Strategic Management Accounting

This study material from Desklib discusses the role of professional accountants in strategic management and the importance of value chain analysis. It also provides insights on how Ansell Strategic can help Mark Moran Group with their current undertaking, Mark Moran Vancluse.

Running head: STRATEGIC MANAGEMENT ACCOUNTING
STRATEGIC MANAGEMENT ACCOUNTING
Name of the Student
Name of the University
Author Note

1STRATEGIC MANAGEMENT ACCOUNTING
Table of Contents
Question 3............................................................................................................................2
Question 4............................................................................................................................3
References............................................................................................................................5

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Question 3
The strategic management refers to the continuous activities of analysis, assessment,
monitoring and planning of all the necessary matters that are needed by an organization to be
able to meet the goals and the objectives that it has set for itself (Hill, Jones and Schilling 2014).
The concerned organization in discussion, Ansell Strategic, is observed to have been in
collaboration with the Mark Moran Group for the development of the aged care and retirement
residence known as Mark Moran Vancluse. Ansell Strategic is known to provide its clients with
strategic and well-informed advices in order to help the concerned clients with their
diversification, growth and performance improvement. The professional accountants play a huge
role in the strategic management of the organization. The professional accountants have a huge
leadership role to play in the concerned business. These professional accountants might also help
in providing assistance to the concerned business by suggesting the various corporate strategies
and by helping them to reduce the costs that the business might incur (Goretzki, Strauss and
Weber 2013). The accountants might also help the concerned organization to mitigate the risks
that are encountered by the concerned organizations as well as help them to improve their top
lines. The professional accountants often assume the roles of the leaders of the organization by
helping the concerned management of the organization by providing the needed approval to the
annual budget set by the concerned company and by responding to the stakeholders of the
concerned organization and remaining accountable to them. The professional accountants also
help the concerned organization by determining the amount of compensation that needs to be
covered by the concerned management of the organization. The professional accountants of the
organization might need to essay the role of the chief financial officers of the company and thus
might help the concerned management with their valuable insights on the financial health of the

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concerned company. The roles played by the professional accountants of the concern might help
the organization by setting the direction of the concerned organization towards the analysis,
creation and communication of the financial data of the organization. The professional
accountants, on the internal front, also help in assuring the concerned management by providing
them with the needed assurance on the risk management capabilities of the organization and the
effectiveness that is displayed by the internal processes of controlling and the governance of the
organization (Samsonova-Taddei and Humphrey 2014). The professional accountants also help
the concerned management by offering the concerned management with the ideas on the areas
wherein the company might enhance itself.
Question 4
Value chain analysis refers to the process wherein the concerned organization is able to
identify the primary and the support activities that might help in the value addition to the final
product or service that is been marketed by the company and thereafter proceeds to perform an
analysis of the various activities that might help them to reduce the costs or to bring about an
increment in the differentiation. The industry value chain analysis plays a huge role in the
shaping of the organization. The concept of value chain was initially introduced by Michael
Porter (Olson 2014). The industry value chain analysis includes the analysis of the various
matters like the raw materials that are used by the company, the intermediate products, the
manufacturing activities, the activities involving the marketing and the sales of the concerned
product and the after sales services that are related to the products that have been manufactured
by the company. In the given case study, Ansell Strategic could be advised to abide by the value
chain analysis as proposed by Michael Porter in order to help Mark Moran Group with their
current undertaking, Mark Moran Vancluse. The value adding activities of the organization refer

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to the various activities that might help in adding value to the concerned customer. In order to
gain the status of a value added activity, the concerned activity must abide by the three basic
criteria that have been laid down by the experts. The concerned step should help the concerned
service to get closer to the completion that it seeks. The step that is taken must be taken in a
correct way in the first attempt and should not be a correctional step. The last criterion suggests
that the concerned customer should be observed to have been caring for the concerned step that
is being performed by the concerned organization. A value chain of the organization refers to the
various activities that are performed by the concerned organization so as to deliver the concerned
clientele of the organization with the best quality services and products (Williamson et al. 2013).
The value drivers refer to the various matters that might be added to any product or a service in
order to bring about an increase in its value to the concerned customers (Terpstra and Verbeeten
2014). The value drivers tend to put forth a differentiating factor that might help the products and
services offered by an organization to have an edge over those that are provided by the
competitors of the concerned organization.

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References
Goretzki, L., Strauss, E. and Weber, J., 2013. An institutional perspective on the changes in
management accountants’ professional role. Management Accounting Research, 24(1), pp.41-63.
Hill, C.W., Jones, G.R. and Schilling, M.A., 2014. Strategic management: theory: an integrated
approach. Cengage Learning.
Olson, E.L., 2014. Green innovation value chain analysis of PV solar power. Journal of cleaner
production, 64, pp.73-80.
Samsonova-Taddei, A. and Humphrey, C., 2014. Transnationalism and the transforming roles of
professional accountancy bodies: Towards a research agenda. Accounting, Auditing &
Accountability Journal, 27(6), pp.903-932.
Terpstra, M. and Verbeeten, F.H., 2014. Customer satisfaction: cost driver or value driver?
Empirical evidence from the financial services industry. European Management Journal, 32(3),
pp.499-508.
Williamson, D., Cooke, P., Jenkins, W. and Moreton, K.M., 2013. Strategic management and
business analysis. Routledge.