Management Accounting Systems Dissertation

Management Accounting Systems Dissertation

Management Accounting Systems (MAS) comprise of firms’ internal systems that are employed to evaluate and measure their accounting operations. Generally, companies employ accounting methods such as TQM, JIT, and ABC to monitor their financial transactions such as expenses, income and sales, accounts payable and funding. Further, MAS provide an opportunity for companies to generate various organization statistics that provide interested parties or management with a wide variety of information to assist in processes of decision making in an organization. Presently, both Company-A and Apple Inc. have integrated management accounting systems to foresee their accounting operations. The firms use computer-based or automated systems that use cloud-based or specialized services. This report; therefore, highlights the outcomes of two research articles covering application of MAS in manufacturing companies considering three key management accounting methods: TQM, JIT, and ABC.

The terms information and information system are viewed to have increasing effects on the enterprises, occupying model fields and management analysis. Economic information contains news from different fields and information as found in any other system. In most cases, this information is derived from the economic database. Resources are relatively scarce and limited and so management in most cases finds itself confronted with the decision-making problem.

In this regard, good accounting information should be accessible to offer suitable and precise decision-making that could lead to maximization of profitability of an organization and utilization of scarce resource optimally. Accounting is normally viewed as the language used in all businesses. In simple terms, it is a tool used by business enterprises to record, report, evaluating economic events & transactions that normally affect its operations (CONG, 2017).

Accounting takes the role of processing all financial performance documents from payroll, cost, capital expenditure and all other obligations of owner’s equity and sales revenue. Information is provided from accounting about how a business relates to the internal and external users, including, investors, managers, and others. One of the most important features that saturate organizations is management decision and it shows its failure or progress in achieving already set goals and objectives.

Identification of any three specific examples of the different types of management accounting methods and/or techniques from the case

Total Quality management (TQM)

According to Watts, Yapa & Dellaportas (2014), Total Quality Management is an accounting approach whose primary aim is to embed the awareness of quality in all the operations taken in a given organization. TQM is a philosophy of management that requires the change of organizational culture. It is a philosophy of management whose primary purpose is to strive in making the best utilization of opportunities and resources in a given constant environment.

TQM entails all the efforts in the organization in establishing a permanent accounting climate through which the organization can continuously improve its capabilities in ensuring there is the delivery of high-quality accounting to the organization. Skipworth (2018), pointed out that the support of management leadership and process of statistical control ensures participation and loyalty of employees. Likewise, focuses on planning and product design processes, quality control and involvement of customers and suppliers. Therefore, the major sphere of interest is organizational factors such as cultural change, leadership for change, employee training and cost of quality.

According to Hall & O’Dwyer (2017), organizations must be accounting focused rather than product focused. It also lays emphasis on the use of statistical methods, continuous training of workforce and top management commitment to constant improvement in quality. Therefore, Total Quality Management impacts the creation of systems in an organization that help in learning, cooperation and facilitating the implementation of different management practices to ensure performance is enhanced. This results in improved performance on products, processes and services and also the fulfillment of employees’ motivation in the organization.

Laureani & Antony, (2016), noted that the implementation of Total Quality Management in organizations creates improved performance by engaging activities of management leadership, strategic planning, engaging training programs and ensuring knowledge and process management are implemented.

Just-in-Time (JIT)

According to Prakash & Chin (2014), Just-In-Time production and inventory refers to a wide-ranging system for guiding the production flow in a multi-stage manufacturing setting. It is an idea of total waste elimination. The simple meaning is “only what is needed, when it is needed, and in the amount needed” to eliminate waste, inconsistencies, and unreasonable requirements, resulting in improved productivity (Prakash & Chin, 2014).

A company’s values can be greatly enhanced by adopting JIT system especially in savings the inventory carrying costs, reduced storage and handling costs. Also, the chance of spoilage and obsolescence and theft and opportunities costs associated with having excessive inventories will be reduced. Besides, the pull method of JIT enables the needs of the customers can be addressed more quickly and effectively and therefore the market share will be increased directly.

JIT system can be performed by anybody in organization especially within the production line. For example, demand for new raw materials is signaled when there is a need in Work Cell Stage for more of these inputs. This triggers the purchasing activity. Demand for the production from Work Cell Stage is signaled when there is a need in Sub-Assembly Stage for more of these inputs.

This triggers the manufacturing activity in the Work Cell Stage (Nie, Bai, Jiang & Pang, 2014). Also, demand for the production from Final Assembly Stage is signaled when there is a need for the finished goods orders by customers. Therefore, noted that the involvement from the purchasing department to manufacturing department and finally until Sales and Marketing departments are greatly needed and proved that JIT system covers all aspects of the production process.

Activity Based Costing

Currently, business environment is changing due to the development of technology. The company’s management accounting system should find out a right accounting tool to dispose of an optimum cost control. The Activity-Based Costing (ABC) is known as the most popular management accounting tool of last twenty years and it is also known as the revaluation of managerial accounting in the circumstance of the development of techniques (Hoozée & Hansen, 2018).

