【正文】 ement: 2020 Edition. I C M S, 2020. Tinkler, Michael, and Daniel Dube. “Strength in Numbers: ABC Integrated with ActivityBased Planning.” CMA Management, September, 2020. 5 2. Balanced Scorecard Related Topics ? Management by Objectives (MBO) ? Mission and Vision Statements ? PayforPerformance ? Strategic Balance Sheet Description A Balanced Scorecard defines what management means by performance and measures whether management is achieving desired results. The Balanced Scorecard translates Mission and Vision Statements into a prehensive set of objectives and performance measures that can be quantified and appraised. These measures typically include the following categories of performance: ? Financial performance (revenues, earnings, return on capital, cash flow)。 ? Assign costs to products and customers (based on activity usage). 4 Common Uses Companies use ActivityBased Management to: Reprice products and optimize new product design. Managers can more accurately analyze product profitability by bining activitybased cost data with price information. This can result in the repricing or elimination of unprofitable products. This information also is used to accurately estimate new product costs. By understanding cost drivers managers can design new products more efficiently. Reduce costs. Activitybased costing identifies the ponents of overhead costs and the drivers of c ost variability. Managers can reduce costs by decreasing the cost of an activity or the number of activities per unit. Influence strategic and operational planning. Implications for action from an ABM study include target costing, performance measurement for continuous improvement, and resource allocation based on projected demand by product, customer, and facility. ABM can also assist a pany in considering a new business opportunity or venture. Selected References Cokins, Gary. ActivityBased Cost Management: An Executive’s Guide. McGrawHill, 2020. Cooper, Robin, and Robert S. Kaplan. Cost amp。 ? Group overhead and other indirect costs by activity using clearly identified cost drivers。 Company launched a multiyear research project to gather facts about the use and performance of management tools. Our objectives remain to provide managers with: ? An understanding of how their current application of these tools and subsequent results pare with those of other anizations across industries and around the globe ? Information they need to identify, select, implement, and integrate the right tools to improve their own pany’s performance Each year we interview senior managers and conduct literature searches to identify 25 of the most popular and pertinent management tools. We define the tools in this guide and conduct detailed surveys to examine managers’ use of tools and success rates. We also conduct oneonone followup interviews to further probe the circumstances under which tools are most likely to produce desired results. The research to date has provided a number of important insights: ? Senior managers’ overwhelming priority is to improve financial performance. ? Financial performance is driven by a pany’s ability to: 1) discover unmet customer opportunities, 2) build distinctive capabilities, 3) exploit petitive vulnerabilities, and 4) promote creative collaboration within and between anizations. ? Executives believe that management tools can improve their performance along these four dimensions. ? A correlation exists between financial performance and the way in which anizations use management tools. ? Overall, satisfaction with tools is mildly positive, but their rates of use, ease of implementation, effectiveness, strengths, and weaknesses vary widely. ? Managers have learned that no tool is a silver bullet. Our efforts at understanding the changes in tools being used by management have led us to add four new tools to this year’s guide—Change Management Programs, Corporate Codes of Ethics, Downsizing and Stock Buybacks. While not one is a brand new tool to the business world, the use of each seems to be increasing in today’s business environment. 3 1. ActivityBased Management Related Topics ? ActivityBased Costing (ABC) ? Customer Profitability Analysis ? Product Line Profitability Description ActivityBased Management (ABM) uses detailed economicanalyses of important business activities to improve strategic and operational decisions. ActivityBased Management increases the accuracy of cost information by more precisely linking overhead and other indirect costs to products or customer segments. Traditional accounting systems distribute indirect costs using bases such as direct labor hours, machine hours, or material dollars. ABM tracks overhead and other indirect costs by activity, which can then be traced to products or customers. Methodology ABM systems can replace traditional accounting systems or operate as standalone supplements. They require a strong mitment from both top management and line employees in order to succeed. To build a system that will support ABM, panies should: ? Determine key activities performed。 Company and founde r of the Management Tools amp。1 1. ActivityBased Management ........................................................................................ 3 2. Balanced Scorecard ..................................................................................................... 5 3. Benchmarking ............................................................................................................ 7 4. Change Management Programs .................................................................................... 9 5. Contingency Planning ...........................................................................