Die toepassing van bestuursrekeningkundige inligting in onderneming A

Abstract

Management information must be geared on the management needs for a company operating a business of ever-increasing complexity. Reliable management information is essential for effective decision-making and profit planning, since the ability to predict the reaction of costs to changing situations is a key factor in the making of good decisions. How effective a manager is in his job will depend upon the relevance, and the accuracy of information, and how he analyses , interprets and acts upon it. The aim, then, is to provide the right people with the right information in the right quantity at the right time, and at minimum cost. A system of reporting is vital to any cost control endeavour as a means of bringing information to each level of management in order that responsibilities to the organization may be fulfilled. Reports must be designed to suit the various areas of organizational responsibility. Top management, therefore, will receive a summary of all costs, plus those relevant to the top level. A budget is the quantitative expression of a plan, whether short-or long-term. It reflects what management has decided to do and what it expects to accomplish by doing it. Budgets, in many enterprises , are the major planning and control tool. The managements of most businesses have developed a clearly defined business strategy, but very few businesses have considere the need for a reporting and control strategy. Thus the development of a long range information plan and control strategy should be the first step in implementing an effective reporting and control system. CHAPTER 1 focuses the attention on management information needs of a manager in a complex entity. making is the key word. Effective decision- CHAPTER 2 discusses how operating control can help to achieve the above goal of effective decision-making. CHAPTER 3 illustrates how budgetary control, through integrated planning and control, can be applied to achieve effective decision-making and control in an organisation.