RCA Open-Source Application (ROSA)

RCA Open-Source Application

ROSA

Developer(s)	Alta Via Consulting, LLC.
Stable release	1.0 / May 11, 2010 (2010-05-11)
Operating system	Cross-platform, Windows, Linux, Unix, Mac OS X
Type	Accounting
License	GNU General Public License
Website	www.rcainstitute.org, or www.altavia.com

ROSA, the acronym for RCA Open-Source Application, is an open source accounting application that targets an existing gap in management accounting; the lack of accounting information available to managers for their internal decision making needs. Resource Consumption Accounting (RCA) is a principle based approach to management accounting that combines German management accounting techniques know as Grenzplankostenrechnung, or GPK, with a disciplined form of Activity-based costing. RCA is internationally recognized as the most robust form of cost measurement and providing marginal cost analytics. Its focus is providing clear links between operations and finance for decision support by managers and employees seeking to optimize enterprise production and support operations.

ROSA, classified as a Non-web Open source application, brings many of the key modeling techniques of the RCA model to life with a hands-on approach, allowing the user full interactive modeling capabilities. All the necessary files (databases, applications, manuals, storyboard etc.) as outlined below under The ROSA Open-source Package, have been collected into one compressed zip folder for ease of download. This open-source application uses Microsoft Excel as its interface, so the learning curve is accelerated due to this familiarity factor.

It is important to note that one database called Base is a pre-configured RCA model, populated with data for the user to explore the look and feel of how a RCA model functions. A second database called Sample is a blank database that can be viewed as a template allowing the user to configure their own RCA model. A ROSA Manual and a visual storyboard (showing the pre-configured Base model's cost flow) will assist users in the basic understanding of the RCA model, from early configuration phases, through building their own RCA model.

Purpose of ROSA Project

In 2009, the RCA Institute determined that a hands-on RCA model would be an effective way to introduce RCA conceptual design concepts to interested parties. The ROSA application answered this need, and was designed as an interactive tool to aid in better understanding the principles and costing approach of Resource Consumption Accounting. ROSA should be viewed as a Cost Planning and Analysis tool and not a Pricing/Profitability application. ROSA open-source software allows accessibility by any web browser with the database(s) installed either locally or on a central server.

The ROSA Open-source Package contains the following elements:

• Installation Manual – this file will guide you through the installation and setup process. The first step in beginning the install process is by double-clicking on the Startup shortcut in the zipped folder.
• Palo For Excel Installation File – this is the entire open-source business intelligence program called Palo For Excel that is required to run the ROSA databases and application files.
• ROSA Base Model Database – a completely populated database showing a Resource Consumption Accounting (RCA) model that allows the user to view and manipulate data for a health care company referred to as ‘Get Well Manufacturing’ (GWM).
• ROSA Sample Database – a shell-like structure that has been constructed without any master data or cost data to enable a user to input their own data and create an RCA model using their company’s own data.
• Excel Application file – this Excel application file titled ROSA is the ROSA interface used to view, import, update, delete and calculate the rates as described and shown in the ROSA Manual.
• Visual representatiaon of the Get Well Manufacturing Storyboard – this file is a basic flow diagram of the pharmaceutical company and provides the users with expanded viewing capabilities of the resource pool, cost objects, and Sender / Receiver relationships in the Get Well Mfg. model.

Note: The Palo BI Suite support material should be used in conjunction with the ROSA Manual where necessary, particularly in areas concerning Palo installation, setup and operation.

Features

Copyright 2010 Alta Via Consulting, LLC

Some of the primary features of the RCA Open-source Application are:

• RCA Modeling
  • Cost Objects in an RCA Model
  • Planning a Cost Object's Output and Primary Costs
  • Relationships in an RCA Model
  • Storyboard of a pharmaceutical company
• Analyzing of
  • Product Costs
  • Resource Pools and Business Processes
  • Rates
• Maintaining
  • Resource Pools and Business Processes
  • Products
  • Primary Costs
  • Secondary Costs (Internal Consumption)
  • Capacity
  • Rate Calculation
• Configuring
  • Importing of Master Data and Planning Data Values

Limitations

There are certain cost modeling limitations inherent in the ROSA application. These limitations are specific to Version 1.0 of the ROSA application and should not be viewed as static. In other cases, customized versions of ROSA have been developed to fulfill client-specific requests addressing their firm’s individual costing requirements.

• No ‘Actual’ Costs - ROSA is a stand alone application and does not have integrated links to inport data. It supports the construction of an RCA model for cost planning and analysis.. ROSA does not currently support the comparison of actual to plan within the application. The planning aspect allows for the definition of consumption relationships with operational resource quantities, valuing the resource quantities with dollars, and calculating product and service costs.
• Excess/idle Capacity - There is a limited ability to isolate excess/idle capacity in the application. The application currently deals only with planned information and is therefore not able to provide information on actual excess/idle capacity.
• Model Size Limitation - The ROSA model was designed for optimum use for businesses with limited size RCA applications. However, the underlying database and technology used in this model is extremely scalable.
• No Profitability Reporting - Rosa Version 1.0 is solely for the purposes of cost modeling. Customer or product revenue cannot be accommodated in this version of the model and reports on customer or product profitability are not provided.

To obtain all the benefits Resource Consumption Accounting as a dynamic, fully integrated, principle-based management accounting approach more robust and integrated software application must be used. The most widely used software applications for RCA are SAP AG and macs Controlling.

Architecture

This application uses an open-source Business intelligence software engine called Palo (OLAP database), published by Jedox AG. Palo has been designed as an Add-in to spreadsheet software (i.e., Microsoft Excel).

Further information: Palo (OLAP database)

External Links

• "RCA Institute, Official Web Site".
• "Alta Via Consulting, LLC., ROSA developers".
• "Jedox, Palo BI Suite".