Revolution in management control
Article Abstract:
Just-in-time manufacturing systems require new management structures and new managerial accounting systems. In the transition to a JIT environment, factors that impact on management directly include a reduction in layers of management, the moving of many head-office functions out onto the line, and empowerment of employees. The resulting 'hi-flex' management structure creates clusters around delineated market niches rather than around product lines. The new management environment will enhance the position of managerial accountants, positioning them as decision makers and as integral members of the managerial team due to their technical expertise.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1990
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Measuring performance with synchronous management
Article Abstract:
Synchronous management (SM) of performance objectives can provide firms with a basis superior to that of traditional accounting methods for measuring performance. The objective of SM is to increase throughput while simultaneously reducing inventory and operating expenses by increasing material flow velocity through the business. SM uses a product/flow analysis to identify and eliminate restrictions affecting flow of material though the production facility. Before a firm develops and adjusts its performance measurements, it should focus on 14 areas including adherence to schedule; stockout percentage; and product pricing.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1990
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