This is because it could give more accurate, traceable cost information and simply by growing the number of cost drivers used in costing system while the traditional cost accounting system represent product cost distortion and it could lead to inappropriate strategic decisions.

The components of company-A’s management accounting system include; reports of income expenses and income, and sales analysis. These components are based on Activity costing that is determined by the organization production activities. In addition, the components provide an organization with the required information useful for making decisions and planning.

In addition, the company uses the components of a management accounting system to delete or add information from its product portfolio (Watts, Yapa & Dellaportas, 2014). Further, the company incorporates the components of the system to make a decision of the best production process or line that can be used for various products. The managers of the firm use these components to make an analysis of the major manufacturing processes in the organization. The components of the management accounting system for Company-A include budgets, reports about investments, and reports of standard costs.

According to Watts, Yapa & Dellaportas (2014), the firm uses these components to perform organization decision such as financial management, organization spending, total cost evaluation and many others. The company incorporates these components to estimate their total costs of production. The management calculates its cost values by measuring the rate of an activity and its drivers.

The components help an organization to overcome overhead expenses in business operations which may limit their labor input. Also, the organization incorporates the components with the intention of diversifying its products tastes. In addition, these components of management accounting systems help Company-A to obtain factual information or data that is in line with the organization’s budgeted and actual figures thereby allowing the managers and owners of the organization to incorporate the appropriate measures of controlling risks.

In addition, these components help an organization to attain timely feedback that is in line with the current activities of the organization thereby helping it re-evaluate its operational decisions. Therefore, these components of management accounting systems help the organization to make its financial decisions to monitor its business operations during the production processes.

ABC is especially useful for the complex environment organization. In this case, Company-A has nine divisions with different strategies. Therefore, ABC is a best management accounting tool for Wesfarmers in order to obtain their target. Based on the Wesfarmers’s strategies that was discussed above. The ABC model could have many benefits that could help the company to achieve their strategies. First, it could assist the top management of Company-A, in pricing, deleting and adding the products, selecting outsource and in-house items.

In this case, the ABC model is primary to support management decision or it is known as the strategic tool to help Wesfarmers to obtain the competitive advantage. This is because it could help the company identifies the elements that impact on the cost dynamics in long term and minimum the cost for particular job to improve Company-A’s competitive position (Watts, Yapa & Dellaportas, 2014). Subsequently, it will reduce the cost product due to better design and improvement of product process. Furthermore, it is easy for ABC to determine which overhead cost should be assigned in the product to minimum the price of product. Then, the buyers can be benefited from this strategies.

Additionally, ABC model can help Company-A in distribution cost. For example, the managers may rely on this model to choose the profitable channels or alter the distribution channels due to the overhead allocation. Another advantage of ABC is that it could help the top management of the company to identify the unprofitable product lines and accurate costs. Hence, it could improve the efficiency of operation as well as the profitability to build in competitive cost advantage and add value to its stakeholders and its customers.

Management Accounting Systems are relevant to contemporary organizations citing evidence from the case company

When the term MAS are mentioned most people think of manufacturing companies. This is because of their long association with giving management explanations for the intrinsic management functions, specifically in the manufacturing zone. This may have narrowed its utilization in the utilities industry as a tool to be used to improve financial performance where intrinsic and extrinsic trade advice could be required for strategic planning.

Other purposes of MAS in the contemporary organizations include organizing, controlling, motivating and decision making. Current ingenious MAS practices for example total quality management, performance evaluation furnish beneficial management accounting explanations for customer management and the improvement of a competitive advantage for an organization as it is revealed in Company-A. According to Karpova, Serikova & Tyschenko (2019), some MAS practices equip firms with strategies so that it can make a variety of clients to have eternal preference for an organization’s products and utilities.

The adoption of MAS practices and approaches can furnish an organization with continuous performance and growth. MAS’ practices in the contemporary organizations include ABC, total quality management, budgeting, variance analysis, advice for decision-making, strategic analysis, balance scorecard, among many others (Karpova, Serikova & Tyschenko, 2019).

In order for an organization to ensure effective creation of information and better organization, it is supposed to transmit new information by implementing management accounting systems. These management accounting systems contribute to t innovation process in a number of ways depending on the organization. First, owners of Company-A prompted to hire mid-career managers who can be in the position to ensure effective creation of information by creating diversity or counter-cultures within an organization.

By doing so, the company has been in the position to attain internal development of products. This has been as a result of making a “policy of hiring mid-career personnel from other firms” who recommend a firm to make diversification in various field such as “Plain paper copier”. Second, management accounting system helps Company-A proposer again with increased average growth of about 20 percent. With the help of management accounting system, the firm has become well equipped to overcome various challenges in the projects of product development as a result of using diverse and large staff.

Therefore, by using management accounting systems, the organization is in the position to ensure effective interaction and accumulation of this personnel with different technology potentials. In addition, management account provided Canon Inc. an environment that addressed tension in the business operation hence resulting into creation and synthesis of new information. For example, Company-A employs SAP in decision making process in regards to accounting operations. Also, Apple Incc. Has utilize MAS to come up with new products that are cost effective.

