tailieunhanh - Lecture Management accounting: An Australian perspective: Chapter 14 - Kim Langfield-Smith

After completing this chapter, you should be able to: understand the various purposes of performance measurement systems and the role of these systems in enhancing customer value and shareholder value; understand why conventional financial measures are not sufficient for managing an organisation; describe the characteristics of contemporary approaches to performance measurement;. | Chapter 14 Contemporary approaches to measuring and managing performance The purposes of performance measurement Communicate the strategy and plans of the business and align employee’s goals Track performance against targets Identify problem areas Evaluate subordinates’ performance and as a basis of rewards Guide senior managers in developing future strategies and operations Problems with conventional performance measures They are not actionable Financial measures emphasise only one perspective Financial performance measures provide limited guidance for future actions May encourage actions which decrease shareholder and customer value Contemporary performance measurement systems Include non-financial and financial measures Have a strategic orientation—directly measure areas that provide competitive advantage Use external benchmarks Emphasis continuous improvement Non-financial measures for operational control Non-financial measures reflect the drivers of future financial . | Chapter 14 Contemporary approaches to measuring and managing performance The purposes of performance measurement Communicate the strategy and plans of the business and align employee’s goals Track performance against targets Identify problem areas Evaluate subordinates’ performance and as a basis of rewards Guide senior managers in developing future strategies and operations Problems with conventional performance measures They are not actionable Financial measures emphasise only one perspective Financial performance measures provide limited guidance for future actions May encourage actions which decrease shareholder and customer value Contemporary performance measurement systems Include non-financial and financial measures Have a strategic orientation—directly measure areas that provide competitive advantage Use external benchmarks Emphasis continuous improvement Non-financial measures for operational control Non-financial measures reflect the drivers of future financial performance More actionable More understandable and easier to relate to Non-financial measures Customer satisfaction Measured by survey administered to customers Defect measures Measurement of faults in a product that occur during manufacturing process Support a high quality strategy Quality Periodic inspections or testing of products continued Non-financial measures Productivity The ratio of outputs produced per unit of input continued Non-financial measures Stock status Accident report/safety reports Multiskilling Machine down time Number of hours, or percentage of total production hours that machines are unable to operate Delivery on time Problems with non-financial performance measures Wide choice of non-financial measures available Their development can be ad-hoc and undirected Managers must necessarily make trade-offs Some measures lack integrity Some measures not easily translated into financial outcomes Measuring performance with a balanced scorecard A .

• Kế toán - Kiểm toán
• Management accounting
• Lecture Management accounting
• Managing resources
• Strategic management accounting
• Contemporary approaches
• Non financial measures
• Management accounting information
• Financial accounting
• Management accountants
• Business environment
• Bài giảng Kế toán quản trị
• Nature of management accounting
• Component of accounting system
• Managerial accounting
• Management accounting systems
• Costing systems
• Environmental management accounting
• Cst accounting in action
• Management cost accounting
• Accounting for management
• Cost accounting in action
• Advanced fraud
• Australian organisations
• Emphasis on cost
• Managing value
• Social management accounting
• Corporate social responsibility
• Paper F2
• Revision kit 2016
• Document management accounting
• Management accounting Review
• Implementation of management accounting
• Study text 2016
• Tiếng Anh kinh doanh
• F2 Management Accounting
• ACCA Paper F2
• Paper F2 Management Accounting
• Book ACCA Management Accounting
• Lecture Advanced management accounting
• Bài giảng Kế toán quản trị nâng cao
• Advanced management accounting
• Inflation accounting
• Current purchasing power method
• Current cost accounting method