Discussions responses
SandyRicou188
discussion__responses_week_3.docxACCOUNTING
Stellar Packaging Products and its primary customer, Estrella Coffee, are deciding on appropriate costing systems for their operations. Stellar Packaging Products’ manufacturing is conducted in batches, and many different applications are used as substrates, or packaging materials, upon which labeling is printed. These include paper, plastic, and metallic films. Estrella Coffee produces different types of coffee, however the roasting and grinding for all types of coffee beans prepared is essentially the same. Identify the type of costing system that would be appropriate for each of the companies. Include any cost benefit considerations of each system and the effect of technology in adopting a system.
Mon Apr 18, 2016 at 9:25 pm
I believe Stellar should use a job costing system. Their products are delivered in batches that have unique labeling based on the customer's needs. This is a lot of customization and one time productions that involve large volume pricing and inventories. If Stellar is "build-to-order" with their packaging designs, no other system is really feasible for them. Job costing also enables the customers more customization and allows accounting to bill and sales to promote effectively. It makes their business model more competitive (I think).
Estrella would benefit from either a process costing system or a hybrid operation costing system. If Estrella mainly produces the beans, and has a uniform process no matter what bean they're using, then process accounting is best. It's consistant, mainstream manufacturing work that lacks flexibility but excells with efficiency and accuracy. Now if Estrella begins to market different coffee brands and assemble together more complex products for the various marketable opportunities, an Operation system would give them more flexibility. Much like the show example on page 156 of our text, Estreller may have both common characteristics and individual characteristics in their products.
I do wonder if large companies can seperate out their manufacturing departments under process accounting systems that report to headquarters. I would think so! In that case the bean processing for Estrella could definitely be process accounting. Depending on the size of Stellar, they may have some "unchangeable" manufacturing processes that could better report under a process system. However I don't like the idea of Stellar doing this because it seems to me they don't generate enormous volumes of cups and "sell" them, they've already got customers placing as-needed orders with customization.
Tue Apr 19, 2016 at 8:09 pm
I would recommend that Stellar Packaging should use the Job Costing system. Assuming that volume and demand are changing based on the needs of Estrella Coffee job costing would be beneficial for the type of batch work being completed by Stellar Packaging. Considering the various materials being used by Stellar including paper, plastic, and metallic films job specific costing would be beneficial as the cost of these material car vary over time and batch production will likely account for these costs more accurately. Additionally there are benefits to job costing in a production environment that include very accurate traceable costs to specific jobs which can help management to identify specific products which are more profitable than others (Small Business, N.D.). Also job costing can give direct line of sight to managers who are comparing the productivity and efficiency of groups of workings such as comparing 1st shift to 2nd shift for example.
Healthcare Stategy
The culture of an organization should be a reflection of their values. Without this, the organization will not be able to maintain their vision or mission honestly. The following statement sums up how culture and values go hand in hand, “Values should create the ethical environment in which all employees function” (Walston, 2014, p. 124). It is the responsibility of all employees to maintain the culture of an organization. Leadership should be influential in making sure that they also hold value in the culture of the organization. As leaders, they show how the integrity of the culture is important to the organization.
Working in a non-profit children’s hospital our culture is extremely important in our organization. We are held to values that keep the safety of children in our hands. Without our organization putting value in our culture we would unsuccessful in maintaining the health of children. We are constantly held accountable for maintaining an ethical environment in our facility. A successful organization is not just profitable but instills the values of its culture in its employees. This allows for them to always remain at the heart of the organization.
Every organizations culture should be something that is a reflection of the values that they have for their company as it also reflects the mission and vision of their company as well. It is crucial that every employee of said company know's the mission and vision of the company as it sets the tone for the company's culture and what goals that they are striving to reach for. Presbyterian St. Luke's Medical Center's mission and vision is based off of the acronym iCARE which stands for Integrity, Compassion, Accountability, Respect and Excellence. As an employee at PSL how I read the mission and vision statement we have here as the hospital and its employee's as a whole are honest and have morals that they live by, are caring in what they do and who they treat, they hold not just others but also themselves accountable, the staff have respect for their patients, the families and for each other, and every single staff member that works at PSL strive every day to make the facility a great medical center and they all work together as a team. Having a mission and vision such as this will set the tine for every companies culture and the employees are a reflection of what a company stands for.
ACCOUNTING
Stellar Packaging Products and its primary customer, Estrella Coffee, are deciding on appropriate costing systems for
their operations. Stellar Packaging Products’ manufacturing is conducted in batches, and many different applications
are used as substrate
s, or packaging materials, upon which labeling is printed. These include paper, plastic, and
metallic films. Estrella Coffee produces different types of coffee, however the roasting and grinding for all types of
coffee beans prepared is essentially the sam
e. Identify the type of costing system that would be appropriate for each
of the companies. Include any cost benefit considerations of each system and the effect of technology in adopting a
system
.
Benjamin Cross
Mon Apr 18, 2016 at 9:25 pm
I believe Stellar should use a job costing system. Their products are delivered in batches that have unique labeling
based on the customer's needs. This is a lot of customization and one ti
me productions that involve large volume
pricing and inventories. If Stellar is "build
-
to
-
order" with their packaging designs, no other system is really feasible
for them. Job costing also enables the customers more customization and allows accounting to b
ill and sales to
promote effectively. It makes their business model more competitive (I think).