Comparison of this finding with one other journal article about management accounting systems in another real-life company or companies

From the findings of Watts, Yapa & Dellaportas (2014), MAS has helped the managers of Company-A to obtain information about their technological trend. By training information ion an organization, the company is in the position to prepare its self for battle with its competitors in the market. This helped the organization to build a new production line as an organizations innovation.

In addition, by adopting management accounting system, the company was in the position to make use of different features which supported their computer machines which were faster, expensive and smaller(Watts, Yapa & Dellaportas, 2014). Therefore, management accounting helped Company-A to realize its competitors and mistakes thereby designing new innovation processes such as designing new computer features.

In comparison to Nwogugu (2015), that highlights Apple Inc. management accounting system. MAS has enabled Apple to realize many business ideas which were very important were ignored as a result of limited information transmission. With the help of management accounting system, the company is in the position to understand vital business jobs that were not considered earlier.

For example, “in the decision regarding the use of the 5.25 inch or 3.5-inch floppy disk, Jobs wanted the slower, lower-capacity 5.25-inch floppy disk, even though the engineers insisted that the 3.5 inches would be better (Nwogugu, 2015).” The outcomes of the 2 articles provide similar findings on how the companies employ MAS in decision making and product invention. However, the second article emphasizes more the invention aspect of MAS while the first one provides the MAS techniques and their application in manufacturing thus, differing a little on the deeper side.

Conclusions about the relevance of Management Accounting Systems in today’s competitive and (in most cases), uncertain business environment

MAS avails schemes for both manufacturing and utilities zones. Utilization of MAS practices not only increase e management competency but it also increases employees’ competency. It also facilitates aim determination, helps in plan preparation, and facilitation of better services to customers, it makes it easy to take judgment, enhance performance measurements, furnish effective management control, and make it possible to maximize profits, safety and security from trade cycle. All of which are important in ensuring that the companies thrive exceptionally well in their processes.

Management accounting systems keeps advancing and its involvement in the management of the organization has increased. It is therefore essential that management accountants comprehend not only how to account for MAS practices for example ABC, but also how to be aggressive in their implementation and management in order to achieve maximum benefit for the organization. In their study they investigated if the thirty finance managers of the Company-A knew of the significance of adopting the MAS practices.

The study also sought to establish the type of link between strategic initiatives and advancement in the manufacturing sector. Any firm should aim to obtain and enhance financial benefits and having empiric facts of the effectiveness of MAS practices should be vital for any organization. The findings indicate that twenty six point eight per cent of the manufacturing firms use a minimum of one of the MA practices. Furthermore the evidence shows that there was a higher consciousness level of the value of using the MAS practices among the finance managers, although the high level was not liked with the usage level of those practices.

Their study revealed a strong affirmative association between using MAS practices and advancement in organizational performance. From the above the articles, it is clear that MAS practices affect the organizations in one way or the other. However, the variables considered are not similar for every organization. Internationally, the lack of adoption of advanced MAS practices as reported by the studies, but incompatible with respect to single techniques. Therefore, a strong affirmative alliance between using MAS practices and organizational activities results in innovation and maximum production.

Specific outcomes or lessons learned from each of the two articles’ research findings that will be useful for management accountants in Australian companies to learn from

According to the first article by Watts, Yapa & Dellaportas (2014), management accounting systems are important tools in the creation of new information in an organization that arises from social interaction. In addition, the article indicates that the firms are responsible for creating a process which provides their structure. The article also indicated the interactive nature of the two firms in project development composed of different people from various backgrounds operating in intense continuous communication.

Watts, Yapa & Dellaportas (2014), indicated that companies develop different products. In this case, the four major lessons or outcomes from the research findings of management accounting are explained below in accordance with every organization. First, the research on Company-A, indicated that an organization’s management is based on syntactic data or information like profit analysis and ROI which create meaning or emergency in the information.

In addition, this system is supposed to create an organization’s meaning made up of stagnant bureaucracy. Further, the research indicates that different channels that are created for syntactic information communication are not recommended for transmitting semantic information. Therefore, research indicates that “In a syntactic channel, semantic information is interpreted as merely “fluff” without pragmatic use.” This implies that Australian companies should have a well-visualized structure that helps in the flow or transmission of an organization’s information without meeting barriers. By doing so, companies will be confined as being Number One (or Two) in every business we are in” or “keeping ROI above some arbitrary number”(Watts, Yapa & Dellaportas, 2014).

 Second, the research on Company-A Watts, Yapa & Dellaportas (2014), indicated that synthetic rules should not be miss taken by employees in an organization so as to achieve the business objectives and motivation of leaders. In case, Australian companies don’t put this issue into consideration, they will not be in the position to fix or minimize the risks that may arise in an organization’s rank and file. In addition, the situation may lower down an organization’s breakeven point hence limiting the creation of information which may affect the growth of a company. Therefore, Australian companies should consider these two findings obtained from the research concerning Company-A.

