...1. What should an employee do when he or she discovers that there is an error in a projection? Why do you suggest that action? Would your answer change if the error was not likely to affect other aspects of the operation such as employment? Why or why not? An employee should immediately report and error when it is discovered. All employees, especially employees who are burdened with the task of making projections which may impact the furute of the company must act with integrity. “According to Mintz, “Integrity is a fundamental trait of character that enables a CPA to withstand client and competitive pressures that might otherwise lead to the subordination of judgment.”3 A person of integrity will act out of moral principle and not expediency. That person will do what is right even if it means the loss of a job or client. In accounting, the public interest (i.e., investors and creditors) always must be placed ahead of the one's own self-interest or the interests of others, including a supervisor or client. (Steven M Mintz 2)” The answer does not change whether it impacts other aspects of operations. Certainly, it is more important to report errors when those errors can impact the company. The integrity of the person making the projection affects the overall reputation and trustworthiness of the individual, the department and the firm as a whole. If the belief develops that a person is making poor projections or covering up errors, even small or non-consequential errors...
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...Stokes, was dissatisfied with the top management of PrimeDrive, a manufacturer of computer disk drives. Halston and Stokes had invested $20 million in PrimeDrive, and the return on their investment had been below par for several years. In a tense meeting of the board of directors of PrimeDrive, Stokes exercised his firm’s rights as a major equity investor in PrimeDrive and fired PrimeDrive’s chief executive officer (CEO). He then quickly moved to have the board of directors of PrimeDrive appoint himself as the new CEO. Stokes prided himself on his hard-driving management style. At the first management meeting, he asked two of the managers to stand and fired them on the spot, just to show everyone who was in control of the company. At the budget review meeting that followed, he ripped up the departmental...
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...negative publicity at a time of global recession. Following are the conclusions from this case study: * Projects have little chance of a positive outcome when no time is taken to research the schedule, specifications and opportunities adequately before electing to proceed (or not). * Ignoring the normal protocols when putting proposals together by using unskilled personnel leads to deficiencies in technical matters, faulty documentation and poor consultation with stakeholders which adversely affects the budget, the profit and the company’s reputation. * If protocols are followed and the correct personnel involved from the outset, then the alternative decision to not adopt the project remains an option; alternatively, the client can turn down a bid that is much higher than their budget. * Fitting a bid around a figure proffered by a potential client and then making the contract “fixed-price” with no room for contingency, lays the responsibility of extra costs with the provider rather than the client, which is untenable. * Spending the entire budget on raw materials at the outset without reference to suitability and requisite amount wastes the provider’s money (in this scenario). * When managers are not party to contract acquisition they do not support the project and even...
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...Case 1-8 A Faulty Budget Jackson Daniels graduated from Lynchberg State College two years ago. Since graduating from the college, he has worked in the accounting department of Lynchberg Manufacturing. Daniels was recently asked to prepare a sales budget for the year 2011. He conducted a thorough analysis and came out with projected sales of 250,000 units of product. That represents a 25 percent increase over 2010. Daniels went to lunch with his best friend, Jonathan Walker, to celebrate the completion of his first solo job. Walker noticed Daniels seemed very distant. He asked what the matter was. Daniels stroked his chin, ran his hand through his bushy, black hair, took another drink of scotch, and looked straight into the eyes of his friend of 20 years. “Jon, I think I made a mistake with the budget.” “What do you mean?” Walker answered. “You know how we developed a new process to manufacture soaking tanks to keep the ingredients fresh?” “Yes,” Walker answered. “Well, I projected twice the level of sales for that product than will likely occur.” “Are you sure?” Walker asked. “I checked my numbers. I'm sure. It was just a mistake on my part,” Daniels replied. “So, what are you going to do about it?” asked Walker. “I think I should report it to Pete. He's the one who acted on the numbers to hire additional workers to produce the soaking tanks,” Daniels said. “Wait a second,” Walker said. “How do you know there won't be extra demand for the product...
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...the death of the people who were killed in the accidents in the Ford Pinto because of their faulty parts. In this case, Ford should have fixed their cars before producing them and letting the automobile industry get their hands on them. The stakeholders in this particular case would have been the people who had invested in the Ford Company and any employees in Ford, particularly...
