Strategic Management Accounting and Control

Strategic Management Accounting and Control Rajiv D. Banker Ashbel Smith chairwoman in Accounting and Information Management The University of Texas at Dallas Richardson, TX 75083-0688 ground forces Holly H. Johnston Assistant Professor of Accounting Babson College Babson Park, MA 02457-0310 USA snarf This paper discusses the design characteristics management accounting systems should have to be useful for strategicalal planning and control and provides brief introductions to strategic random variable analysis and profit-linked performance measurement models. It shows two multi-period, multi-product models (Banker, Chang and Majumdar 1993; Banker and Johnston 1989) are specified, can be related to to Porters (1980, 1985, 1991, 1996) dodging framework and cost and revenue drivers, and can be used to choke strategic planning, control and cost management. 1. Introduction As fear environments have become increasingly dynamic and competitive, it has become increasingly all important(predicate) for managers to develop coherent, internally and logically consistent military control strategies and to have tools and models which provide useful information to support strategic decision-making, planning and control.

In response to these needs, there have been legion(predicate) important developments, in both management accounting research and practice, that focus on the use of accounting data and related information regarding strategy and operations for these purposes. Some of the most important developments in strategic planning and control have been: (i) the balanced scorecard, a comprehensive set of performance measures designed to assist managers in implementing competitive strategies and monitoring performance with respect to them (see Kaplan and Norton 2000), (ii) strategic variance/profitability analysis i , systems which decompose measures of budgeted versus actual utmost income into variances which managers can relate logically to a firms or strategic business unitsii (SBUs) mission and business strategy and... If you want to get a full essay, order it on our website: Orderessay

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