The analysis of the effectiveness of a management accounting technique in an organisational setting- With Reference to Guinness Nigeria Plc.
TABLE OF CONTENT
2. Decision-making and management accounting information
3. The concept of Budgeting and Budgetary controls
4. Budgetary control systems
5. Benefits of Budgeting and budgetary controls
6. Behavioural aspect of budgeting
7. Aims and objectives of the study
8. Reason for choosing the topic
9. Introducing Guinness Nigeria plc
2. Population of the study and sample size
3. Methods of data collection
4. Techniques of data analysis
5. Methods adopted in gathering information
1. Data presentation and analysis
2. Method of data presentation
3. Research hypothesis
4. Distribution of samples
5. Sex distribution
6. Test of hypothesis
Accounting as a body of knowledge does not have a single definition. Various authors have come up with different definitions which reflect the period in the evolutionary stages of accounting thoughts during which the definitions was made.
According to Bill R.J. Accounting is concerned with the qualification of economic events in monetary terms in order to collect, record, evaluate and communicate past events and to aid in decision making.
The American Association of Accounting in 1996 defined accounting as the process of identifying, measuring and communicating economic information to permit informed judgement and decision by users of the information. (Johnson 1987)
In a similar vein, Management accounting has been subject of different definitions. One of such is given by T. Lucey who defines it as the application of professional knowledge and skills in the preparation and presentation of accounting information in order to assist management in the formulation of policies and in planning and control.
Management accounting is concerned with the provision of information to people saddled with the responsibility of managing the affairs of an organisation in order to assist them to make better and informed decisions and control which eventually culminates in improved efficiency and effectiveness of the overall business affairs. That has always been the focus of Management Accounting.
In recent times, Management Accounting is wearing a changed nature. This is seen in the recent developments witnessed in different organisations due to the fact that organisations are making customer satisfaction an overriding priority. Others are adopting new management approaches, changing their manufacturing system into a modern system. To this end, in the last 40 years, the world of manufacturing environments have experienced dramatic changes which was as a result automation at every stage in the manufacturing processes which has changed the typical pattern of cost structures and the ways in which efficiency is achieved. It is worthy of note too that increasingly; products are highly customised and tailored to individual customer’s requirements. Many manufacturing concerns have moved from the era of mass production into the era of flexible production to customer’s specification.
The Ernst & Young and Institute of Management Accountant Survey (2003) identifies various management accounting techniques, both traditional and modern which have been contributing immensely to the efficient running of organisations whether large, medium or small organisations. Those tools include Budgeting and Budgetary Controls, Break even analysis, Target costing, Benchmarking, value based...