Abstract—Logistics cost is an important factor affecting the competitiveness on both macro level (national) and micro level (firms). Logistics cost indicates the performance of logistics industry, efficiency level and its competitiveness. Despite of its significance, current state of logistics cost accounting and management in Malaysia has not properly addressed and the challenges surround logistics cost measurement remains incoherent. Therefore, this study aim to shed light on the current state and challenges of logistics cost accounting and management in Malaysia. This study conducted in two fold which are; 1) content analysis and, 2) survey analysis. Content analysis used to view current state and challenges in macro level with regards the concerned research, while survey analysis used to view current scenario in micro level. This study reveals three major challenges that become a barrier to fully understanding and implementing logistics cost accounting and management. First, there is no unified definition of logistics cost. Second, the measurement and cost component included in the calculation of logistics cost are not standardized. Third, there is a difficulty in collecting information and data both in published sources and direct sources. This study conclude with the importance of having standard logistics cost accounting measurement, which plays a vital role in determining the accuracy of the logistics cost and ascertain the efficiency level of logistics industry particularly in Malaysia.
Index Terms—Logistics cost, logistics management, cost accounting, logistics.
Sahidah Zakariah is with the Malaysia Institute of Transport, Universiti Teknologi MARA, 40450 Shah Alam, Selangor, Malaysia (e-mail: email@example.com).
Jaafar Pyeman is with the Department of Finance, Faculty of Business Management, Universiti Teknologi MARA, 40450 Shah Alam, Selangor, Malaysia (e-mail: firstname.lastname@example.org).
Cite:Sahidah Zakariah and Jaafar Pyeman, "Logistics Cost Accounting and Management in Malaysia: Current State and Challenge," International Journal of Trade, Economics and Finance vol. 4, no. 3, pp. 119-123, 2013.