maf635 (benchmark, balanced scorecard)
MAF 635 :
MANAGEMENT ACCOUNTING
AND PERFORMANCE EVALUATION
STRATEGIC MANAGEMENT ACCOUNTING PROJECT:
1. Benchmarking
2. BALANCED SCORECARD
TABLE OF CONTENT
CONTENT
PAGES
Benchmarking
Introduction
History
Benefits
Limitations
Techniques
Steps
Applications
Conclusion
3
4
5
5 – 6
6 – 7
8 – 10
10 – 11
11
Balanced scorecard
Definitions and History
Stages of Implementation of Balanced Scorecard
Benefits of Balanced Scorecard
Balanced Scorecard Perspectives
Balanced Scorecard in McDonalds
Drawbacks of Balanced Scorecard
12
12 – 13
14
14 – 16
16 – 17
17 – 18
References
19
BENCHMARKING
INTRODUCTION
Benchmarking is a management accounting system used to measure performance. Benchmarking can be defined as a process of comparing the products, functions and activities of an organization against other businesses to identify areas for improvement and to implement a program of continuous improvement. Dimensions typically measured are quality, time and cost.
‘Other businesses’ used in making comparison are called best practice companies. They are usually high performers in relation to a particular practice or process. Management identifies the best firms in their industry, or in another industry where similar processes exist, and compares the results and processes of those studied (the "targets") to one 's own results and processes. In this way, they learn how well the targets perform and, more importantly, the business processes that explain why these firms are successful. This then allows organizations to develop plans on how to make improvements or adapt specific best practices, usually with the aim of increasing some aspect of performance.
Benchmarking software can be used to organize large and complex amounts of information. Software packages can extend the concept of benchmarking and competitive analysis by allowing individuals to handle such large and complex
MANAGEMENT ACCOUNTING
AND PERFORMANCE EVALUATION
STRATEGIC MANAGEMENT ACCOUNTING PROJECT:
1. Benchmarking
2. BALANCED SCORECARD
TABLE OF CONTENT
CONTENT
PAGES
Benchmarking
Introduction
History
Benefits
Limitations
Techniques
Steps
Applications
Conclusion
3
4
5
5 – 6
6 – 7
8 – 10
10 – 11
11
Balanced scorecard
Definitions and History
Stages of Implementation of Balanced Scorecard
Benefits of Balanced Scorecard
Balanced Scorecard Perspectives
Balanced Scorecard in McDonalds
Drawbacks of Balanced Scorecard
12
12 – 13
14
14 – 16
16 – 17
17 – 18
References
19
BENCHMARKING
INTRODUCTION
Benchmarking is a management accounting system used to measure performance. Benchmarking can be defined as a process of comparing the products, functions and activities of an organization against other businesses to identify areas for improvement and to implement a program of continuous improvement. Dimensions typically measured are quality, time and cost.
‘Other businesses’ used in making comparison are called best practice companies. They are usually high performers in relation to a particular practice or process. Management identifies the best firms in their industry, or in another industry where similar processes exist, and compares the results and processes of those studied (the "targets") to one 's own results and processes. In this way, they learn how well the targets perform and, more importantly, the business processes that explain why these firms are successful. This then allows organizations to develop plans on how to make improvements or adapt specific best practices, usually with the aim of increasing some aspect of performance.
Benchmarking software can be used to organize large and complex amounts of information. Software packages can extend the concept of benchmarking and competitive analysis by allowing individuals to handle such large and complex
References: According to Spendolini (1992, 82-84) has divided benchmarking teams in to three different groups. These are: Intact work teams. This team operates usually in a single location with all members of the group reporting to the same manager Through Karlöf & Östblom’s (1995, 69) experience, that are some considerations which may be useful when selecting individuals for a benchmarking team.