Concepts of Throughput Accounting and Theory of Constraints

Financial Management

Kaizen – Understanding the Japanese Business Philosophy of Continuous Improvement

Operations Management

Role of Leaders in Shaping Organizational Culture

Management Principles

Organizational Culture – Development and Importance

Management Principles

Five Important Organizational Cultural Models

Management Principles

Ethical issues in Accounting and Finance

  Ethics (maintaining true and fair statements) is a key part of financial reporting. For shareholders to trust a company with money, they must feel confident in the company’s financial reporting. Financial reporting presents all data relating to the entity’s current, historical and projected health meaning investors and shareholders rely upon the available financial data for making informed and educated decisions. To help entities comply with business regulations and maintain financial reporting, shareholders can trust the existing organizations designed to watchdog different aspects of the accounting world. Primary among the organizations are the Securities and Exchange Committee (SEC), Financial Accounting Standards Board (FASB) and Public Company Accounting Oversight Board (PCAOB). These three bodies together ensure financial reporting is fair, reliable, and available to all investors. The specific importance of ethics in business and in financial reporting is to inspire and ensure public and investor confidence in companies. Without a strong Continue reading

Abey Francis

Concept of Secret Reserve

A reserve which maintained to strengthen the financial position of the business without disclosing it in the book is known as secret reserve. Secret reserve is hidden reserve which is not disclosed by the balance sheet. Secret reserve is also known as internal reserve. It is created by showing the figure of net profit less than actual. Its existence makes the financial position of the business better than what the balance sheet is disclosing. Generally, it is maintained by bank, Insurance and other financial institutions. A secret reserve is created in any of the following ways: High Value Of Goodwill:  In the balance sheet if value of good will is shown nominal or how but infact its value is high reserve may be created. Shown More Bad Debts: If management has made excessive provisions for bad debts. Infact these are less than the reserves allocated. So keeping in view the Continue reading

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Henry Mintzberg’s 10 Schools of Strategic Thought

Strategic management has become well established in all the sectors of the economies especially in the large organizations. Every business has some specific purposes a reasonable of a business is to create customers and to build a profit generating market. A customer is the foundation of the business. Survival ability is a kind of competence function of the management and nature of the business, nature of ownership, and the financial strength of the enterprises are interested. A stable enterprise always struggles to minimize the managerial tensions of the business. It is the strategy of assistance in an external environment. Ohmae’s definition of strategic management is quite different. He drew three groups of strategic management which are customer, Corporation and competitors. The generator also described the importance of theme by moving from abstract idea of strategy to the concrete strategic planning of its implementation. There are different ideas and arguments among Continue reading

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Different Stages of Career Development

The career stage approach is one way to look at career development. One way to characterize a person’s life or career is by identifying common experiences, challenges, or tasks most people go through as their life or career progress. As individuals have different career development needs at different stages in their careers, when an organisation recruits an employee in any of the grades of its cadre for a fairly long tenure, the employer must take interest in and take constructive steps for building up employees’ career from that point of time. Stage views of career development have their limitations. It is applicable to a typical individual. Since all individuals are unique, they may not have the same experiences. Therefore, career development stages differ from individual to individual due to obvious difference in perceived internal career. However, keeping in view of general requirements of people career development may be grouped under Continue reading

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Determinants of Demand

The knowledge of the determinants of market demand for a product or service and the nature of relationship between the demand and its determinants proves very helpful in  analyzing  and estimating demand for the product. It may be noted at the very outset that a host of factors determines the demand for a product or service. In general, following factors determine market demand for a product or service: Price of the product Price of the related goods-substitutes, complements and  supplements Level of consumers income Consumers taste and preference Advertisement of the product Consumers expectations about future price and supply position Demonstration effect or ‘bend-wagon effect’ Consumer-credit facility Population of the country Distribution pattern of national income. These factors also include factors such as off-season discounts and gifts on purchase of a good, level of taxation and general social and political environment of the country. However, all these factors are not Continue reading

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Standardization and Adaptation of International Business

By the growth of business when companies starts their operations in other countries they are called global or international companies, at that time of growth their business strategies that being used in their home countries are no more effective, since global business dynamics are different from local business environment and local business objectives are different from global business objectives, there is a need to have a global business strategy that is not able to achieve global business objectives but also able to make the organization perform in home country, at the same time that strategy should be able to meet short term and long term goals of the organization, while looking at goals shorts term goals can be managing cash flows, revenue targets, market share and cost management and long term goals can be having sustainable competitive advantage and brand building leading to continued profits and growth. While looking at Continue reading

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