Estrella would benefit from either a process costing system or a hybrid operation costing system. If Estrella mainly
produces the beans, and has a uniform proce
ss no matter what bean they're using, then process accounting is best.
It's consistant, mainstream manufacturing work that lacks flexibility but excells with efficiency and accuracy. Now if
Estrella begins to market different coffee brands and assemble tog
ether more complex products for the various
marketable opportunities, an Operation system would give them more flexibility.
Much like the show example on
page 156 of our text, Estreller may have both common characteristics and individual characteristics in
their products.
I do wonder if large companies can seperate out their manufacturing departments under process accounting systems
that report to headquarters. I would think so! In that case the bean processing for Estrella could definitely be process
acco
unting. Depending on the size of Stellar, they may have some "unchangeable" manufacturing processes that
could better report under a process system. However I don't like the idea of Stellar doing this because it seems to
me they don't generate enormous vol
umes of cups and "sell" them, they've already got customers placing as
-
needed
orders with customization.
Luke Bennet
Tue Apr 19, 2016 at 8:09 pm
I would recommend that Stel
lar Packaging should use the Job Costing system. Assuming that volume and demand
are changing based on the needs of Estrella Coffee job costing would be beneficial for the type of batch work being
completed by Stellar Packaging. Considering the various mat
erials being used by Stellar including paper, plastic, and
metallic films job specific costing would be beneficial as the cost of these material car vary over time and batch
production will likely account for these costs more accurately. Additionally there
are benefits to job costing in a
production environment that include very accurate traceable costs to specific jobs which can help management to
identify specific products which are more profitable than others (Small Business, N.D.). Also job costing can
give
direct line of sight to managers who are comparing the productivity and efficiency of groups of workings such as
comparing 1st shift to 2nd shift for example.
Healthcare
Stategy
Megan Matne
y
The culture of an organization should be a reflection of their values.
Without this, the organization will not be able to
maintain their vision or mission honestly.
The following statement sums up how culture and values go
hand in hand,
“Values should create the ethical environment in which all employees function” (Walston, 2014, p. 124). It is the
ACCOUNTING
Stellar Packaging Products and its primary customer, Estrella Coffee, are deciding on appropriate costing systems for
their operations. Stellar Packaging Products’ manufacturing is conducted in batches, and many different applications
are used as substrates, or packaging materials, upon which labeling is printed. These include paper, plastic, and
metallic films. Estrella Coffee produces different types of coffee, however the roasting and grinding for all types of
coffee beans prepared is essentially the same. Identify the type of costing system that would be appropriate for each
of the companies. Include any cost benefit considerations of each system and the effect of technology in adopting a
system.
Benjamin Cross
Mon Apr 18, 2016 at 9:25 pm
I believe Stellar should use a job costing system. Their products are delivered in batches that have unique labeling
based on the customer's needs. This is a lot of customization and one time productions that involve large volume
pricing and inventories. If Stellar is "build-to-order" with their packaging designs, no other system is really feasible
for them. Job costing also enables the customers more customization and allows accounting to bill and sales to
promote effectively. It makes their business model more competitive (I think).
Estrella would benefit from either a process costing system or a hybrid operation costing system. If Estrella mainly
produces the beans, and has a uniform process no matter what bean they're using, then process accounting is best.
It's consistant, mainstream manufacturing work that lacks flexibility but excells with efficiency and accuracy. Now if
Estrella begins to market different coffee brands and assemble together more complex products for the various
marketable opportunities, an Operation system would give them more flexibility. Much like the show example on
page 156 of our text, Estreller may have both common characteristics and individual characteristics in their products.
I do wonder if large companies can seperate out their manufacturing departments under process accounting systems
that report to headquarters. I would think so! In that case the bean processing for Estrella could definitely be process
accounting. Depending on the size of Stellar, they may have some "unchangeable" manufacturing processes that
could better report under a process system. However I don't like the idea of Stellar doing this because it seems to
me they don't generate enormous volumes of cups and "sell" them, they've already got customers placing as-needed
orders with customization.
Luke Bennet
Tue Apr 19, 2016 at 8:09 pm
I would recommend that Stellar Packaging should use the Job Costing system. Assuming that volume and demand
are changing based on the needs of Estrella Coffee job costing would be beneficial for the type of batch work being
completed by Stellar Packaging. Considering the various materials being used by Stellar including paper, plastic, and
metallic films job specific costing would be beneficial as the cost of these material car vary over time and batch
production will likely account for these costs more accurately. Additionally there are benefits to job costing in a
production environment that include very accurate traceable costs to specific jobs which can help management to
identify specific products which are more profitable than others (Small Business, N.D.). Also job costing can give
direct line of sight to managers who are comparing the productivity and efficiency of groups of workings such as
comparing 1st shift to 2nd shift for example.
Healthcare Stategy
Megan Matney
The culture of an organization should be a reflection of their values. Without this, the organization will not be able to
maintain their vision or mission honestly. The following statement sums up how culture and values go hand in hand,
“Values should create the ethical environment in which all employees function” (Walston, 2014, p. 124). It is the
