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A planned proces for providing financial information that will be useful to management?
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accounting system
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What generally reflects the anticipated financial impact of planned longterm actions?
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Importance of management accounting to a manufacturing firm?
Management accountingAccording to the Chartered Institute of Management Accountants (CIMA), Management Accounting is "the process of identification, measurement, accumulation, analysis, preparation, interpretation and communication of information used by management to plan, evaluate and control within an entity and to assure appropriate use of and accountability for its Resource (economics) resources. Management accounting also comprises the preparation of financial reports for non-management groups such as shareholders, creditors, regulatory agencies and tax authorities" (CIMA Official Terminology).The Institute of Certified Management Accountants (ICMA), states "A management accountant applies his or her professional knowledge and skill in the preparation and presentation of financial and other decision oriented information in such a way as to assist management in the formulation of policies and in the planning and control of the operation of the undertaking." Management Accountants therefore are seen as the "value-creators" amongst the accountants. They are much more interested in forward looking and taking decisions that will affect the future of the organization, than in the historical recording and compliance (store keeping) aspects of the profession. Management accounting knowledge and experience can therefore be obtained from varied fields and functions within an organization, such as information management, treasury, efficiency auditing, marketing, valuation, pricing, logistics, etc.Significance of management accounting to a manufacturing FirmProviding Information for Decision Making and Planning and Proactively Participating As Part of the Management Team in the Planning ProcessesPlanning is a very essential tool in every manufacturing firm. An entity needs to plan the location of its plants, introduction of new product lines and the strategies required to maintain the assets of the firm. Management accounting assists the firm to make cost-benefit analysis of each alternative and the best decision taken. For example, a soap manufacturing firm before undertaking the manufacture of a new type of soap will collect and analyze data on projected sales volumes, profit margins and costs of inputs. Management accounting provides this data. Any decision taken by the management team in the planning process has an effect on costs, revenues, and management accounting data are essential in estimating those effects. For example, management accountingManagement accounting would enable management to for example, budget for the cost of establishing a new plant and alternatives evaluated for the acquisition of the best plant. Budgets will also include targets to be met in the manufacture of goods. Targets include production volume, sales volume, profit, expenses, pilferage, losses and employee training. These data will be collected, analyzed and summarized for management use in the form of budgets prepared by the management accountant. Management accounting data such as daily sales report is crucial in making decisions as to the number of units to produce.Assisting Managers in Directing and Controlling Operational ActivitiesOperational activities form an integral part of the manufacturing process. The control function enables the operational managers ensure that activities conform to set standards. Detailed reports of various kinds prepared by the management accountant provide feedback as to whether the set standards are being met. Controlling is very essential in inventory control, total quality management and benchmarking in manufacturing firms. A performance report compares budgeted to actual results. In a manufacturing firm performance reports will indicate where some parts of production activities are not proceeding as planned so that corrective measures are instituted to reduce losses. E.g. measures of quality, including internal and external failure rates, yields, and rework can be computed. Measures of productivity efficiency, such as machine availability, throughput and lead times, average inventory levels, and set-up times can be calculated.Motivating Managers and Other Employees toward Organizational GoalsA well motivated staff enhances performance and productivity. Organizations are able to achieve their goals if employees are well motivated. Management accounting through budgeting motivates managers to direct their efforts toward achieving the organizational goals. In a manufacturing firm a budget indicates how resources are to be allocated and what activities are to be emphasized. Employee empowerment is the concept of encouraging and authorizing workers to take the initiative to improve operations, reduce costs, and improve product quality and customer service. For example, employees can be given incentives to develop new products for the organization.Measuring the Performance of Activities, Subunits, Managers, And Other Employees within the OrganizationManagement accounting assists management in measuring the performance of employees in executing organizational objectives. Performance measurement is used as a basis