Standard Cost Coding System Explained

A Standard Cost Coding System is a system of cost classification that can be used for benchmarking cost and quantities data. In the Norwegian oil and gas industry, NORSOK Z-014 developed as part of the NORSOK standards. ISO is also developing a Standard Cost coding System as an extension of NORSOK Z-014 under ISO 19008.[1]

Typically a Cost Classification system would be used to classify, activities, resources and product structure. In NORSOK Z-014, these classification taxonomies are called Standard Activity Breakdown (SAB), Code of Resources (COR) and Physical Breakdown Structure (PBS).[2]

Notes and References

  1. Graham. John. Khan. Mesbah. Partridge. Chris. NORSOK Z-014: A 21st Century Update.
  2. Web site: 2013-09 - Tutorial - ONTOBRAS2013 - Case Study 5 - Modernising NORSOK SCCS — boro group. www.borosolutions.co.uk. 2016-12-01.