According to the other article by Nwogugu (2015), an organization’s leader helps in maximizing the creation of information for an organization. In addition, Nwogugu (2015), indicated that the leader of an organization not supposed to behave like a military commander but instead be a catalyst for better business performance. Further as per Nwogugu (2015), a leader in an organization is supposed to create a way of selecting useful people in an organization by at times making arguments with them and also assisting them to overcome different barriers thereby helping them attain their vision.

Therefore, leaders in Australian companies should be in the position to effectively perform their roles in the organization so as to ensure effective information transmission (Nwogugu, 2015). Finally, Nwogugu (2015), indicates that a small group of managers in an organization can create up a difference in the innovation processes. For example, Apple computing Inc., incorporated a small number of people to integrate the company’s software and hardware systems so as to ensure effective operations. With the help of intense interaction, the company was in the position to ensure effective information transmission. Therefore, Australian companies are supposed to ensure intense interaction between its members as a way of exhibiting their commitment.

References

CONG, Z., 2017. Discussion on the Rationality of “Accounting Standard for Business Enterprises No. 3 – Investment Real Estate”. Destech Transactions On Economics, Business And Management, (emem).

Hall, M., & O’Dwyer, B., 2017. Accounting, non-governmental organizations and civil society: The importance of nonprofit organizations to understanding accounting, organizations and society. Accounting, Organizations and Society, 63, 1-5.

Hoozée, S., & Hansen, S., 2018. A Comparison of Activity-Based Costing and Time-Driven Activity-Based Costing. Journal Of Management Accounting Research, 30(1), 143-167.

Karpova, V., Serikova, T., & Tyschenko, V., 2019. Management of the development of the accounting and tax accounting system for forward and futures contracts. Development Management, 17(2), 17-25.

Laureani, A., & Antony, J., 2016. Leadership – a critical success factor for the effective implementation of Lean Six Sigma. Total Quality Management & Business Excellence, 29(5-6), 502-523.

Nie, L., Bai, Y., Jiang, X., & Pang, C., 2014. An Approach for Level Scheduling Mixed Models on an Assembly Line in a JIT Production System. Applied Mechanics And Materials, 697, 473-477.

Nwogugu, M., 2015. The Case of Apple Computers, Inc.: Failed Strategic Alliances, Corporate Governance and Risk Management. SSRN Electronic Journal.

Prakash, J., & Chin, J., 2014. Comparison between production controls in multi-stage multi-product manufacturing environments: two case studies. Production & Manufacturing Research, 2(1), 477-500.

Skipworth, S., 2018. Empower employees to step away, with the greater goal of enhancing leadership. Enrollment Management Report, 22(2), 8-8.

Watts, D., Yapa, P., & Dellaportas, S., 2014. The Case of a Newly Implemented Modern Management Accounting System in a Multinational Manufacturing Company. Australasian Accounting, Business and Finance Journal, 8(2), 121-137.

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Outsourcing Low Cost Countries

Benefits and Risks of Outsourcing to Low Cost Countries

Apparel and luxury value chains have come up with strategies so as to be cost competitive, increase the income, and expand the market for their goods. Outsourcing the end-to-end supply chain means that activities of an organization are carried out by an external company that specializes in these activities (Pickles et al., 2015). More so, a company can pay attention to its key competencies satisfy consumers, and be more flexible in maintenance and operation of its supply chain.

Apparel and luxury industry is very volatile today, frequent changes in expenses, risks, and demands for materials and goods as well as the changes in factors like international business environment are some of the challenges affecting the end-to-end supply chain. Anything that halts or reduces the movement of material, as well as the apparel and luxury goods, are considered a problem to the supply chain (K3SoftwareSolutions, 2017).

Outsourcing Benefits

Apparel and luxury companies have been able to expand their supply chain to many different countries and migrating to outsource manufacturing which has seen reduction in the cost of production. This strategy has promoted division of labor throughout the end-to-end supply chain by allowing company to concentrate on principal business undertakings. The organization is allowed to concentrate on its core competencies while specialist suppliers are given non-core undertakings (Handfield, 2017).

Suppliers who can carry out the processes more efficiently are tasked with this role and therefore outsourcing in low cost countries helps make the supply chain more effective. International brands have been allowed to create a completely responsive supply chains as well as bringing apparel and luxury products of low price to the shelves of stores (Handfield, 2017). Low priced goods are as a result of using external company’s expertise, knowledge and links to make cost-effective plans. Besides, time is economized since the time taken in designing, and delivering new clothes and luxury products to the market has been reduced from over a year to only a few weeks (Handfield, 2017).

Through outsourcing in low-cost countries, companies have been able to achieve effective processes, low-priced goods, and consumer satisfaction leading to outstanding performance and strategic advantage. Supply chain also becomes more flexible as the company has freedom to choose who they can do business with. Also, outsourcing enables the end-to-end supply chain of the organization to be more traceable (Robinson, and Hsieh, 2016).

