Activity-based management and activity-based costing are two ways of describing the same thing.

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Activity-based management (ABM) is a method of management that uses activity-based costing (ABC) information to improve business processes and decision-making, whereas activity-based costing is an accounting method that assigns costs to products or services based on the activities and resources that go into producing them. ABM uses the insights provided by ABC for strategic decision-making, making them related but distinct concepts.

Activity-Based Management and Activity-Based Costing Are Two Ways of Describing