| dc.description.abstract | INTRODUCTION
A fundamental study of farm management and farm cost
accounting - a case study.
Modern agriculture is characterised by increasing application of
commercial principals. In the process more and more farms are becoming
business orientated enterprises which use purchased inputs in increasing
quantities to produce marketable products. This increasing emphasis on
commerce exposes farmers to greater commercial risks, and through
planning and management, have become equally important in the fanning
industry as in any other type of busines enterprise. Today's farmer
requires a considerable business acumen. Those who do not meet this
requirement find it very difficult to continue fanning and they are often
forced by economic factors to leave agriculture.
CHAPTER l
The study deals with a relatively large farming enterprise in the Western
Transvaal, situate in the district of Lichtenburg. This specific concern
was identified and selected as a model for this case study due to the
fertile circumstances for developing and implementing a sound scientific
management system. This chapter briefly outlines the different goals of
the study, all of them directed towards the effective integration of
sound business principals in the fanning enterprise.
CHAPTER 2
The case study covers a period of approximately four years. This chapter
provides a broad outline and background of the various aspects of farm
management in existance at the commencement of the study. Special
attention is given to the problems and shortcomings surrounding these
aspects. The absence of a well-organized set of records and accounts
becomes apparent and proves to be the major reason for managements'
frustration and lack of success. Management evidently recognised that to
remain in business and to achieve profit goals, the enterprise mu st
function at optimum efficiency for which of course effective management
is essential. Thus the need of a suitably qualified management
accountant, adept at the intricate workings of the total management
function, was established and acted upon.
CHAPTER 3
This chapter describes the various stages through which a integrated
financial- and management accounting system was designed and
implemented. Special emphasis is placed upon the distinghuishing feature
of management accounting, viz. for use in planning and controlling
routine and non-routine operations and in forming major plans and
policies. Thus the accounting task is directed towards the gathering and
reporting of information for decision needs of all kinds. It involves
three facets : scorekeeping, attention directing and problem solving.
The management function receives due attention as well as the advantages
of budgeting as a tool of management.
CHAPTER 4
In this chapter a study is made of the present situation, i.e. to
establish whether the desired objectives were achieved and to what extent
the present managerial functions proves to be effective and successful.
CHAPTER 5
Ineffecient management is, from a business point of view, one of the
biggest problems facing the agricultural industry. Most of the basic
principals for the successful business enterprise are not yet applied to
fanning. This chapter provides a philosophical exposition of the basic
principals of farm management. Special attention is drawn to the major
managerial functions of the scientific manager viz. planning, organising,
activating and control. | en_US |