for rewarding performance through positive feedback, promotions and pay rises. Performance measure may be productivity per worker on which compensation may be based. Management accounting also provides data about the performance of the various sub units product lines, geographical units and divisions. These measures are important in determining whether a particular process or subunit (e.g. Quality Control Unit) in the firm is an economic viable unit.Assessing the Organizations Competitive Position and Working with Other Managers to Ensure the Organizations Long Run Competitiveness in the Industry.Globalization has heightened competition and among industries. Management accounting plays a crucial role in ensuring that an organization competes effectively and survives the competition. The financial strength of the organization must be prominent on the agenda of management. Innovative measures must be instituted and operations streamlined. Competitive prices must be adopted by the organization. Data on other competing products must be collected and carefully analyzed before investment decisions are taken. Cost benefit analysis is also important in the adoption of a particular method of production (labour or machines), make or buy decisions, inventory management and outsourcing. Management accounting provides the necessary data for these very essential decisions to be made.ReferencesDrury, C. (2004). Management and Cost Accounting. London: Thompson Learning.Garrison, & Noreen, (2000). Managerial Accounting. New York: Thompson Learning.Hilton, R.W. (1999). Managerial Accounting. New York: Irwin McGraw-Hill.Ingram, et al, (2001). Managerial Accounting: Information for Decisions. Ohio: Thompson Learning.By Kumor Reuben SeyramBachelor of CommerceSchool of BusinessUniversity of Cape Coast, Ghana.
Distinguish between planned receipt and scheduled receipt?
Planned receipt is the receipt against a planned order yet to be released.Scheduled receipt is the receipt against a released order.Say the lead time for receipt of material X is 4 weeks from the date of order release and we are in week 10.If an order was released in week 8, its scheduled receiptwill be in week 12.Basis the consumption, current stocks, scheduled receipts and lead time, if a planner plans a order to be released in week 11, its delivery will be in week 15.This receipt in week 15 is the planned receipt (the order is planned but not released)
The production and distribution of goods can be planned by the government to assure fairness for all of the people?
socialism
What is the definition of over budget?
Spending more than planned (Budgeted for) for a specific purpose.
What is the essence of budget in the financial administration of a country?
Budgeting is a crucial tool in the financial administration of a country as it helps allocate resources effectively, prioritize government spending, and monitor financial performance. It sets out the government's revenue and expenditure plan, guiding decision-making and ensuring that financial goals are met. A well-planned budget facilitates transparency, accountability, and responsible fiscal management.
What is the approximate yearly revenue of Planned Parenthood?
Approximately, the yearly revenue of Planned Parenthood is $1.219 Billion according to their 2010-2011 financial report and $1.1991 Billion according to their 2011-2012 financial report.
What is the management by exception?
Management by exception and/or reporting by exception is a process by which top management is spared from routine, planned, expected and irrelevant information or situation. however, it initiates feedback and reporting in the event of any extra ordinary situation or circumstance that would be out of the scope of the junior management as they still lack the expertise in important strategic matters.
What generally reflects the anticipated financial impact of planned longterm actions?
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Where can one find information on planned obsolescence?
Information on planned obsolescence can be found from many different resources. Some examples of online resources for this information include Information Week and The Daily Green.
Which performance management phase provides resources and training?
ACTEDS is a based system that ensures planned development of civilians
What two programs make up the US Navy 3M System?
The two programs that make up the US Navy 3M System are the 3M Maintenance and Material Management (3M) Program and the Maintenance Index Pages (MIPs) Program. The 3M Program is responsible for managing the maintenance, repair, and material management processes, while the MIPs Program provides detailed information and guidance on maintenance procedures and requirements for specific equipment and systems.
What is the difference between a budget and a financial report?
The main difference is, budget is a planned activity to meet the targets whereas financial report is the one which shows the health/wealth of the organization.
What is the national incident management system used to?
c. Manage all incidents, including recurring and/or planned events.
What is the national incident management system used to do?
c. Manage all incidents, including recurring and/or planned events.
Which performance management phase provides training and coaching?
ACTEDS is a based system that ensures planned development of civilians
Do planned parenthood condoms work?
Yes of course they do. Planned Parenthood is working with contraceptives so they are not giving out bad condoms.
