Application of MAS in Competitive Business

Running head: MANAGERIAL ACCOUNTING
MANAGERIAL ACCOUNTING
Name of the Student
Name of the University
Author Note

MANAGERIAL ACCOUNTING1
Table of Contents
Introduction:...............................................................................................................................2
Discussion:.................................................................................................................................2
Answer to question 1:.................................................................................................................2
Identifying definite examples of different kinds of management accounting techniques:........2
Answer to question 2:.................................................................................................................4
Evaluating the use of management accounting system on the modern organization:................4
Recognizing the evidence from the concerned company:..........................................................4
Distinguishing the evidences from another practical life company:..........................................6
Answer to question 3:.................................................................................................................8
Determining the application of MAS in vigorous and competitive business orientation:.........8
Answer to question 4:.................................................................................................................9
Determining the four suitable outcomes for the management accountants:..............................9
Conclusion:..............................................................................................................................10
References................................................................................................................................12

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Introduction:
Considering the journal article, this report has been equipped to critically asses the
function of Management Accounting System (MAS) and the accounting information
provision for the company case. Referring to the journal article, a clear synopsis of the case
has been done to identify examples of certain specific yet different sort of management
accounting techniques and significance of such accounting system in the mentioned
producing organization (Bebbington and O’DWYER 2014). A comparison about the
importance of MAS has been performed between the information gathered from the journal
article and the article chosen from the journal of management accounting research.
Additionally, this paper determines the relevance of MAS in an ambiguous and competitive
business atmosphere. Moreover, this paper gathers information of research from the synopsis
of the two journal articles and their practicality to the management accountant.
Discussion:
Answer to question 1:
Identifying definite examples of different kinds of management accounting techniques:
The provided case discusses about the new age technique of management accounting.
Some of the techniques are Total Quality Management (TQM), Just in Time (JIT) and
Balance Scorecard (BSC). A large scale of attention has been provided to TQM and it is
widely accepted and adopted by the organization. Moreover, in the recent years this
technique has become extensively popular among the industries. However, these techniques
are broadly used by the industry with the level of acceptance relatively lower than the
expected one. It has been observed that the case company has merged and improved the
components of JIT and TQM to make them suitable for their operations. On the other hand,
application of BSC is sought to be unnecessary because of the simplicity of the

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manufacturing process (Valmohammadi and Ahmadi 2015). To be precise, the BSC model is
essentially unrealistic and unfeasible as they are applied prudently with some scorecards
(Akkermans and Van Oorschot 2018). The modern era of accounting tool like the BSC helps
the organizations to allocate resources for operations by applying the effective cost of
management accounting. BCS tends to bring a wide range of paybacks for the organization.
This fact is addressed, as the benefits of BCS is attributable from improved decision-making.
This is a result of collection of accurate cost data and elimination of misinterpretations.
The manufacturing system where the product is processed only after the ordering of
the product is referred to as Just in Time. For a successful manufacturing process, the
companies control the dynamics of Just in Time that has the average capacity of producing
with the least quantity of waste (Javadian and Talari 2013). In the market place, it is a system
of processing that is endowed with capacity and strength of competitiveness of the
organization only when the production process is efficient and the product quality is
improvised.
To meet the aims of organizations and customers demand, TQM is implemented in
the production companies that helps in integrating all the purposes of an organization. TQM
enables the employees to increase their efficiency by involving in the improvement of
product and services. This is a result of reduction in cost that is possible because of waste
management and growth in business. With the implementation of TQM, quality control
becomes an essential part of the process of production as the divergence from quality s is
analyzed by the quantitative measurement (Sallis 2014). However, for implementing TQM
there is no standard method.
Contrary to this, balance scorecard is a management system and strategic planning
that the organizations uses to increase communication, what they have completed is the