Outsourcing-Low-Cost-Countries
Outsourcing-Low-Cost-Countries

Outsourcing Risks

Despite the benefits, an organization exposes their brands to great risks through outsourcing because it becomes a supply chain against supply chain. When going after cheap labor, apparel and luxury companies have been putting immense pressure on the suppliers who in turn are ready to reduce their invested capital to have low costs (Handfield, 2017). So as to compete with other businesses in the low-cost countries, suppliers forwent investments and labor practices that reduces the safety standards in a company and this is likely to damage the brand image of the apparel.

Poor working conditions in the apparel and luxury industry so as to maintain common local codes in low-cost countries is a disadvantage to the supply chain (Handfield, 2017). Another challenge to the supply chain is the abroad manufacturing delays. Apparel and luxury stores that are in western countries are progressively relying on the clothes and accessories from countries like China. Most newcomers to the industry may be found off guard by the delayed manufacturer (K3SoftwareSolutions, 2017). Moreover, damaged shipments and some that get lost is another menace to the apparel and luxury industry. Possible unseen costs such as inflated shipping price can result.

Besides, there are possible setbacks to the supply chain for instance late receiving of inventory leading to consumer dissatisfaction, loss of income and problems in the end-to-end supply chain. Problems may also arise during integration of the two Apparel and luxury companies affecting supply chain. If the hired company economize, use cheap materials or even fail to assess risk fully, the supply chain will be affected due to decreased sales and brand equity (Meeken, 2013).

Conclusion

Outsourcing in low-cost countries helps Apparel and luxury companies be more efficient in their operations because they concentrate of core competencies and they can produce cheaper clothes and accessories as well as satisfying consumers, therefore, affecting supply chain positively. However, there are risks involved such as pressuring suppliers to reduce investment capital to keep low costs. More so, companies adopt common local standards which can ruin the brand image and problems in the hired company can also affect the organization negatively.

References

Handfield, R. (2017, August 23). Needed: A New Way to Manage Risk in Low Cost Countries. Supply Chain Resource Cooperative.

K3 Software Solutions, (2017, December 8). Supply Chain Challenges in Apparel Industry and How You Can Fix Them. Fashion ERP.

Meeken, Z. (2013, June 13). The Risks and Benefits of Outsourcing Supply Chain Management. Business.org.

Pickles J, Plank L, Staritz C, Glasmeier A (2015) Trade policy and regionalisms in global clothing production networks. Camb J Reg, Econ Soc 8(3):381–402

Robinson, P. K., & Hsieh, L. (2016). Reshoring: a strategic renewal of luxury clothing supply chains. Operations Management Research, 9(3-4), 89-101.

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Global Development China Dissertations

Global Development in China

According to Yang (2016), global development is a wider concept concerned with the level of development of a state weighed on an international scale. Reflecting on global development with China as our case study, we would consider the position in which China’s development can be placed on an international scale. On the other hand, social capital reflects on the relations which can guarantee a nation some competitive advantage over the other nations. Effectively employed social capital creates a good environment in which a nation can thrive (Fine, 2010). This essay focuses on the relationship between the communism and religion and how minorities are treated in China.

In the bid to increase the rate of development within a nation, the aspect of social capital cannot be overlooked. Besides being a core factor to establishing togetherness, social capital ensures all the components of an economy are made available. For example, in the case of China, religion offered many confrontations to the communist which makes it difficult for the leaders to rule with no ideological sanction. With social capital, the fundamental cultural will be incorporated in a nations’ development agenda that guarantee goodwill and commitment from the stakeholders (Fine, 2010).

With no doubt, democracy is the sole factor which contributes significantly to instilling cooperative civil societies and functional social capital. According to Fine (2010), democracy as the rule of the people by the people ensuring all the agenda of the community is presented for consideration during decision-making. Apparently, development is a very sensitive agenda that calls for participation of all the society members; with which a ruling government has high control over what a nation can achieve. Hence democracy comes in to harmonize and present the demands of people creating an effective civil society.

Lack of social capital offers a huge bearing on the ability of a state to develop. This aspect can be justified when a society is not oriented for the same purpose; some of the political leaders, in this case, are more self-centered other than providing the service they were destined by the citizens. Usage of patronage highly denotes that a society tends to put into power those that provide them with incentives. On the other hand, corruption kills efforts as most of the capacity to develop a nation ends up in the hands of a few individuals (Lovell, 2005).

Chinese Global Development

A state which has high development capacity is at a higher chance of establishing and maintaining better social capital. With the virtual of having a promising development direction, a nation will attract more social capital from neighboring nations which constitute significantly to the sustainable future development. Whenever a state capacity is directed towards achieving the development agenda, a greater pool of social capital will be influenced (Lovell, 2005).

