Activity-Based Costing System in Wafer Testing Factories

• Main Authors: Jia-Chi Wu, 吳佳錡
• Other Authors: Her-Jiun Sheu
• Format: Others
• Language: zh-TW
• Published: 2007
• Online Access: http://ndltd.ncl.edu.tw/handle/63615259815072348691

碩士 === 國立交通大學 === 管理學院碩士在職專班管理科學組 === 95 === In the semiconductor industry, wafer testing business is facing much more rigorous competition than other major subindustries, such as wafer foundries or IC design houses. A wafer testing factory typically puts most of its investment on the cost of the equipments. Due to the diversity of requirements from different customers and products, it becomes very import for a testing service provider to know the cost and the profit for each single product. This research adopted ABC (Activity-Based Costing) to analyze the cost of several products in a wafer testing factory of one of the leading testing service provider in Taiwan. According to our analyses, the depreciation cost of testing equipments dominates the total cost of a product. Labor cost and probe card cost are the secondary factors. The cost structure derived from ABC analysis can help the managers to focus on the major cost sources for each product, and managers can take different control or improvement actions for different major cost sources. With the revenue information, the profit rate of each product was derived. This research revealed that the ratio of “Hourly Cost” to “Hourly Rate” is the key factor of the profit rate. According to the product profit analysis, for a product, when the ratio is no less than 1/3, it is more likely that the revenue can not cover the total cost of the testing service. In this research, several rules of thumb are proposed for sales persons to make a quick but rough guess of profit rate (given hourly rate and hourly cost) and break-even production amount after the new product introduction phase (given expected profit rate).