Effects of Accounting Information on Overall performance Essay

Effects of Accounting Information on Performance

College of Management and Economics Bachelor thesis, 10 l Examiner: Jerzy Kociatkiewicz Tutor: Anders Jerreling

Växjö 2006-06-02

The impact of accounting information on management's decision-making process

A Case Study

Group A1:

Notara Lengauer Adelheid Mayr Sandie Parasote

(A) (I) (F)

[email protected] vxu. se [email protected] vxu. aprendi [email protected] vxu. se 1

Executive Overview

Wexiödisk ABDOMINAL is a producer of integrated dishwashers machines for professional use. Its headquarter is located in Växjö and its items are present for the European, as well as the Japanese and Australian market. Currently the business is Scandinavian's leading supplier in its business field. For 7 years and counting, Wexiödisk belongs to an German group, called the Ali Group.

To be a successful company, it is not simply necessary to generate decisions, but to implement the ideal ones. Wexiödisk's present accomplishment, as demonstrated in its leading position, could be led back among other things to a number of beneficial decisions. A conclusion is concerned while using selection of an action often away of a volume of alternatives. To be able to choose the right a single, decision-makers require some assistance, which is somewhat provided by data gathered by management accounting. Tools used in the managing accounting place are subsequently considered as a helpful support.

Also Wexiödisk focuses on some of these tools, like the costing system, profitability, priced at tools and budgeting, which will be presented from this thesis. The costing system contributes to the available knowledge of costs, building the basis for several decisions, just like determining rates. Profitability can be used especially for decisions concerning stopping operations, while budgeting deals with the analysis of investments.

These economic information facilitates decisions made in Wexiödisk. Several decision-making types have been identified in materials to examine this process of decision-making. Out with this pool a sequential version was chosen to illustrate the decision-making stages in Wexiödisk. The[desktop] divides the decision-making method into a lot of stages in this article each other. Yet , it will be illustrated that the decision-making process in Wexiödisk is a bit more complex and cannot be quickly squeezed into these steps. It is going to become obvious in this conventional paper that this procedure is motivated by many people, making it challenging to determine one final decision-maker as well as a particular decision-making stage. Besides, experiences, feelings, choices and other qualitative factors can have an impact upon decisions in Wexiödisk.

However, financial data affects the decision-making procedure. In Wexiödisk the function of management accounting data is interwoven and built-in in the whole decision course, having the capability to influence the task at nearly all stage. 2

Table of contents

Acknowledgement...................................................................................................................... 5 one particular Introduction........................................................................................................................ 6 1 . you Background................................................................................................................ 6th 1 . two Problem debate..................................................................................................... 7 1 ) 3 Research question....................................................................................................... 7 1 . some Purpose....................................................................................................................... six 1 . a few Limitations................................................................................................................. eight 2 Technique...................................................................................................................... 9 installment payments on your 1 Analysis...

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Graph you: page 18: Adapted coming from Drury C