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...Memo: As we continue to move toward the end our quarterly objectives. I wanted to take the time to explain some of our costs. In our particular field of designing and manufacturing products, we are always engaging in ways that we can mitigate loss and improve our processes. Performing such changes will give a stronger presence in the market by allowing us to remain competitive. While we are performing our analysis on different aspects of the company, we look at the three main types of cost. When we remain devoted to improving our costs, and the faults related, we show our same devotion to our consumers. This is portrayed by the quality of products we put on the shelves. Prevention costs, appraisal costs and Failure costs are areas that we must strive to mitigate any loss from our past experiences. Prevention cost is an expense related to our efforts in quality control. If we take necessary measures to proactively identify and prevent loss from our processes, the cost associated with actions would be our prevention cost. This was recently seen by the required staffing training we implemented for all employees working on the assembly line. This was our way of making sure that we out our best foot forward and in-turn reduced potential loss seen in prior months of similar capacity. Appraisal costs are how we were able to identify the need for the previously mentioned preventative cost. Appraisal cost is the cost incurred for activates helping us to make sure we have unswerving...
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...Introduction Potential Concerns • 3D Repair and Maintenance Training • Juarez Employee Retention • Juarez Budget Relationship Between Control Function and Long-Term Planning The control functions help to ensure success of the long term planning function. Galaxy is currently working to ensure that production in every branch goes smoothly in order to reach our long-term goals. Issues are being monitored and addressed. We are continually monitoring the quality of the MMJE1 as it goes through the entire production process. This will help Galaxy to maintain their mission of providing quality products and controlling excess waste of the available resources. Recommendation • Invest in 3D training consultant to provide additional training and cross training to each branch - Continued faulty use of machines may result in additional wasted time and product, affecting the long term company goals •...
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...Introduction There are various strategies that are utilized to control budgets.Through managing budgets organization put themselves in better positions for the financial forecasts. The strategies include the following • Zero based • Activity based • Performance based • Cost variances and benchmarking Zero based budgeting is where expenses are analysed in the organization and the need and cost for each is justified.This strategy of budgeting results in efficient allocation of resources since its based on needs and benefits rather than history. It helps managers to find cost effective ways to improve operations. Activity based costing is the gathering of operating cost data which are associated with specific activities such as maintainance. Under activity based budgeting resource allocation is based on relationship between activities and cost. The most distinct advantage of this type is greater precision in determining costs in cases where departments or products need to be tracked. Performance based budgeting is the practice of developing budgets on a relationship between program funding levels and expected result from that program, allocation of resources are based on their potential results. Performance based budgeting focuses on strategic objectives, performance measurement and effectiveness. One advantage of PBB is that employees perform better since they will be aware that high performing departments will continue to receive funding...
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...M, 2011). A sum of “£4.8bn was expected to cover this in 2016” (Broomfield. M, 2011). But according to the health services the NHS will only be giving “£3.7bn of the total budget”. (Broomfield. M, 2011). The reason why the cuts has been applied, is because there is evidence shown to the government by the council that “more can be done for less with public spending” (Stone. J, 2011). However, there isn’t an exactly piece of evidence to show this. Therefore, there has been a total cut of 1.1bn, by the will of George Osborne who is the “Chancellor of the Exchequer,” (Cambridge Dictionary, 2017), and a British politician working alongside David Cameron as well as a member of parliament from, 2010 – 2016. It is argued that he was responsible for the changes in the NHS cuts and how tax is contributed, whereas the Labour party claim this is “risky and dangerous for the sick patients,” (Campbell, 2017), who are likely to...
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...realignment, the Republican Party, , became even more distinctly conservative. This ideological sorting extended to voters, activists, and elected officials, creating many seats in the House that were predetermined to be safe for one party or the other. Therefore, the only opposition from these seats came from ideological extremists in their parties moving Democrats further left and Republicans further right. The resulting sharp partisan differences created an atmosphere where legislative ends could justify any procedural means. Examples of this extremist partisanship can be observed in both chambers of Congress, such as the arm-twisting seen in the House to pass the Medicare bill, as well as the Senate employing methods such as exploiting the budget reconciliation process to avoid filibusters – thereby setting the odds of the bill passing in the majority party’s...
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...Accurate Speed Speed is different than time it represents the pace at which the final product functions and time measures the overall project schedule. It is important to understand that time would refer to the overall schedule, and speed would measure the performance level of the final product. Accuracy This is an important measure of performance, because it represents how well the system that the project put together actually functions. A project team could construct a product on time and on budget that is highly faulty regardless of the fact that the project was successful within two of the constraints, if it is not accurate, it fails to meet the performance constraint. Volume This is different than speed; it is measured in total number such as product finished or sold, or the number of people that attended. These project management performance measures are similar in the way they reveal exactly how successful a project is regardless of the time and budget and allow benchmarks to be set that represent performance that...
