ACTG 2020 Lecture Notes - Lecture 1: Management Accounting, Fixed Cost, Specific Performance
Document Summary
Internally focused, while financial accounting is externally focused. Look at what the goal is of the company. What is the company"s strategy: high level steps used to reach the goal, long term. What is the company"s plans: specific performance objective, short term. Strengths should be picked, weaknesses improved, opportunities should be assessed to see if they should be picked. Key success factors analysis: what is critical for this company to survive in its market. Porter analysis: looks at what is the competitive forces acting on the company. The chain of processes that add value to the product or service being sold to the company. The question/analysis has to do with costs. Supply chain management: processes of obtaining inputs. Making or outsourcing, distribution, warehousing/inventory: after sales service (returns) Is our process effective: tells us where to cut costs. Look at which processes add value and don"t add value. Get rid of things that don"t add value.
