Management Accounting Systems-英国管理会计研究 [3]
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论文字数:3624论文编号:org201406132126253760语种:英语 English地区:中国价格:免费论文
关键词:Management Accounting Systemscompany’s profits英国管理会计管理会计系统constraint management
摘要:This report recommends that managers identify the reason for the falling profits, and look to find out why inventory is building up (are these a symptom of slack demand, or of inefficiencies within the business). Based on these findings a decision as to what further systems are needed can be made.
(according to its goal of maximising wealth) needs to make a decision based on how to allocate production. To do this the managers need to know what the Throughput Contribution is for each unit. Assume that TC for product X is £75 per unit and for product Y it is £120 per unit. The constraint here is time, measured in units of a minute, therefore the TC per unit of constraint is found by dividing the TC by the time taken with each worker, at the point of constraint this is as follows (X, 75/15 = £5, Y, 120/15 = £8.33), as there are only 2000 minutes available the TOC suggests that all 50 units of product Y should be produced with a total time taken of (50 x 15 = 750, TC = £8.33 x 750 = £6247.5) leaving 1250 minutes to produce product X (TC 1250 x £5 = £6250). Net profit will therefore be (6247.5 + 6250 = £12497.5). In this example this is how the TOC makes all other considerations subordinate to this decision.
TOC does have its problems, it makes many of the normative assumptions about the behaviour of costs that traditional cost accounting does, and largely ignores costs of changing the activities of many of the business processes to suit a particular set of circumstances (Rand 2000). Yet it is a powerful decision making tool and one which, if used properly can alter the success of a manufacturing process in terms of the goal of maximising the wealth of the company .
Just In Time (JIT)
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JIT Inventory Management is one of a set of ‘Lean’ manufacturing methodologies which has grown out of the Japanese Approach to management accounting (Abdul-Nour, Lambert et al. 1998). In particular much of modern JIT management is based on the Kanban system of Inventory management which is a part of the Toyota Production System (TPS) which is famous the world over for its efficiency and speed to market with new products (Houghton, Portougal 1997). JIT as a part of a Lean system relies upon the pull of the market rather than the push of production targets and generally states that investment in inventory, both in terms of raw materials and work in progress, also finished goods, represents a waste to the company (White, Prybutok 2001). JIT requires the accurate organisation of the production process in terms of both processes and components of production and finds a minimum level of stock holding at every level of the process. The original Kanban system was based around a set of two cards which accompanied an individual component through the production process. At each point where a component was removed from stock to be used in a process of manufacturing one of the cards would be returned to the previous process to alert that process that another was required. This meant that without the aid of sophisticated computers the TPS managed to cut its value of stock in the factory to a fraction of what it had been, requiring less investment of working capital, lower overheads in terms of storage and warehousing, and less risk of over production of any components or of finished goods (Abdul-Nour, Lambert et al. 1998).
JIT is a system which has largely been adopted in many of the larger production facilities which have adopted ‘Lean’ technology. These range from most car manufacturers to manufacturers of high technology. But there is growing evidence that it may be very useful in te
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