MC: Process by which managers ensure that resources Are obtained used in most efficient way achieve goals. Defines strategy, Organziation MCS. Steps: Set goals, planning budgeting, measuring actual Comparing, corrective. Strategy: set Of plans to achieve goals. SWOT: Analysis of the overall strategic poss of busines and its environ. Purpose to Identify strategies that will create a firm specific business model that will Best allign an org resources and capabilities with requirem of environ. BCG mat: aism to identigy high growth Prospects by categorizing the comps products according to market growth and Share. Porter: for develop an Organizations stra. It determines industry structure. Goals: measurable objectives SMART. Plannin: deciding in advance what when how do. An exercise in Problem solving and decision making. A systematic thinking about ways and means For accompl of predetermined goals. Busi Plan: formal statement of business goals, reasons they are attainable, plans For reaching. Exec summary-business goals- mark plan - opera plan- financial Plan- budget
Control System: Set of formal informal procedures to assist The management to lead the organization toward goals. Consist: Struct, Pro, Infor Sys. Struc: integration of Different activities responsibi for realization producservice. ORganized in Respo Center, organizational unit lead manager responsible activities. 4 cat: Revenue, Cost, Profit, Investment. Process: Define key variances will inform performance, define how variances measured, Measure and record result, report, analysis. Info Syst: set methods of Measurement evaluation of critical variables enables the org to compare actual Perf and planned goals. ERP: business manag software purpose: facilitate flow Information between all business functions in org and manage conection to Shareholders. INDIcators: measurement tools focused relevant aspects company KPI. Nature, object, scope, function. SCOrecard: informs political evolution of Business fundamentals and shows the main indicators in a clear useful way. BALscorecard: financial nonfin measres connected to business stra. 4 perspe: Financial, Customers, Internal business processes, Learning and growth.
Cost System: tool used to measure consumption of resources Cost Monetary valuation of consumed resources to achieve. Categories: direct/ind Vari/fix. Period Cost: costs not included in the inventory valuation treated as Expenses Amortiz, Product C: costs that are identified with goods purchases or Produces for resale, Packaging. DirCosting: In unit produt costs only variable manufacturing costs. Allows to know CM BEP, Decide to produce not Difficult to decide selling price. (product cost, direc Materials, direct labor). Full Costing: costs of all manufacturing components as inventorial accord to Funcitonal classification. Acti Based Costing: treats costs of all manufactuing components as inventorial or Products costs (DM DL Variale factory overhead, fixed fact overhe) Present Expenses on income statement accor to functional classification. Stand Costing: expected level of costs Associated with the production of a good service. Actual Cost-standard=variances.
Cost Analysis: BVP the level of the activity at which Reven are Equal to costs. Contribution marin: SP-VC, CM% CM/SP, Units: TFC/CM, Sales TFC/CM%. Sales Mix: proportion in which two or more products are sold. Some More profitable. BEP of sales mix is based on the contribution approach method. Transfer price the value of transfer Of services between two or more profit centers, proper distribution of revenue Between profit centers. Three methods for calculating transfer price: Market-based, cost-based, negotiated.