorded Webinar)
June 13 The RCA Implementation Process (Link to Recorded Webinar)
July 18 Software Options for RCA (Link to Recorded Webinar)
August 15 Identifying Avoidable Costs Using RCA (Link to Recorded Webinar)
September 19 Cause and Effect in Managerial Costing and RCA (Link to Recorded Webinar)
October 17 How RCA Applies the Concept of Responsiveness for Resources and Costs
This webinar will present how RCA applies the newly recognized managerial costing concept of responsiveness. Responsiveness in operational and cost modeling is the key to understanding the nature of resource consumption and the associated costs, how these change as they move through a productive process, and how to obtain consistent, efficient, and accurate marginal cost information. Following the 20 minute presentation, there will be time for questions and discussion.
To Register: https://www1.gotomeeting.com/register/738369464
November 21 Capacity Information in Managerial Costing and RCA
Learn how Resource Consumption Accounting identifies and highlights opportunities
for increased profitability through its focus on resource capacities. The job of operating
managers is to create more capacity by becoming more efficient. Using capacity
effectively and efficiently should be a primary objective for all managers. Yet many
costing methods ignore or distort capacity analytics and costs. The session will begin
with a 15-20 minute presentation followed by audience questions and discussion.
To Register: https://www1.gotomeeting.com/register/716405872
December 13 What is “Truth” in Managerial Costing?
Determining “cost” can be very frustrating. Accountants calculate costs for financial
reports, but use different cost calculations for other decisions. Sometimes the term
“relevant” cost is used. Sometimes people seek the “true” cost...are other costs lies,
are they irrelevant? The December RCA discussion will present a logical approach to
sort out the clutter around “truth” as it applies to costing in organizations. You may
find an answer or develop a new opinion. The session will begin with a 15-20 minute
presentation followed by audience questions, comments, and discussion.
To Register: https://www1.gotomeeting.com/register/727448392
RCA in AutomationWorld Magazine
RCA Institute Executive Director, Larry White, writes a bimonthly column for AutomationWorld magazine, a manufacturing industry publication, on financial issues. Automation World is a free publication with a circulation of 65,000 available in print and online. The article in the September 2014 edition of AutomationWorld is titled, Cost Information for New Product Introductions. It discusses the key elements of cost and capacity management associated with new product introductions and how RCA can provide information not normally available to management. The article in the July 2014 edition of AutomationWorld is titled, Relevant Costs: What Are They? It discusses the nature and meaning of the term “relevant costs” and how the information needed can be systematically created by RCA and advanced costing methodologies…and why the information normally can’t be created by costing systems focused on financial reporting.
Recent RCA Presentations
Recorded Presentation - Conceptual Framework for Managerial Costing, Part 1
Recorded Presentation - Conceptual Framework for Managerial Costing, Part 2
RCA Education by Webcast
The RCA Institute is producing a series of pre-recorded webcasts that will provide an introduction to Resource Consumption Accounting. Five introductory webcasts are now available, click on the links below. Institute members will be notified as additional podcasts become available. The topics are:
Part 1: What is Resource Consumption Accounting? (7 minutes)
Part 1.B: What is the Resource Consumption Accounting Institute? (7 minutes)
Part 2.A: Resource Consumption Accounting Modeling Principles, Part 1 (9 minutes)
Part 2.B: Resource Consumption Accounting Modeling Principles, Part 2 (10 minutes)
Part 3: Resource Consumption Accounting Overview (8 minutes)
RCA Rated in International Federation of Accountants Publication
In July 2009, Resource Consumption Accounting is recognized in the new International Federation of Accounting’s International Good Practice Guide: Evaluating and Improving Costing in Organizations, and in the companion piece to the IGPG, A Costing Levels Continuum Maturity Model, RCA was evaluated as the most sophisticated costing approach on the continuum.