Case Study of Terracota Brick Layering Industry

Good Essays
I

The role of accounting in general is to provide useful and relevant key information to assist management in its decision making.

Due to scarce resources, emerging change in quality of life or way of life, threats from competitors in terms of product substitutes and product innovation, demands for sustainable environment and compliance to government regulations, companies need to adapt to these changes and position the company’s activities and resources to maintain its market share and competitive edge.

In every decision, the ultimate objective of every organisation should be focused on creating and managing value for the organisation and its stakeholders in order to gain or attain competitive advantage within the industry they evolve and overcome threats that is posed by the externalities of the organisation.

Strategic management accounting would enhance the quality of decisions of management in relation to the following:

1. Product - should Terracotta enhance the immediate production of its product innovation which is “coal flyash bricks” and what should the company do with the Northvale site.

2. Supply Chain - due to depletion of resources, should the company consider offshoring

3. Infrastructure - should the company upgrade 50% more of the kiln capacity using the Buxton upgrade

4. Financing – how would the company finance the upgrade of the kiln or finance the

5. Resource Allocation – how much fund should be allocated to these project if pursued : coal flyash bricks, Northvale Site, Developing a Corporate Social Responsibility / Sustainability Reporting, Buxton upgrade for the kiln.

II Clay Brick Manufacturing Segment

A. Five Industry Forces

1. Threat of New Entrants - The scale of capital and technological investment required to obtain a substantial market share is high. Transport cost for foreign competitors will not compensate the low value of per ton weight of the product.

Barriers to new

You May Also Find These Documents Helpful

  • Good Essays

    1. Based on the article, what do you think are the supply chain implication on the ‘brick and mortar’ retailers in Australia if Australians prefer to shop online? New technologies were created whereby consumers started buying products without actually having to leave their houses. Physical stores became an outdated business model and the supply chain as a push-based system were turned into a push-pull based system whereby manufacturers only start manufacturing finished products after a purchase…

    • 644 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Bricks and Mortar ASC 740 is an accounting subtopic known as accounting for income taxes. In this example from Deloitte a company named Bricks and Mortar have a few uncertain tax positions that need clarifying. Before starting in the issues with Bricks and Mortar, it is important to know the process of ASC 740 or more specifically FIN 48. According to Deloitte’s interpretation of ASC 740 in section 4-5, FIN 48 is a two-step process. The first step is recognition and recognition being more likely…

    • 455 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    BERT’S BRICKS ~ SUPPLY CHAIN OPERATIONS MANAGEMENT PBSB 813 The Value Chain of Bert’s Bricks Submitted by: Submission date: 12 February 2011 Chicken Run Group Members “There is nothing more determined than poultry with a plan…” Bezuidenhout, P.J. 1224 6093 Botha, Desere 2250 2556 Buys, Johan 2049 8705 Kleynhans, Wessel 1251 7755 Schoeman, Willie 1032 6065 Van Wieringen, Anton 12318388 Wohlfahrt, Andre 2255 3533 Group Leader: Willie Schoeman…

    • 1755 Words
    • 8 Pages
    Powerful Essays
  • Powerful Essays

    Click Vs Brick Case Study

    • 3868 Words
    • 16 Pages

    ABSTRACT Title: Click versus Brick: The impact of eCommerce on Shopping Centres and the growth of Omnichannel shopping channels Author: Johann Pretorius Institution: Faculty of Engineering, Built Environment and Information Technology, University of Pretoria Date: 21 August 2017 The disruptive effects of internet commerce are being felt by traditional bricks-and-mortar retailers and will increasingly influence shopping centres. Within the shopping environment context, the competition from…

    • 3868 Words
    • 16 Pages
    Powerful Essays
  • Good Essays

    Description 1: Joe's Brick Ovens in the Portland, OR area provides you with affordable brick ovens and wood stoves. Description 2: Joe's Brick Ovens offers you high quality custom made wood and brick ovens in the Portland, OR area. Description 3: Joe's Brick Ovens in Portland, OR has the best residential and commercial hand made ovens in the area. HOMEPAGE “Home” Meta Description: Call Joe's Brick Ovens to get efficient service from a brick oven manufacturer. Joe's Brick Ovens the Portland…

    • 1654 Words
    • 7 Pages
    Good Essays
  • Powerful Essays

    Fly Ash Brick Kunal Bhatia Project report on starting a fly ash based brick manufacturing unit covering aspects related to investment, running cost, market and return on investment. kunal.bhatia@aol.in Introduction Fly Ash bricks are made of fly ash, lime, gypsum and sand. These can be extensively used in all building constructional activities similar to that of common burnt clay bricks. The fly ash bricks are comparatively lighter in weight and stronger than common clay bricks. Since fly…

    • 1357 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Bricks

    • 6406 Words
    • 26 Pages

    Characterisation of Mineral Wastes, Resources and Processing technologies – Integrated waste management for the production of construction material WRT 177 / WR0115 Industry Sector Study: Heavy Ceramic (Brick) September 2007 Funded by: -1- Industrial sector study on the utilisation of alternative materials in the manufacture of mineral wool insulation Compiled by Dr Evaggelia Petavratzi & John Barton, School of Civil Engineering University of Leeds (DEFRA Project Code…

    • 6406 Words
    • 26 Pages
    Powerful Essays
  • Good Essays

    Bricks

    • 1863 Words
    • 8 Pages

    of China and south east part of Asia most likely the Philippines. With this problem, the researcher thought of a solution. The researcher decided to use Golden apple snails’ shells as the primary component of brick to help lessen the population of this kind of snails. Background of the Study Many researchers said that Golden Apple Snails are from South America. Argentina, Brazil, and Uruguay are the first place, which Golden Apple Snails have come from. And it was exported by South America countries…

    • 1863 Words
    • 8 Pages
    Good Essays
  • Powerful Essays

    rental industry is an ever evolving industry that changes with the economy, evolution of culture, and technology. Due to the changes in general environment surrounding the video rental industry, it can be said that this once lucrative brick and mortar industry has gone through a death and rebirth. New concepts of distribution such as Netflix, Redbox, and cable rentals have hastened the extinction of the weekend drive to the video rental store. Various forces influence the video rental industry as it…

    • 2404 Words
    • 10 Pages
    Powerful Essays
  • Good Essays

    Brick

    • 650 Words
    • 3 Pages

    BRICJ A Brick is a block, or a single unit of a ceramic material used in masonry construction. Typically bricks are stacked together, or laid as brickwork using various kinds ofmortar to hold the bricks together and make a permanent structure. Bricks are typically produced in common or standard sizes in bulk quantities. They have been regarded as one of the longest lasting and strongest building materials used throughout history. In the general sense, a "brick" is a standard-sized weight-bearing…

    • 650 Words
    • 3 Pages
    Good Essays