This research examines the significance of Activity-Based Management (ABM) for improving manager’s decision-making within business organizations. It explores the use of ABM approach in improving the efficiency, lowering the cost, and creating and retaining the competitive advantage in the market place. The recommended strategies for improved decision-making within organizations by use of ABM approach include changing the role of management accountants, changes in information technology (IT) systems & processes, and changes in organizational structure.