Sunday, May 26, 2019
In characterizing the different international business forms available, Bartlett and Ghoshal (1989) have made a distinction between global, international, transnational and multinational organizations. rebels organizational structure lowlife be set forth as an integrated ne 2rk structure, with resources, decisions, and responsibilities creation dispersed and specialized, but interdependent. Each of the different local units makes differentiated contributions to Waxs worldwide operations, and its strategic advantage derives from the ability to achieve worldwide competitiveness, local responsiveness, and global innovation simultaneously.As such, it can be typified as a transnational (Bartlett and Goshal, 1989). Pelmutter has made a distinction between ethnocentric, polycentric, heterarchical, and geocentric organizations (Hedlund, 1986, p. 9-35). Using Pelmutters typology, Waxs organizational structure can be described as a heterarchy (or network) (as opposed to a mother/daughter, divisional, or matrix structure), with the role of its mixed subsidiaries being to make local contributions to the firms local as well as global strategies.Its strategic advantage can be described as deriving from the flexibility in the worldwide market that its structure affords. As such, using Pelmutters classification, the form of decentralization at Wax can be described as heterachical rather than ethnocentric, polycentric, or geocentric (Hedlund, 1986, p. 9-35). References Hedlund, G. 1986. The hypermodern MNC A heterarchy? Human Resource attention, Vol. 25 1986, No. 1, pp. 935. Bartlett, C. A. and Ghoshal, S. 1989. Managing across borders The transnational solution.Boston. Q. 2 Explicate how a management accounting system could enable the Salvation Army to respond to the la? cit? requirements. Specify how resource allocation could be accounted for live control is a central component of management accounting. Using techniques such as lifecycle costing and activity-based co sting, the Salvation Army will be able to identify, measure, analyze, accumulate, prepare, interpret, and progress the decent costs relating to key activities such as social work and evangelism (CIMA, 2009).In this regard, the management accounting system will help to provide a proper perspective on costs, thus helping to rein in costs and improve cost transparency. This will help the organization to meet its goals more(prenominal) suitably (for example, getting a proper handle on costs would help it reach more people with soup, soap and salvation), while enhancing transparency and accountability in the way it uses its resources (Lucey, 2003).The establishment of an effective management accounting system (underpinned by a modern management information system) will yield a more accurate and precise platform for the identification, measurement, analysis, accumulation, preparation, interpretation, and communication of information (CIMA, 2009). This in turn will aid and drastically help improve the operational and financial movement of the organization, given that both operational and financial decisions will be made on the basis of such information. Given that management accounting is forward-looking, it will ease forecasting and planning (Lucey, 2003).Such a management accounting system will help to identify risks that may hinder the organization from meeting its goals (for example, a likelihood of reduced donor funds), and towards this end, will facilitate the implementation of risk management strategies to avert the risks and help the Salvation Army meet its objectives (Lucey, 2003). Resource allocation moldiness ensure a balance between the organizations social and spiritual goals. Towards this end, a proper determination of the resources required by each of these two departments must be made, priorities ranked, and matched to the resources available.Qualified accountants must be given the independence and authority to draw the organizations financial s tatements, which must be audited by international and independent auditors such as those from the Ministry of Social Services (given that the Salvation Army is also a charity) (Chadwick, 1993). References Chadwick, L. 1993. Management accounting. Routledge. ISBN 0415070848, 9780415070843 Chartered Institute of Management Accountants (CIMA). 2009. Official terminology. Lucey, T. 2003. Management accounting. Continuum. ISBN 0826463606, 9780826463609.