Question

Difference between strategic cost management and traditional cost management

Answer 1

Strategic cost management is the continuous planning, monitoring, analyzing and assessment of all that is necessarily for an organization to meet it's goal and objectives.

Cost management is the process of effectively planning and controlling the cost involved in a business usually for the purpose of score keeping, problem solving and attention direction.
Traditional cost management focuses attention from the purchase of raw materials, stopping with sales key objective, maximizing the difference between purchases and sales( value added).