Case study of cost efficiency in selected business entities in Poland in light of current economic conditions

Abstract

Motivation: Current economic conditions, including, but not limited to, the rising inflation rate, changes in electricity prices or changes in tax law significantly affect the manner of operation of business entities in Poland. The economic impact of these changes varies greatly depending on the type of business, industry or economic sector represented. These changes are also reflected in the level and structure of the entities’ own costs — primarily in the when considering costs by type. The multitude of changes that Polish companies now face also indicates the importance and relevance of the concept of effective cost management in these difficult economic conditions. Therefore, the need to adapt the business to the peculiarities of the new economic reality created the basis for a thorough identification of cost information needs coming in from the cost accounting systems used in companies. This became one of the prerequisites for undertaking research on evaluating the usefulness of cost accounting systems used in business entities for effective management of their costs.Aim: The purpose of this article is to analyze and assessment the cost effectiveness of selected entities representing production, commercial and service activities in the context of recent changes in economic in Poland.Results: The main conclusion of the analysis is that the current economic conditions have a significant impact on the level and structure of own costs in business entities. Therefore, these entities need specialized economic tools to improve the efficiency of their cost management. It is because the traditional full-cost accounting system used by most business entities in Poland is proving to be inadequate in this regard.