管理会计英语5ppt课件.ppt

ManagementAccountingInformationforActivityandProcessDecisions Chapter5 2 EvaluationofFinancialImplications Managersmustevaluatethefinancialimplicationsofdecisionsthatrequiretrade offsbetweenthecostsandthebenefitsofdifferentalternativesFinancialinformationaboutthedifferenttypesofcostsformthebasisofdecisionsabouttheorganization sactivitiesandprocesses 3 RelevantCostsandRevenues WhetherparticularcostsandrevenuesarerelevantfordecisionmakingdependsonthedecisioncontextandthealternativesavailableRelevantcosts costsandrevenuesthatdifferacrossthedecisionalternatives 4 RelevantCosts OpportunitycostsbydefinitionarerelevantcostsforanydecisionThecoststhatremainthesameregardlessofthealternativechosenarenotrelevantforthedecision 5 SunkCostsareNotRelevant SunkcostsoftencauseconfusionfordecisionmakersCostsofresourcesthatalreadyhavebeencommittedandnocurrentactionordecisioncanchangeNotrelevanttotheevaluationofalternativesbecausetheycannotbeinfluencedbyanyalternativethemanagerchooses 6 RelevantCostsfortheReplacementofaMachine ShouldBonnerdisposeoftheUSCmachineitjustpurchasedonSeptember1andbuythenewmachinefromTeoCompany Whatcostsarerelevantforthisdecision 7 RelevantCostsfortheReplacementofaMachine Sunkcosts 30 000costofoldmachine 5 200monthlyloanpaymentforoldmachine 8 RelevantCostsfortheReplacementofaMachine Costincreasesandcashoutflows 50 000downpaymentonthenewmachine 6 000monthlyleasepaymentsonnewmachine 9 RelevantCostsfortheReplacementofaMachine CostSavingsandCashInflows 50 000disposalofoldmachine 6 200monthlycostsavings 4 400labor 1 000materials 800maintenance 10 AssumingResponsibilityforDecision ReversingadecisionmadeamonthearliermaylooklikeanerrorIfthemanagerdoesnotpurchasethenewmachine hisbehaviormaybeviewedassuboptimalThemanagermaygarnerrespectbyassumingresponsibilityforerrorManagerneedstorecognizesunkcosts 11 Make or BuyDecisions Asmanagersattempttoreducecostsandincreasethecompetitivenessoftheirproducts theyfacedecisionsaboutwhethertheircompaniesshouldSuchmake or buydecisionsillustratehowtoidentifyrelevantcostsandrevenues 12 Make or BuyDecisions Example 13 AvoidableCosts Thosethatareeliminatedwhenapart product productline orbusinesssegmentisdiscontinuedIftheproductionmanagerdecidestooutsourceaproduct thecompanymayavoidcertainproductioncostsContractionorredeploymentofresourcesmayallowthecompanysavings 14 AvoidableCosts ThecompanycannotdisposeofpartofthefacilityusedtosupporttheproductionofthestandardrearlampwithoutdisposingoftheentiremachineorbuildingMostfacility sustainingsupportcostsrepresenttheproratedcostsofindivisiblecommonfacilities 15 AvoidableCosts Isthereanalternativeuseforthepartofthefacilitymadeavailablebynotproducingaproduct Indirectsavingsinfacility sustainingcostsfortheorganizationarerelevantforthedecisiontooutsourceproduction becausetheycanariseonlyifthelampisoutsourced 16 SummaryofFinancialAnalysis Ifthestandardrearlampisoutsourced thecompanymayavoid 3 168 000ofmanufacturingcostsThecompanywouldspend 2 952 000topurchasethepartsfromthelow bidsupplierThecompanycouldsave 216 000byoutsourcing 17 QualitativeFactors Formostdecisionssuchasthis severaladditionalfactors whicharemorequalitativeinnature needtobeconsidered PermanenceofthelowerpriceReliabilityofthesupplier Manycompanieshaveadoptedthepracticeofcertifyingasmallsetofsupplierswhoaredependableandconsistentinsupplyinghigh qualityitemsasneeded 18 FacilityLayoutSystems Therearethreegeneraltypesoffacilitydesigns ProcesslayoutsProductlayoutsCellularmanufacturingRegardlessofthetypeoffacilitydesign acentralgoalofthedesignprocessistostreamlineoperationsandthusincreasetheoperatingincomeofthesystem 19 Thetheoryofconstraints TOC TOCmaintainsthatoperatingincomecanbeincreasedbycarefullymanagingthebottlenecksinaprocessAbottleneckisanyconditionthatimpedesorconstrainstheefficientflowofaprocessAbottleneckcanbeidentifiedbydeterminingpointsatwhichexcessiveamountsofwork in processinventoriesareaccumulatingThebuildupofinventoriesalsoslowsthecycletimeofproduction 20 TheoryofConstraints