In terms of global development, China is the largest united multi-national state which has about 56 different ethnic groups. Among them, 91.59% are the Han Chinese while the other remaining 55 ethnic groups comprise about 8.41% (Fifth National Population Census of 2000). 8.41% presents the minorities who live in China. With a population of about 1159.4 million, the largest ethnic group, Han Chinese is found in most of the parts of China. Nevertheless, they are mainly found in the lower and middle reaches of Yangtze River, Yellow River, and Songliao Plains (Fifth National Population Census of 2000).

In the world, generally, no single nation which can boast of establishing a very good record in relation to the issue of treating minority groups. China is not exceptional. The treatment of minority is not fairly evaluated on the basis of sociological and political standards. However, there exist policies that protect the minority from further exploitation. The minorities in China are protected under the regional autonomy to settle in multiple regions. Such regions include; Ningxia, Tibet, Xinjiang, Guangxi, and Mongolia (Guo, 2008).

According to China’s State Council, China has maintained ancient forms of religion, such as Taoism and Buddhism. However, with increasing radicalization, the country’s belief system is taking a new edge and becoming increasingly diverse. About 61% of the Chinese population comprises the people who are strict followers of Atheism, 26% are followers of Confucian Philosophies, 6% adheres to Buddhist, 2% adheres to Christianity, and about 2% follow Islamic belief. These religions, however, raised many traction with communistic policies as every branch hold a diverse view on work, religion, and political leadership.

In conclusion, global development, social capital and civil societies are a perfect combination that a nation can use to make leverage of development capacity. With an efficient social capital, a nation is at an upper hand to attain its development agenda compared to another that has no goodwill with its social capital. In regard to China, the existence of many ethnic groups has ensured a huge pool of social capital which can be attributed to its massive growth and development. Corruption and patronage can be blamed for dragging a country’s development agenda backward. Whenever political regime is not oriented towards delivering the demands of the citizens, ethnicity will be bound to occur since there is no uniting factor to bring the people together for a common goal and increase Global Development ambitions.

References

Fifth National Population Census (2000) China’s Population Demography and Ethnic Groups.

Fine, B. (2010). Global Development China, Social Capital versus Social History. In Theories of Social Capital: Researchers Behaving Badly (pp. 90-109) Pluto Books.

Guo, X. (2008) State and Ethnicity in China’s Southwest and Global Development in China. Leiden: Brill.

Lovell, D. (2005) Corruption as a Transitional Phenomenon: Understanding Endemic Corruption in the Post-Communist States. In Haller D. & Shore C. (Eds.), Corruption: Anthropological Perspectives (pp. 65-82) Pluto Books.

Yang, F. (2016) “From Made in China to Create in China”: Nation Branding and the Global-National Imaginary. In Faked in China: Nation Branding, Counterfeit Culture, and Globalization (pp. 31-63) Indiana University Press.

Global Development in China
Global Development in China

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Investigation into the Real Estate Industry in China – Real Estate Industry (REI) is pivotal to China’s economic development which relates to people benefit, entrepreneur development and country safe. REI relates with many industries and develops into one of major industry. Development of China REI on the one hand lacks of funds and exists on the need for foreign capital; on the other hand, the existence of international hot money ensures adequate space for foreign capital to stay into. With China’s accession to WTO, it gradually increases the degree of opening up in REI, its opportunities and challenges both exist. REI is considered as China’s last violent industry in many institutions’ and individuals’ eyes. Therefore, foreign investors have accelerated efforts to develop China REI. However, the inflow of foreign capital is a double-edged sword and has both positive and negative effects existing. To REI, many research in foreign investment has been done, the research of foreign investment in Real Estate has been rarely done. REI has become more and more important in China, so it is necessary to make a research on this subject.

International Business Entry Mode in China – Today economic globalization is far more intensive, rapid and to develop the domestic economy through utilization of foreign capital flow is becoming a country’s common objective. Foreign investment becomes an essential part for the healthy growth of the host country’s economy, but the attitudes and the policies taken by the host countries especially the developing countries are varying. Therefore it is important to learn and know the attitudes and policies of the host countries for foreign firms before making investment. In addition, the country’s culture and market environment greatly affect different types of entry modes. This dissertation explored the characters of different types of entry modes and seeking through various aspects that affect the decision making on choosing the right form of entry mode in China. Now China becomes the largest country in attracting foreign capitals among developing countries. A comprehensive examination and adjustment of China’s strategies in utilization of foreign capitals has been an important topic that cannot be ignored.

External Finance and Firm Performance : Evidence From China – The important role that financial institutions play in promoting firm growth and firm performance has been demonstrated by substantial empirical research based on both cross-country and within-country studies. However, firms have achieved considerable success in many developing economies where the financial sector is far from established. The experience of China’s economic development seems to present a counter-example to the literature on financial institutions and development. Despite inadequacies in the country’s formal financial institutions such as banks and stock markets, China has been one of the fastest growing economies in the world. This appears to suggest that alternative channels of finance have been a substitute for formal financial systems and supported the rapid development of China’s firms. One widely suggested mechanism in the literature is that firms in developing economies such as China rely to a large degree on alternative external financing, such as trade credit and foreign capital.

