11534nam 2200673 450 991015464400332120230801235217.01-292-14942-6(CKB)3710000000607491(SSID)ssj0001673764(PQKBManifestationID)16472225(PQKBTitleCode)TC0001673764(PQKBWorkID)15013214(PQKB)10642827(MiAaPQ)EBC5138422(MiAaPQ)EBC5187735(Au-PeEL)EBL5138422(CaONFJC)MIL881432(OCoLC)1024282663(EXLCZ)99371000000060749120180112h20122012 uy 0engurcnu||||||||txtccrManagement control systems performance measurement, evaluation and incentives /Kenneth A. Merchant, Wim A. Van der StedeThird edition.Harlow, England :Financial Times Prentice Hall,2012.©20121 online resource (815 pages) illustrations (some color)Bibliographic Level Mode of Issuance: Monograph0-273-73761-9 Includes bibliographical references and index.Cover -- Dedication -- Brief Contents -- Contents -- Preface -- Acknowledgements -- Section I: The Control Function of Management -- Chapter 1: Management and Control -- Management and control -- Management -- Objective setting -- Strategy formulation -- Management control versus strategic control -- Behavioral emphasis -- Causes of management control problems -- Lack of direction -- Motivational problems -- Personal limitations -- Characteristics of good management c ontrol -- Control problem avoidance -- Activity elimination -- Automation -- Centralization -- Risk sharing -- Control alternatives -- Outline of this book -- Notes -- Leo's Four-Plex Theater -- Wong's Pharmacy -- Private Fitness, Inc. -- Atlanta Home Loan -- Section II: Management Control Alternatives and their Effects -- Chapter 2: Results Controls -- Prevalence of results controls -- Results controls and the control problems -- Elements of results controls -- Defining performance dimensions -- Measuring performance -- Setting performance targets -- Providing rewards -- Conditions determining the effectiveness of results controls -- Knowledge of desired results -- Ability to influence desired results (controllability) -- Ability to measure controllable results effectively -- Precision -- Objectivity -- Timeliness -- Understandability -- Cost efficiency -- Conclusion -- Notes -- Armco, Inc.: Midwestern Steel Division -- Loctite Company de México, S.A. de C.V. -- Puente Hills Toyota -- Houston Fearless 76, Inc. -- Chapter 3: Action, Personnel, and Cultural Controls -- Action controls -- Behavioral constraints -- Preaction reviews -- Action accountability -- Redundancy -- Action controls and the control problems -- Prevention versus detection -- Conditions determining the effectiveness of action controls -- Knowledge of desired actions.Ability to ensure that desired actions are taken -- Personnel controls -- Selection and placement -- Training -- Job design and provision of necessary resources -- Cultural controls -- Codes of conduct -- Group rewards -- Other approaches to shape organizational culture -- Personnel/cultural controls and the control problems -- Effectiveness of personnel/cultural controls -- Conclusion -- Notes -- The Platinum Pointe Land Deal -- Axeon N.V. -- Alcon Laboratories, Inc. -- Chapter 4: Control System Tightness -- Tight results control -- Definitions of desired results -- Performance measurement -- Tight action controls -- Behavioral constraints -- Preaction reviews -- Action accountability -- Tight personnel/cultural controls -- Conclusion -- Notes -- Controls at the Bellagio Casino Resort -- The Lincoln Electric Company -- PCL: A Breakdown in the Enforcement of Management Control -- Chapter 5: Control System Costs -- Direct costs -- Indirect costs -- Behavioral displacement -- Gamesmanship -- Operating delays -- Negative attitudes -- Conclusion -- Notes -- Philip Anderson -- Sunshine Fashion: Fraud, Theft, and Misbehavior Among Employees -- Fit Food, Inc. -- Chapter 6: Designing and Evaluating Management Control Systems -- What is desired? and What is likely? -- Choice of controls -- Personnel/cultural controls as an initial consideration -- Advantages and disadvantages of action controls -- Advantages and disadvantages of results controls -- Choice of control tightness -- Simultaneous tight-loose controls -- Adapting to change -- Keeping a behavioral focus -- Maintaining good control -- Notes -- Diagnostic Products Corporation -- Game Shop, Inc. -- Family Care Specialists Medical Group, Inc. -- AirTex Aviation -- Section III: Financial Results Control Systems -- Chapter 7: Financial Responsibility Centers.Advantages of financial results control systems -- Types of financial responsibility centers -- Investment centers -- Profit centers -- Revenue centers -- Cost centers -- Variations -- Choice of financial responsibility centers -- The transfer pricing problem -- Purposes of transfer pricing -- Transfer pricing alternatives -- Simultaneous use of multiple transfer pricing methods -- Conclusion -- Notes -- Kranworth Chair Corporation -- Toyota Motor Sales, USA, Inc. -- Zumwald AG -- Global Investors, Inc. -- Chapter 8: Planning and Budgeting -- Purposes of planning and budgeting -- Planning cycles -- Strategic planning -- Capital budgeting -- Operational) budgeting -- Target setting -- Types of financial performance targets -- Common financial performance target issues -- Planning and budgeting practices, and criticisms -- Conclusion -- Notes -- Citibank Indonesia -- HCC Industries -- Patagonia, Inc. -- VisuSon, Inc.: