The information regarding the production costs has a central role, determined by their implications on the actual status and on the future evolution of the company. The value of the information regarding the production cost justify its use on the decision taking process for the current activity, as well as for the company’s strategy. The use and the superior exploit of the resources in order to increase the competitive capacity of the organisation impose the wide-scale use of the advanced cost management methods, which sustain the performance, the significance and accuracy. The efficiency of the selected method depends on the speed it provides the information to the board, in order to allow the fast-taking decision process. The standard-cost method guides the future activity of the company through acquiring long term standards, which will guarantee a efficient technological process and the implementation of a modern management.

method standard cost, cost of production, direct and indirect costs, decision