What challenges Textile structure of Shandong Province Face in the Developmental process of Industries? A Study of Textile Industries in Shandong Province China? – In the modern era of global development, China’s influence in the world economy was minimal until the late 1980s. At that time, economic reforms begun after 1978 began to generate significant and steady growth in investment, consumption and standards of living. China now participates extensively in the world market and private sector companies play a major role in the economy. Since 1978, hundreds of millions have been lifted out of poverty, according to China’s official statistics; the poverty rate fell from 53% in 1985 to 2.5% in 2010. However, 10.8% of people still live on less than $1 a day (PPP-adjusted).The infant mortality rate fell 39.5% between 1995 and 2010, and maternal mortality by 41.1%.Access to telephones during the period rose more than 94-fold, to 57.1%. China has generally implemented reforms in a gradualist fashion. As its role in world has steadily grown, its importance to the international has also increased apace. China’s foreign trade has grown faster than its GDP for the past 25 years. China’s growth come both on huge state investment in infrastructure and heavy industry and from private sector expansion in light industry instead of just exports, whose role in the economy appears to have been significantly overestimated. In 2008 thousands of private companies closed down and the government announced plans to expand the public sector to take up the slack caused by the global in the capitalist world. Shandong Province as an important component of China’s textile industry, global development, its development process and challenges has the value of research and study.

Analysis into the Consumer Behaviour Characteristics of the Chinese Automobile Industry – China is the biggest consumer and producer of automobiles in the world today. In spite of this, there has not been enough research performed in the field of Chinese consumer behaviour within automobiles industry in China. This particular study investigates the significance of country image and country of origin in Chinese consumer purchase intentions and evaluations of automobiles. The respondents were located in different cities of China who were surveyed. Conjoint analysis had been used for deriving the significance of country of origin compared to other attributes in making preference judgments whereas multiple regressions were used for deriving the significance of country image in the purchase intentions. It was seen that country of origin is as significant as brand name and more significant than safety, reliability and price in making product evaluations. It was also seen that workmanship, reliability and superior prestige were the most significant reasons for the purchase preferences of the Chinese respondents for the foreign automobiles compared to the Chinese brands.

MBA中国学位论文 – 中国商业学位论文

Did you find any useful knowledge relating to Global Development in China in this post? What are the key facts that grabbed your attention? Let us know in the comments. Thank you.

Corporate Social Responsibility Strategy Qatar Airways

An Evaluation of the Value of Corporate Social Responsibility Strategy at Qatar Airways on Consumers

Title: Corporate Social Responsibility Strategy at Qatar Airways. In modern day business, CSR cannot be avoided. Companies should improve profits and make profit but at the same time abide by set rules and regulations. Today, ignoring stakeholders could result into inability to generate long term stakeholder owner value. In CSR, companies are required to maintain their friendly relations with their consumers and other stakeholders that they engage with. Stakeholder theory proponents hold that beyond shareholders, there are other agents who equally have an interest in actions of the corporation.

The main goal of this study was to evaluate the value of corporate social responsibility strategy at Qatar Airways on consumers. Qatar airways have made significant strides by engineering decent CSR policies that have been instrumental in boosting the global image and overall profitability of the organization. This study has managed to prove that CSR has an effect on the image and profitability of a business. The study has managed to show that CSR proves to the customers that the organization minds the environment and the welfare of the society. Consequently, boosted not only the firm’s image, but also is an economic return.

Corporate Social Responsibility Strategy Qatar Airways

The main goal of this dissertation was to evaluate the value of corporate social responsibility strategy at Qatar Airways on consumers. Based on the above research questions and stated goal, this study sought to accomplish the following key objectives:

  • To review the current literature on the value of social corporate responsibility on Qatar Airways consumers
  • To understand and analyze the current situation at Qatar Airways.
    To evaluate the effectiveness of the current CSR strategy at Qatar Airways
  • To make conclusions and recommendations for the improvement of the current social CSR strategy at Qatar Airways

CSR Dissertation Contents

1 – Introduction
CSR Perspectives
Significance of the study
Research Objectives
Problem Statement
Research Questions
Overview of Dissertation
Definition of Terms

2 – Literature Review
CSR Proponents Summary
Summary of arguments against CSR
Importance of CSR
New CSR Trends
The Case of CSR at Qatar Airways
Theoretical Framework

3 – Research Methodology
Mixed Methods Research
The philosophy behind mixed methods research
Research Design
Instrumentation
Data Collection
Data Analysis
Sample of Study
Data Collection Tools
Questionnaire
Quantitative Data Collection
Limitations of the data collection tools
Data Analysis

4 – Finding and Analysis
Demographic Information
Findings

5 – Recommendations and Conclusions
Recommendations
Limitations of the Study
Conclusion

References

Appendix
Questionnaire

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I hope you enjoyed reading this post on Corporate Social Responsibility Strategy at Qatar Airways. There are many other titles available in the Business Management and MBA dissertation collection that should be of interest to MBA students and academic professionals. There are many dissertation titles that relate to other aspects of business such as strategy, leadership, international business, mergers and acquisitions to name a few. It took a lot of effort to write this post and I would be grateful if you could share this post via Facebook and Twitter. Feel free to add your thoughts in the comments section. Thank you.

