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Secondary Cost Allocation in Cost Accounting

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Secondary Cost Allocation

The secondary cost allocation can take two forms:

Direct Redistribution

The expenses of auxiliary sections are transferred directly to the main sections. It's simple and fast but does not take into account the possible benefits that may occur between the auxiliary sections.

Indirect Redistribution

This procedure takes into account possible benefits from auxiliary sections. Part of the cost of the auxiliary sections is moved to other auxiliary sections before the final distribution of the remaining sections.

Two Types of Indirect Redistribution

  • Unilateral Cascade: First, sections are sorted in increasing order of importance in terms of expenses absorbed or higher, depending on the amount supplied. It then moves the cost of
... Continue reading "Secondary Cost Allocation in Cost Accounting" »

Strategic Planning: A Guide to Organizational Success

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Strategic Planning

Definition

Planning involves selecting missions and objectives to reach a decision. Relationship planning and control handles objectives, enabling control over planning and execution.

Types of Planning

  • Inactive: Satisfied with the status quo.
  • Reactive: Resist change and value experience.
  • Proactive: Not content with the current state but await the future.
  • Interactive: Design and plan the future.

Strategic Planning Process

Strategic planning defines the company's vision and mission, crucial for its success. Poor planning can lead to failure.

Strategic Planning Model

Elements include inputs, encompassing everything involved in the company or product.

Organizational Structures

Group Structure

Advantages
  • Reflects functions.
  • Simplifies training.
... Continue reading "Strategic Planning: A Guide to Organizational Success" »

Ecosystem Approaches: Principles for Sustainability

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Ecosystem Approaches Defined

Ecosystem approaches represent a line of thought and methodological strategies for analyzing and modeling the complex system of biophysical interrelationships, including humans, that define the biosphere. They take the ecosystem as a unit of study and search, through existing knowledge, for unifying principles to explain its organization and dynamics. This helps to understand the workings of the natural environment and the cause-effect relationships that are established when these principles are applied.

Goals of Ecosystem Approaches

The ultimate goal of an ecosystem approach is to facilitate the creation of exploitation-conservation models for the natural environment, including resources that are sustainable over... Continue reading "Ecosystem Approaches: Principles for Sustainability" »

Agile vs Traditional Methodologies and Other Approaches

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Agile vs. Traditional Methodologies

This table compares key differences between Agile and Traditional software development methodologies:

Agile MethodologyTraditional Methodology
Few artifacts. Modeling is dispensable, with disposable models.More artifacts. Modeling is essential, with maintained models.
Few, more general and flexible roles.More roles, more specialized.
No traditional contract; should be fairly flexible.There is a fixed contract.
Customer is part of the development team (in addition to being in-situ).The customer interacts with the development team through meetings.
Aimed at small projects. Short term (or frequent deliveries), small teams (<10 members) working on the same site.Applicable to projects of any size, but tend to be especially
... Continue reading "Agile vs Traditional Methodologies and Other Approaches" »

Production Systems: Types, Functions, and Relationships

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Production System

Physical and abstract

Natural and processed

Of man and machine

Systems and subsystems

Production System can be classified into two processes and orders

Relationships and Constraints of Production Systems

They can be grouped into two classes: the objectives and resource constraints

The Production Function

Interrelation: what, how, and for whom

To produce, how to produce, and for whom

Productivity and Production Function

Productivity is the ratio of production achieved and resources used to obtain it

The production function should focus on physical and economic activities

Physical function: generating goods and services

Economic role: generating utilities

Social function: generates changes

Types of Production Systems

  • Continuous production
  • Intermittent
... Continue reading "Production Systems: Types, Functions, and Relationships" »

Maintenance Productivity Indicators: A Comprehensive Guide

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Chapter 5: Maintenance Productivity Indicators

Introduction

As discussed in Chapter 2, effective maintenance management not only boosts productivity within the maintenance department but also positively impacts the entire enterprise. To assess a plant's status, it's essential to measure various processes, including the performance of both physical and human resources. Companies use key performance indicators (KPIs), calculated over specific periods and compared with previous periods, to achieve this.

Using Performance Indicators

This comparison allows administrative and supervisory directors to understand the current business state and identify opportunities for process improvement, efficiency gains, and performance enhancements. Performance... Continue reading "Maintenance Productivity Indicators: A Comprehensive Guide" »

Risk Management: Strategies and Mitigation in Projects

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Concept of Risk

Risk is inherent in any activity. Every event is influenced by past actions, creating future opportunities or challenges. Change involves risk and uncertainty.

Risk Strategies

Reactive Strategies

These involve evaluating the consequences of a risk after it has occurred and acting accordingly. However, this can lead to crises and put projects at risk.

Proactive Strategies

  • Systematic risk assessment
  • Planning for risk avoidance and minimization
  • Developing contingency plans

Proactive strategies reduce reaction time and demonstrate preparedness.

Risk Categories

  • Generic Risks: Common to all projects.
  • Specific Risks: Require in-depth project knowledge.

Project Risk Areas

Project Costs

Includes increased organizational costs and budget overruns.

Technical

... Continue reading "Risk Management: Strategies and Mitigation in Projects" »

Typical Steps of Planning and Types of Plans

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Typical Steps of Planning

1. Situation Analysis

Limitations of time and resources.

Collect, interpret, and summarize information.

Past, present, future...

Internal strengths.

External environmental influences.

2. Goals and Alternative Plans

Goals:

Purpose(s) that the administrator wants to achieve; must be realistic, challenging, and attainable.

Plans:

Actions or means that administrators use to achieve the goals of the organization.

Alternative Plans:

Used when the main plans, for any reason, are stopped; alike are used to achieve the same goal.

3. Evaluation of Goals and Plans

Assess strengths, weaknesses, and potential effects.

Rank

Remove

4. Selection of Goals and Plans

Plans and goals more appropriate and feasible.

Steps: alternative generation, evaluation,... Continue reading "Typical Steps of Planning and Types of Plans" »

Project Management: Functions, Subsystems, and High-Performance Teams

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Project Manager Functions

  • Define objectives
  • Organize resources
  • Conduct planning
  • Establish budgets
  • Coordinate implementation
  • Check the results with respect to the proposed objectives

Subsystems of a Project Management System

  • Planning:
    • Target identification
    • Making plans and timing of achievement
    • Identification of resources available within the organization and externally
  • Organization: Define the type of project organization to be used
  • Control: Select the measurement standards and reference checkpoints for budget programming and technical quality of work
  • Information:
    • Formal information channels through reports
    • Informal information channels through meetings
  • Technology: Specific features of the project and knowledge of components and systems to develop
  • Corporate
... Continue reading "Project Management: Functions, Subsystems, and High-Performance Teams" »

Effective Coaching: Pedagogy, Psychology & Methods

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Core Coaching Concepts and Practices

Origin of Pedagogy

Pedagogy is the art of teaching. Historically, the teacher guided the child. Its origins trace back to antiquity.

Teaching Methodology

It is the path that leads to learning, encompassing the knowledge of teaching methods.

Defining Coach Interests

Consider two characteristics that define the diverse interests of coaches.

Coach Self-Control

A coach must develop self-management skills to serve as a role model for young athletes and perform their job effectively.

Intrinsic Aspects of Sport

Observe how children can benefit from sport:

  • Pleasure in teaching
  • Witnessing progress
  • Excelling in our work

Fundamental Coaching Purposes

To aid in the integral training of children, developing their football concepts... Continue reading "Effective Coaching: Pedagogy, Psychology & Methods" »