Reference no: EM131621191
Project Assignment
1. Select a well-known company with which you have some familiarity (specify the type of industry).
2. Then, select 1 of the contemporary management techniques listed in Chapter 1 of the Blocher et al. text.
Contemporary Management Techniques (Choose One)
1. Benchmarking. Benchmarking is a process by which a firm identifies its critical success factors, studies the best practices of other firms for achieving these factors, and then implements improvements in the firm's process to match or beat the performance of those competitors. Cooperative networks of noncompeting firms that exchange benchmark information facilitate benchmarking efforts.
2. Total Quality Management (TQM). TQM is a technique by which management develops policies and practices to ensure that the firm's products and services exceed customers' expectations. This approach focuses on increased product functionality, reliability, durability, and serviceability. Cost management is used when analyzing the cost consequences of a particular decision.
3. Continuous Improvement. Based on the Japanese concept of kaizen, continuous improvement is a management technique in which managers and workers commit to a program of continuous improvement in quality and other critical success factors. Continuous improvement is often associated with benchmarking and TQM.
4. Activity-Based Costing and Management. Activity-based costing (ABC) is used to improve the accuracy of cost analysis by improving the tracing of costs to products and individual consumers. By using an activity analysis, managers are able to gain a better understanding regarding the firm's cost structure, operations and management control.
5. Reengineering. Reengineering is a process for creating competitive advantage in which a firm reorganizes its operating and management functions, often with the results that jobs are modified, combined, or eliminated. Due to the growing pressure of global competition, many firms are looking towards reengineering as a way to reduce management and operating costs.
6. Theory of Constraints (TOC). TOC is a strategic technique to help firms effectively improve their cycle time (the rate at which raw materials are converted to finished goods). Specifically, TOC helps identify and eliminate bottlenecks in the production process. Due to the increased importance of speed-to-market, TOC has grown in popularity as an important new cost management technique.
7. Mass Customization. Mass customization is a management technique in which marketing and production processes are designed to handle the increased variety that results from delivering customized products and services to consumers.
8. Target Costing. Target costing determines the desired cost for a product on the basis of a given competitive price so that the product will earn a desired profit.
9. Life-Cycle Costing. Life-cycle costing is a management technique used to identify and monitor the costs of a product throughout its life cycle. Management accountants now manage the product's full life cycle of costs, including upstream and downstream costs, as well as manufacturing costs. Particularly close attention is paid to product design, since design decisions affect most subsequent life-cycle costs.
10. The Balanced Scorecard. Keeping with the renewed focus on both financial and nonfinancial measurements, the balanced scorecard is an accounting report that includes the firm's critical success factors in four areas: financial performance, customer satisfaction, internal business processes, and innovation and training. The balanced scorecard provides a more well-rounded assessment of the firm's performance than just using financial measurements alone.
3. Why and how do you feel that the contemporary management technique selected would be a positive force in helping the company achieve its critical success factors?
Requirements
Please NO plagiarism!!!!!
• 1,000 words minimum
• Use at least 3 SCHOLARLY article citations.
• Thread conforms to the instructions.
• Content is well developed.
• Paragraph structure and flow is excellent.
• Analysis of the technique selected is provided
• Questions are answered thoroughly
Textbook
Blocher, E. J., Stout, D. E., Juras, P. E., &Cokins, G. (2016). Cost management: A strategic emphasis (7th ed.). Boston, MA: McGraw-Hill.