accounting
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instructionsweek9.docxEBM Discussion 600 words
People respond to incentives, especially when those incentives are important to them on a personal level.
As a manager or leader, what incentives to promote organizational change would you use? Why?
Task 5 EBM
Complete the remaining sections of the 8-Step Change Model to build a Recommendations Plan for your client – the leadership of the merged company.
Step 5: Remove Obstacles
Describe how you will:
· Identify, or hire, change leaders whose main roles are to deliver the change.
· Adjust your organizational structure, job descriptions, and performance and compensation systems to ensure they're in line with your vision.
· Recognize and reward people for making change happen.
· Identify people who are resisting the change, and help them see what's needed.
· Take action to quickly remove barriers (human or otherwise).
Step 6: Create Short-Term Wins
Describe how you will:
· Look for sure-fire projects that you can implement without help from any strong critics of the change.
· Thoroughly analyze the potential pros and cons of your targets.
Step 7: Build on the Change
Describe how you will:
· After every win, analyze what went right, and what needs improving.
· Set goals to continue building on the momentum you've achieved.
· Apply kaizen, the idea of continuous improvement.
· Keep ideas fresh by bringing in new change agents and leaders for your change coalition.
Step 8: Anchor the Changes in Corporate Culture
Describe how you will:
· Use Storytelling to inform others about the change process.
· Include the change ideals and values when hiring and training new staff.
· Publicly recognize key members of your original change coalition, and make sure the rest of the staff – new and old – remembers their contributions.
· Create plans to replace key leaders of change as they move on.
Lesson 5 EBM
Complete a Presentation describing the positive and negative highlights of the change model to your client so they know what to say to their employees, investors, and other stakeholders. This should be a 5-10 minute presentation. It can be recorded on powerpoint, Vimeo, or any other video/presentation based platform.
ACC- reply post – Michael minimum 150 words
Zimmerman 2017, P 627, Explained that having a strategy alone is not enough to describe the steps necessary to achieve the organizational goals. A more detailed plan identifying the inputs necessary to implement the strategy is required. A balanced scorecard translates the strategy into a plan of action that identify specific objectives and performance drivers to help determine if the organization is moving in the right direction. From the Global Oil Corporation’s Marketing and Refining (M&R) case, we learnt that their balanced scorecard gathers information on multiple dimensions of the company’s performance defined by critical success factors necessary to accomplish the 1993 Strategy. The scorecard described the classification of critical success factors, the strategic goals, the tactics and the related measures associated with strategic tactical goals. The balanced scorecard helps the company identify what financial successes they want to show to shareholder, how they must satisfy customers to achieve the financial goals, what internal business processes they need to excel at to give the desired level of satisfaction to customers, and what skills the employees of the company need to acquire and sustain to achieve all of the above.
On the financial front, the matrices identified here were great. Since, M&R was draining $500 million of cash in 1990, it was a great idea that when the balanced scorecard was designed, one of the matrices was cashflows. The company understands the difference between Generally Accepted Accounting Principles (GAAP) profit and cashflows. A company can be profitable during a period but might run into operational difficulties if there are cashflow problems.
Also, under the customer quadrant of the balanced scorecard, one strength I see was the company hiring a third-party vendor that can objectively evaluate customer satisfaction. This is very effective. For the company to meet its financial targets, customers need to be satisfied. Some companies do not have an independent entity involved. This might create problems with lack of independence and bias when evaluating performance.
The balanced scorecard is a great tool to evaluates business performance against a range of factors. However, balanced scorecard systems are not perfect and have some disadvantages. From the case of M&R’s balanced scorecard, just like most balanced scorecards, might give a broader internal focus, but they do not give a full external picture. The scorecard considers customers, but it does not factor in other key performance indicators, such as the competition in the oil and gas distribution industry, the likely response of competitors or changes to the business environment. This may lead to an over-emphasis on internal performance and a lack of awareness of external factors that also could influence the company's operations.
Even though the adoption of the balanced scorecard is not the only reason for the turnaround in financial performance, I believe it played a great role in explaining the 1993 strategy to management and those required to implement the strategy. The scorecard had clear matrix that are aligned with the organizational strategy and goals.
References:
Becker Professional Education (2018) CPA Exams Review-Business
Haka, S.F; Williams, J.R; Carcello J.V (2017) Financial and Managerial Accounting. 18th Edition. McGraw-Hill Education
Zimmerman, J. (2017) Accounting for Decision Making and Control. Ninth Edition McGraw-Hill Education