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...Course Project Part 2 Course Project Part 2 Jezreel Wilson, Sadaf Mohiuddin, Anel Catic Community Tech Center 04/232015 Jezreel Wilson, Sadaf Mohiuddin, Anel Catic Community Tech Center 04/232015 Contents Introduction 2 Risk Management Planning 2 Scope 2 Statement of Work—Project Description and 3 WBS 5 Risk Identification 6 Negative Risks 6 Qualitative Risk Analysis 7 Positive Risks 7 Negative Risks 7 Risk Response Planning 7 Positive Risks 7 Negative Risks 9 Decision Tree Analysis 11 Discussion of Decision Tree 12 Event / Fault Tree Analysis 14 Discussin of Event / Fault Tree 15 Conclusion: 15 Works Cited 16 Introduction The available of technology, such as, computers, tablets, ebooks, and even Internet are absent in many households in America still. As of 2013, the Census Bureau suggested that “84% of U.S. households own a computer, and 73% of U.S. households have a computer with a broadband connection to the internet (Pew Research Center).” It also mentioned “63.6% having a handheld computer. (Census Bureau)” A survey by Pew Research Center confirmed those stats, as 70% reported they have broadband access. These numbers show that there is still a large number of Americans who don’t own a computer, nor have access to the Internet. “Nearly 25 million households (21%) have no regular internet access at all, either at home or elsewhere (Pew Research Center)...
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...succeeds or fails. These are the so-called critical business issues, the top priorities of every company's agenda. Critical Business Issues Defined • Critical business issues are the most important items of an organization's agenda and are directly connected to its success. For example, the creation of an attractive advertising campaign is a critical issue, as well as the elimination of a budget deficits. Another factor which distinguished critical issues from lesser ones is their urgency: A burnt lamp may remain for several hours without significant effects on productivity, but a budget deficit must be tackled immediately. Lesser Issues Becoming Critical • Lesser business issues can become critical when they deteriorate and or start affecting the organization's productivity directly. For instance, a slightly annoying squeak coming from the wheels of a plumber's van is not a serious issue; he can still drive to his business appointments. However, when the squeak becomes a howl, it is critical for the plumber to get it fixed, so that his business activities are not affected by a faulty vehicle. Source of Critical Issues • Business needs define most critical issues: Increased production costs make an expenses reduction plan a critical issue, while fierce market competition renders thorough marketing plans a necessity. However, external factors can affect the existing critical issues or even add new ones. For example, new legislation on waste disposal and green policy can...
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...include a systems development component, but may also consist of process improvement, organizational change or strategic planning and policy development. The first step to analyse a problem is, to describe the problem as short as possible and list all factors, which could be important for the problem. The Lam Limited Company is experiencing difficulties, concerned with the problems with its customers returning defective toner cartridges. The customer service department found that not all the returns were results of a faulty product. Some users may not very familiar with the correct method of loading the cartridge into the printer. Five steps to Solving Problems in Business: a) Develop a Process to Identify Problems The first step is to have a process that identifies when problems arise so they can be addressed as quickly as possible. It is important to be ahead of the curve so the customer experience is not impacted. For Lam Limited is necessary to find a faulty product and improve product instruction. The sooner the issue can be identified the quicker a plan of action can be put together to resolve the problem. b) Collect Data Accurate data should be the cornerstone for decision making and collecting and analysing business data should be incorporated into the day-to-day operation. It is difficult to know if an organization is meeting business objectives and goals if they don’t have measures in place to monitor progress. c) Learn from Key Stakeholders Many organizations...
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...Management Function Planning: The Company has a problem in the planning function as they lack the long-term planning as its core function is based on its infrastructure where there are no plans for a long-term maintenance and replacements which causes failures in its services Organizing: There is no problem in the organization function Leading: The leading function has no problems Control: The control function itself is missing, as the planning is faulty Organizational levels The main problem is at the superiors as they lack the vision of future planning and budget allocation. The superiors are only looking for generating more profit regardless the infrastructure itself, which has no maintenance, or replacing the old equipments which reflects on the quality of service and this impacts our accountability Business Functions The problem is mainly related to the IT, Operation, Finance and Knowledge functions as the infrastructure failures are related to the IT and operation departments while budget allocation relates to the financial department and finally the lack of future planning vision is related to the Experience and knowledge. The operation team is trying not to report all the problems to the management as to export the image that they work around each problem or failure in an unprofessional way The finance team on the other hand is always placing obstacles in allowing us to invest in new equipments as long as the old ones are still working...
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