ThetheoryofconstraintsreliesontheuseofthreemeasuresThroughputcontributionisthedifferencebetweenrevenuesanddirectmaterialsforthequantityofproductsoldInvestmentsequalthematerialscostscontainedinrawmaterials work in process andfinishedgoodsinventoriesOperatingcostsareallothercosts exceptfordirectmaterialscosts thatareneededtoobtainthroughputcontribution 21 TheoryofConstraints Emphasisisontheshort runoptimizationofthroughputcontributionAssumesthatoperatingcostsasdifficulttoalterintheshortrun 22 ProcessLayouts AllsimilarequipmentorfunctionsaregroupedtogetherProductionofuniqueproductsisdoneinsmallbatchesProductfollowsaserpentinepath usuallyinbatchesHighinventorylevelsProductsmighttravelforseveralmileswithinafactoryduringtheproductionprocess 23 ProcessLayoutinaBank Thecustomergoestothebank amovingactivity Thebanktakestheloanapplicationfromthecustomer processingactivity Loanapplicationsareaccumulated storageactivity andpassedtoaloanofficer movingactivity forapproval bothprocessingandinspectionactivity Loansthatviolatestandardloanguidelinesareaccumulated storageactivity thenpassed movingactivity toaregionalsupervisorforapproval processingactivity 24 ProcessLayoutinaBank Thecustomeriscontactedwhenadecisionhasbeenmade processingactivity Iftheloanisapproved thentheloanproceedsaredepositedinthecustomer saccount processingactivity Inmostbanks work in processstockpilesateachoftheprocessingpointsorstationsLoanapplicationsmaybepiledondeskofthebankteller theloanofficeortheregionalsupervisor 25 WIPAccumulation Work in processinventoryaccumulatesatprocessingstationsinaconventionalorganizationforthreereasonsHandlingworkinbatchesIftherateatwhicheachprocessingareahandlesworkisunbalanced workpilesupattheslowestprocessingstationIfprocessingareamanagersareevaluatedontheirabilitytomeetproductionquotas 26 ProductLayouts Inaproductlayout equipmentisorganizedtoaccommodatetheproductionofaspecificproductProductlayoutsexistprimarilyincompanieswithhigh volumeproductionTheproductmovesalonganassemblylinebesidewhichthepartstobeaddedtoithavebeenstoredPlacementofequipmentorprocessingunitsismadetoreducethedistancethatproductsmusttravel 27 ProductLayoutinaCafeteria PeoplepassbycontainersoffoodandtakewhattheywantEmployeesorganizethefoodpreparationactivitiessothatthecontainersarerefilledjustastheyarebeingemptiedTheultimategoalistoreducesetupcoststozeroandtoreduceprocessingtimetoasclosetozeroaspossiblesothatthesystemcanproduceanddeliverindividualproductsjustastheyareneeded 28 CellularManufacturing TheorganizationofaplantintoanumberofcellsWithineachcellallmachinesrequiredtomanufactureagroupofsimilarproductsarearrangedincloseproximitytoeachotherThemachinesinacellularmanufacturinglayoutareusuallyflexibleandcanbeadjustedeasilyorevenautomaticallytomakedifferentproducts 29 CellularManufacturing TheshapeofacellisoftenaUshape ThenumberofemployeesneededtoproduceaproductcanoftenbereducedduetothenewworkdesignUshapealsoprovidesbettervisualcontroloftheworkflow 30 ProblemswithBatchProduction CreatesinventorycostsCreatesdelaysassociatedwithstoringandmovinginventoryThesedelaysincreasecycletimes therebyreducingservicetocustomersDelaysmayevenhappenbeforemanufacturingbegins 31 Inventory RelatedCosts Demandsforinventoryleadtohugecostsinorganizations includingthecostofmoving handling storing obsolescence damageFactorylayoutsandinefficienciesthatcreatetheneedtoholdwork in processinventorymayhideotherproblemsleadingtoexcessivecostsofrework 32 Processingtime Processingtime timeexpendedfortheproducttobemadeProcessingcycleefficiency PCE measureoftheefficiencyofthemanufacturingprocessPCE processingtimeprocessingtime movingtime storagetime inspectiontime 33 Analysisofrelevantcostsandbenefitsofreorganization Totalcosts 1 000 000Threemainbenefits 1 Increaseinsalesduetodecreasedproductioncycletime2 Reductionininventory relatedcostsbecauseofreducedhandlingofWIP3 Improvementinqualitysincedefectiveprocessesaredetectedmorequickly 34 CostofNonconformanceandQualityIssues