Management accounting--performance evaluation: Ian Herbert analyses the pros and cons of employee empowerment and discusses the role of the management accounting function.
Financial Management (UK) › Nbr. 2008, April 2008
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Study notes: PAPER P1 (ALSO OF INTEREST TO P2 AND 95 CANDIDATES
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Management accounting--performance evaluation: Ian Herbert analyses the pros and cons of employee empowerment and discusses the role of the management accounting function.
The idea of allowing workers to take more responsibility for operational decisions seems to represent the very essence of the modern, dynamic organisation. Tom Peters, the author of bestselling business book In Search of Excellence, put it this way: "If you don't know where your people are today, that's probably a good sign. It means that they're working beyond functional walls."
If a company's management style moves away from top-down command and control to bottom-up empowerment, there are implications for organisational design, employee motivation, management control systems, operational risk and information reporting systems. But, while this "wonder" approach may be appropriate in some situations, at other time...See the full content of this document
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