Mas-Cadel Specialty Bicycle
Cadel Specialty Bicycle Management Accounting Systems ACCT2195
Name: Nguyen Thai Son
ID: S3296794
Lecturer: Keshav Dayalani
Table of Contents
Executive Summary 3
Introduction 4
I. Cadel Specialty Bicycles’ (CSB) 5 A. Business mission 5 B. Mean of competitive advantage 6 C. Key Success Factors (KSFs) 8
II. Management Accounting System of CSB 9 Personnel 9 Scare resources 10 Activities 11
III. Performance measurement & Reward System (PMRS) and its roles 11 1. The factors to be measured 12 2. A specific performance target 12 3. A reward attached to the performance target 12
IV. Limitations of current PMRS 14 A. Limitation 14 B. Dysfunctional behavior 15
V. Recommendation for new PMRS 16
Conclusion 17
References 18
Appendix 20
Executive Summary
Cadel Specialty Bicycle (CSB) is a successful business of which nature is made-to-order bicycles. In other words, each bicycle of CSB is assembled in accordance with customer’s specification. The business aims to target on the niche market in which almost people are committed cycling enthusiast. Due the success of the first store located in Doncaster, Victoria, Australia, CSB has recently expand its business by opening two new stores located in Geelong & Black Rock and each store has different potential in the track of development . However, CSB has faced problems of personnel & resources management because the business had not applied the suitable strategies within the expansion. Although, the company plans to implement a new management accounting system (MAS) to deal with these problems, there still are weaknesses contained in the new MAS. Hence, the purposes of this report are analyzing the current system and suggesting new suitable MAS for the business.
The first demonstration of the report is Background & Current position of CSB, which is used as a foundation for developing suitable MAS. The business mission of CSB, classified as
Name: Nguyen Thai Son
ID: S3296794
Lecturer: Keshav Dayalani
Table of Contents
Executive Summary 3
Introduction 4
I. Cadel Specialty Bicycles’ (CSB) 5 A. Business mission 5 B. Mean of competitive advantage 6 C. Key Success Factors (KSFs) 8
II. Management Accounting System of CSB 9 Personnel 9 Scare resources 10 Activities 11
III. Performance measurement & Reward System (PMRS) and its roles 11 1. The factors to be measured 12 2. A specific performance target 12 3. A reward attached to the performance target 12
IV. Limitations of current PMRS 14 A. Limitation 14 B. Dysfunctional behavior 15
V. Recommendation for new PMRS 16
Conclusion 17
References 18
Appendix 20
Executive Summary
Cadel Specialty Bicycle (CSB) is a successful business of which nature is made-to-order bicycles. In other words, each bicycle of CSB is assembled in accordance with customer’s specification. The business aims to target on the niche market in which almost people are committed cycling enthusiast. Due the success of the first store located in Doncaster, Victoria, Australia, CSB has recently expand its business by opening two new stores located in Geelong & Black Rock and each store has different potential in the track of development . However, CSB has faced problems of personnel & resources management because the business had not applied the suitable strategies within the expansion. Although, the company plans to implement a new management accounting system (MAS) to deal with these problems, there still are weaknesses contained in the new MAS. Hence, the purposes of this report are analyzing the current system and suggesting new suitable MAS for the business.
The first demonstration of the report is Background & Current position of CSB, which is used as a foundation for developing suitable MAS. The business mission of CSB, classified as
References: ‘Competitive Advantage’, 2012, Investopedia US, viewed 28 July 2012, <http://www.investopedia.com/terms/c/competitive_advantage.asp#axzz21h1qWFmY >. Khan, KU, Farooq, SU & Ullah, MI, 2010, ‘The Relationship between Rewards and Employee’, Research Journal of Internatıonal Studıes, May, Issue 14, pp. 37-42. ‘What Is Responsibility Accounting’, 2012, Wise Geek, viewed 28 July 2012, <http://www.wisegeek.com/what-is-responsibility-accounting.htm>. Appendix