Business Forecasting Predictions MBA

Business Forecasting

Business Is the Art of Predicting the Future and Getting Benefit from It

“The art of predicting the future and getting benefit from it” in business can be narrowed down to one term which is business forecasting. Business forecasting is the backbone of a successful business in every business venture. According to different scholars, the management of business should always make predictions based on overall running of the business, sales and finance handling (Hailey 2007).

Business Forecasting is described as the art and method that can be used by the business owner or shareholders to make a prediction of future business activities basing it on the accuracy of your data. The information obtained can be used in the determination of future trends in finance performance, sales performance and also customer behavior. Most businesses need business forecasting, and usually, they are done on a quarterly basis, but some can prefer forecasts made on a monthly basis (Evans 2009).

Types of Business Future Predictions (Forecasts)

General business outlook. Each and every business needs a forecast to is undertaken. This is mainly to foresee the likely changes that might occur shortly. There are certain conditions that are always present in a community that a certain business operates. Some examples are; controls, population, fiscal policy, political conditions, and the national income. Due to the presence of these factors, it is necessary to make future predictions of the business (Hailey 2007).

Sales forecast. The sales department is a major determinant of success in a company. Due to this reason, sales forecast should be carried out with precaution and due care to gain business success. In every business, sales forecasting is considered as the to notch factor in planning and a major aspect to consider in an organizational setting. Plans and policies made by the business to maximize their profits are obtained from expected sales so whether sales forecast is carried out annually or yearly; it is the main factor to future business plans.

Business Forecasting MBA
Business Forecasting MBA

Capital forecast. Every business in operation must have financial plans. Capital should be a factor to be determined to meet present and future needs of business. Forecast based on business capital requirements is a necessity and is considered as the primary step in every organization. Accurate forecasts greatly help an organization to employ capital fully and get optimum returns from their investments (Morlidge 2010).

Major Merits of Future Business Predictions (Forecasts)

Promoting a new business in the market. Making future predictions is one vital factor that has a huge contribution when it comes to setting up of a new business. This is because starting a new business is not as easy as it is perceived by most people because business is subject to risks and uncertainties. By carrying out forecasting, the business promoter finds out if the probability of the business thriving and if the business has high competition. After making these predictions, the business promoter assembled all the necessary resources and based on the forecasting made; the business is subject to success or failure (Morlidge 2010).

Formulation of a plan. Proper business forecasting plays a major role in business planning. Major business plans require proper forecasting in business thus making it an essential aspect in consideration. Therefore, as a business person, it is always important no note that adequate planning, whether long-term or short-term highly depends on forecasting.

Estimation of financial requirements. Estimation of business finances is a major business concern because in running a business, capital is vital. Business finances can be characterized by cash used to start the business, the money stored in the bank and cash used to run the day to day operations of the business. The presence of working and fixed capital is based on sound financial forecasting.

The viability of decisions made by management. Correct management decisions highly depend on the accuracy of forecasts made. As described by various scholars, the administration is a decision-making process, and management has the responsibility of making decisions which are uncertain. In the running of business whether small or large, certain changes might occur, e.g. personnel changes and unforeseen contingencies. Decision making by management is a process that goes on throughout the life of business (Evans 2009). Therefore, forecasting is relied upon in matters of production planning and resource allocation.

Business success. Proper forecasting helps the procurement department of the business to procure the necessary and necessary raw materials based on the business needs and future needs. The accuracy of sales forecasting is essential in making budgets. When a business fails to make accurate sales forecasts, it becomes difficult for the business and management to figure out how much production should be done (Hailey 2007).

Conclusion

As discussed in this paper, prediction of future is a vital step that every business has to undergo. Through future prediction, business is assured to thrive and reach its set limits. Many advantages have been realized by businesses which have taken the step of making good and proper business forecasts. On the other hand, lack of prospects might lead to a drastic failure of business. All the discussed merits are some out of the may many benefits of making future predictions of business.

Bibliography

Evans, Michael K. Practical Business Forecasting. New Jersey: John Wiley & Sons, 2009.

Hailey, Linda. Your Business, Your Future: How to Predict and Harness Growth. Crows Nest, New South Wales: Allen & Unwin, 2007.

Morlidge, Steve. Future Ready: How to Master Business Forecasting. New Jersey: Wiley, 2010.

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I hope you enjoyed reading this post on Business Forecasting and Future Predictions. There are many other titles available in the business management dissertation and MBA dissertation collections that should be of interest to MBA students and academic professionals. There are many dissertation titles that relate to other aspects of business such as strategy, leadership, international business, mergers and acquisitions to name a few. It took a lot of effort to write this post and I would be grateful if you could share this post via Facebook and Twitter. Feel free to add your thoughts in the comments section. Thank you.