Current Ethical Issues in Managerial Accounting
No company can nowadays afford to function alone. Partnerships are increasingly getting important and the effective exchange of information can determine profit or loss. An important method to cope with the increasing complexity is called supply chain management (SCM). It is enterprise-wide planning, management and control of all logistics tasks in the value chain. I decided to choose this topic because I had the chance to work with the system in practice in the Automotive Lighting plant in Jihlava. I want to explain the origins of this technology and take a closer look at its major features. I will also try to show how this system increases business value and where its limitations are. Last but not least I show some example of practical use in small and medium companies and I will try to determine the latest trends in the industry of this technology. My chosen company is SAP which produces software in the fields of ERP, CRM and SCM. The term supply chain management was named by Keith Oliver in 1992, economists called this the creation era. In the so-called integration era, SCM got developed along with Electronic Data Interchange (EDI) and Enterprise Resource Planning (ERP) systems with the internet-based collaborative systems. SCM is starting to get widely used in the globalization era in the late 1980s. In the 1990s companies began to outsource manufacturing and distribution. This new step created need for manufacturing and distribution networks with many supply chains. (Haag, Cummings, McCubbrey, Pinsonneault, Donovan 2006) One of the major features of the SCM Software from SAP is that it can quickly help a company to adapt in changes in supply and demand. There are newly developed tools to measure and report data and to provide a framework for good decision making in managerial accounting. One of the tools I find very attractive is the Manufacturing and Supply Planning. This feature can forecast demand and...
References: Haag, S., Cummings, M., McCubbrey, D., Pinsonneault, A., & Donovan, R. (2006), Information Systems For the Information Age (3rd Canadian Ed.), Canada: McGraw Hill Ryerson ISBN 0-07-281947-2
Kallrath, J., Maindl, T.I. (2006): Real Optimization with SAP® APO. Springer ISBN 3-540-22561-7.
SAP. (2013). SAP. In Manufacturing and Supply Planning. Retrieved February 2, 2013, from http://www54.sap.com/lob/scm/software/manufacturing-supply-planning/index.html.
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