Business Stress Testing -- Chapter 9: Incentive Systems -- Purposes of incentives -- Monetary incentives -- Salary increases -- Short-term incentives -- Long-term incentives -- Incentive system design -- Incentive formula -- Shape of the incentive function -- Size of incentive pay -- Criteria for evaluating incentive systems -- Monetary incentives and the evaluation criteria -- Group rewards -- Conclusion -- Notes -- Harwood Medical Instruments PLC -- Superconductor Technologies, Inc. -- Tsinghua Tongfang Co. Ltd. -- Raven Capital, LLC -- Section IV: Performance Measurement Issues and their Effects -- Chapter 10: Financial Performance Measures and their Effects -- Value creation -- Market measures of performance -- Accounting measures of performance -- Investment and operating myopia -- Return-on-investment measures of performance -- Return-on-what? -- Problems caused by ROI-type measures.Residual income measures as a possible solution to the ROI measurement problems -- Conclusion -- Notes -- Behavioral Implications of Airline Depreciation Accounting Policy Choices -- Las Ferreterías de México, S.A. de C.V. -- Industrial Electronics, Inc. -- Haengbok Bancorp -- Berkshire Industries PLC -- Chapter 11: Remedies to the Myopia Problem -- Pressures to act myopically -- Reduce pressures for short-term profit -- Control investments with preaction reviews -- Extend the measurement horizon (use long-term incentives) -- Measure changes in value directly -- Improve the accounting measures -- Measure a set of value drivers -- Conclusion -- Notes -- Catalytic Solutions, Inc. -- First Commonwealth Financial Corporation -- Statoil -- Chapter 12: Using Financial Results Controls in the Presence of Uncontrollable Factors -- The controllability principle -- Types of uncontrollable factors -- Controlling for the distorting effects of uncontrollables -- Controlling for uncontrollables before the measurement period -- Controlling for uncontrollables after the measurement period -- Variance analysis -- Other uncontrollable factor issues -- Conclusion -- Notes -- Olympic Car Wash -- Southern California Edison -- Beifang Chuang Ye Vehicle Group -- Hoffman Discount Drugs, Inc. -- Formosa Plastics Group -- Bank of the Desert (A) -- Bank of the Desert (B) -- Section V: Corporate Governance, Important Control-Related Roles, and Ethics -- Chapter 13: Corporate Governance and Boards of Directors -- Laws and Regulations -- The Sarbanes-Oxley Act of 2002 -- Boards of directors -- Audit committees -- Compensation committees -- Conclusion -- Notes -- Vector Aeromotive Corporation -- Golden Parachutes? -- Pacific Sunwear of California, Inc. -- Entropic Communications, Inc. -- Financial reporting problems at Molex, Inc. -- Chapter 14: Controllers and Auditors.Controllers -- Auditors -- Audits -- External and internal auditors -- Common audit types -- The value of audits -- Conclusion -- Notes -- Don Russell: Experiences of a Controller/CFO -- Desktop Solutions, Inc. (A): Audit of the St. Louis Branch -- Desktop Solutions, Inc. (B): Audit of Operations Group Systems -- Landale PLC -- Chapter 15: Management Control-Related Ethical Issues -- The importance of good ethical analyses -- Ethical models -- Analyzing ethical issues -- Why do people behave unethically? -- Some common management control-related ethical issues -- The ethics of creating budget slack -- The ethics of managing earnings -- The ethics of responding to flawed control indicators -- The ethics of using control indicators that are "too good" -- Spreading good ethics within an organization -- Conclusion -- Notes -- Two Budget Targets -- Conservative Accounting in the General Products Division -- Education Food Services at Central Maine State University -- The "Sales Acceleration Program" -- The Expiring Software License -- Lernout & Hauspie Speech Products -- Section VI: Situational Influences on Management Control Systems -- Chapter 16: The Effects of Environmental Uncertainty, Organizational Strategy, and Multinationality on Management Control Systems -- Environmental uncertainty -- Organizational strategy -- Corporate strategy -- Business strategy -- Multinationality -- National culture -- Local institutions -- Differences in local business environments -- Foreign currency translation -- Conclusion -- Notes -- ConAgra Grocery Products Company -- Lincoln Electric: Venturing Abroad -- TECO Electric & Machinery Co. Ltd. -- Kooistra Autogroep -- Chapter 17: Management Control in Not-for-Profit Organizations -- Differences between for-profit and not-for-profit organizations -- Goal ambiguity and conflict -- Difficulty in measuring performance.Accounting differences.With its unique range of case studies, real life examples and comprehensive coverage of the latest management control-related tools and techniques, Management Control Systems is the ideal guide to this complex and multidimensional subject for upper level undergraduates, postgraduates and practising professionals.Industrial managementCost controlManagerial accountingPerformanceMeasurementIndustrial management.Cost control.Managerial accounting.PerformanceMeasurement.658Merchant Kenneth A.149670Van der Stede Wim A.MiAaPQMiAaPQMiAaPQBOOK9910154644003321Management control systems2877971UNINA