CostreductionhasbecomeasignificantfactorinthemanagementofmostorganizationsThepremiseunderlyingcostreductioneffortstodayistodecreasecostswhilemaintainingorimprovingproductqualityinordertobecompetitiveIfthequalityofproductsandservicesdoesnotconformtoqualitystandards thentheorganizationincursacostknownasthecostofnonconformance CONC toqualitystandards 35 Quality Qualityusuallymaybeviewedashingingontwomajorfactors SatisfyingcustomerexpectationsregardingtheattributesandperformanceoftheproductEnsuringthatthetechnicalaspectsoftheproduct sdesignandperformanceconformtothemanufacturer sstandards 36 QualityStandards GlobalcompetitionhasledtothedevelopmentofinternationalqualitystandardsCompanycertificationunderthesestandardsindicatestocustomersthatmanagementhascommittedtheircompanytofollowproceduresandprocessesthatwillensuretheproductionofthehighest qualitygoodsandservices 37 ISO9000 In1987 theInternationalOrganizationforStandardization ISO developedthefirstISO9000SeriesofStandardsThesestandardswererevisedin1994andagainin2000Thegoalofthemembernationsistodevelopgloballyrecognizedindependent thirdparty qualitysystemverification 38 ISO9000 2of6 ISO9000containsmorethan20standardsanddocumentsBecauseoftheincreaseinthenumberofstandards ISO9000 2000wasdevelopedISO9000 2000consistsoffourprimarystandardsandagreatlyreducednumberofsupportingdocuments guidancestandards brochures technicalreports technicalspecifications 39 ISO9000 Thefourprimarystandardsare ISO9000 Qualitymanagementsystems FundamentalsandvocabularyISO9001 Qualitymanagementsystems RequirementsISO9004 Qualitymanagementsystems GuidanceforperformanceimprovementISO19011 Guidelinesonqualityand orenvironmentalmanagementsystemsauditing Tobepublished 40 ISO9000 ThemostsignificantchangesintherevisedISO9000standardsare IncreasedfocusontopmanagementcommitmentEmphasisonaprocessapproachwithintheorganizationContinualimprovementIncreasedfocusonenhancingsatisfactionforcustomersandotherinterestedparties 41 ISO9000 Eightqualitymanagementprinciplesfrombestmanagementpractices CustomerfocusLeadershipInvolvementofpeopleProcessapproachSystemapproachtomanagementContinualimprovementFactualapproachtodecisionmakingMutuallybeneficialsupplierrelationships 42 CostsOfQualityControl Classificationofqualitycosts PreventioncostsAppraisalcostsInternalfailurecostsExternalfailurecostsExperienceshowsthatitismuchlessexpensivetopreventdefectsthantodetectandrepairthemaftertheyhaveoccurred 43 PreventionCosts Preventioncostsareincurredtoensurethatcompaniesproduceproductsaccordingtoqualitystandards QualityengineeringTrainingemployeesinmethodsdesignedtomaintainqualityStatisticalprocesscontrolTrainingandcertifyingsupplierssothattheycandeliverdefect freepartsandmaterialsandbetter morerobust productdesigns 44 AppraisalCosts Appraisalcostsrelatetoinspectingproductstomakesuretheymeetbothinternalandexternalcustomers requirementsInspectioncostsofpurchasedpartsandmaterials 45 InternalFailureCosts AninternalfailureoccurswhenthemanufacturingprocessdetectsadefectivecomponentorproductbeforeitisshippedtoanexternalcustomerReworkingdefectivecomponentsorproductsisasignificantcostofinternalfailuresThecostofdowntimeinproductionisanotherexampleofinternalfailure 46 ExternalFailureCosts ExternalfailuresoccurwhencustomersdiscoveradefectAllcostsassociatedwithcorrectingtheproblemFormanycompanies thisisthemostcriticalqualitycosttoavoid 47 Cost of QualityReport Thisinformationiscompiledinacost of quality COQ report developedforseveralreasonsThereportillustratesthefinancialmagnitudeofqualityfactorsCost of qualityinformationhelpsmanagerssetprioritiesforthequalityissuesandproblemstheyshouldaddress 48 Cost of QualityReport ThecostofqualityreportallowsmanagerstoseethebigpictureofqualityissuesItallowsthemtotrytofindtherootcausesoftheirqualityproblems 49 Just in TimeManufacturing Just in time JIT manufacturingisacomprehensiveandeffectivemanufacturingsystemJust in timeproductionrequiresmakingaproductorserviceonlywhenthecustomer internalorexternal requiresitItusesaproductlayoutwithacontinuousflow 50 ImplicationsOfJITManufacturing Just in tim