Table of ContentsPreface ix

Chapter 1The Nature of ManagementControl Systems 1Basic Concepts 2Boundaries of Management Control 6Road Map for the Reader 14Summary 17Case 1-1: Nucor Corporation (A) 19Case 1-2: Wal-Mart Stores, Inc. 31Case 1-3: Xerox Corporation (A) 34Case 1-4: Motorola Inc. 42

PART ONETHE MANAGEMENT CONTROLENVIRONMENT 51

Chapter 2Understanding Strategies 53Goals 53The Concept of Strategy 56Corporate-Level Strategy 58Business Unit Strategies 62Summary 70Case 2-1: Encyclopedia Britannica, Inc. (A) 72Case 2-2: Encyclopaedia Britannica, Inc. (B) 74Case 2-3: Encyclopaedia Britannica, Inc. (C) 76Case 2-4: Cisco Systems (A) 79Case 2-5: Cisco Systems (B) 91Case 2-6: Technology Note: Internetworking

Products 96

Chapter 3Behavior in Organizations 98Goal Congruence 98Informal Factors That InfluenceGoal Congruence 99The Formal Control System 103Types of Organizations 105Functions of the Controller 110Summary 112Case 3-1: Southwest Airlines Corporation 114

Case 3-2: Nucor Corporation (B) 117Case 3-3: Rendell Company 119

Chapter 4Responsibility Centers: Revenueand Expense Centers 128Responsibility Centers 128Revenue Centers 133Expense Centers 133Administrative and Support Centers 139Research and Development Centers 140Marketing Centers 143Summary 144Case 4-1: Vershire Company 145Case 4-2: New Jersey Insurance Company 151Case 4-3: NYPRO, Inc. 159Case 4-4; Whiz Calculator Company 170Case 4-5: Westport Electric Corporation 175Case 4-6: Grand Jean Company 181

Chapter 5Profit Centers 185General Considerations 185Business Units as Profit Centers 189Other Profit Centers 191Measuring Profitability 194Summary 198Case 5-1: Profit Center Problems 200Case 5-2: North Country Auto, Inc. 201Case 5-3: Analog Devices, Incorporated:

MEMS 209Case 5-4: Abrams Company 225

Chapter 6Transfer Pricing 230Objectives of Transfer Prices 230Transfer Pricing Methods 230Pricing Corporate Services 239Administration of Transfer Prices 242Summary 244

AppendixSome Theoretical Considerations 245Case 6-1: Transfer Pricing Problems 248Case 6-2: Birch Paper Company 254

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Table of Content a vii

Case 6-3: General Appliance Corporation 256Case 6-4: Medoc Company 267

Chapter 7Measuring and ControllingAssets Employed 270Structure of the Analysis 271Measuring Assets Employed 273EVA versus ROI 283Additional Considerations in EvaluatingManagers 288Evaluating the Economic Performanceof the Entity 289Summary 290Case 7-1: Investment Center Problems (A) 291Case 7-2: Investment Center Problems (B) 295Case 7-3: Quality Metal Service Center 300Case 7-4: Aloha Products 309Case 7-5: Dell Computer Corporation 315Case 7-6: Industrial Products Corporation 319Case 7-7: Marden Company 327

PART TWOTHE MANAGEMENT CONTROLPROCESS 329Chapter 8Strategic Planning 330Nature of Strategic Planning 330Analyzing Proposed New Programs 336Analyzing Ongoing Programs 339Strategic Planning Process 344Summary 347Case 8-1: Allied Office Products 348Case 8-2: Hasbro Interactive 355Case 8-3: Emerson Electric Co. 367

Chapter 9Budget Preparation 380Nature of a Budget 380Other Budgets 386Budget Preparation Process 387Behavioral Aspects 391Quantitative Techniques 393Summary 394Case 9-1: New York Times 396Case 9-2: Corning Microarray

Technologies 408

Chapter 10Analyzing Financial PerformanceReports 425Calculating Variances 425Variations in Practice 432Limitations of Variance Analysis 437Summary 438Case 10-1: Variance Analysis Problems 440Case 10-2: Solartronics, Inc. 444Case 10-3: Galvor Company 446

Chapter 11Performance Measurement 460Performance Measurement Systems 460Interactive Control 471Summary 474Case 11-1: Analog Devices, Inc. (A) 476Case 11-2: Analog Devices, Inc. (B) 492Case 11-3: CUP Corporation 500Case 11-4: Enager Industries, Inc. 508

Chapter 12Management Compensation 513Research Findings on OrganizationalIncentives 513Characteristics of IncentiveCompensation Plans 514Incentives for Corporate Officers 520Incentives for Business Unit Managers 522Agency Theory 530Summary 534Case 12-1: Lincoln Electric Company (A) 536Case 12-2: Crown Point Cabinetry 554Case 12-3: Worthington Industries 561Case 12-4: Wayside Inns, Inc. 566

PART THREEVARIATIONS IN MANAGEMENTCONTROL 575

Chapter 13Controls for DifferentiatedStrategies 576Corporate Strategy 577Business Unit Strategy 581Top Management Style 589Summary 591

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Case 13-1: Pelican Instruments, Inc. 593Case 13-2: 3M Corporation 595Case 13-3: Texas Instruments

and Hewlett-Packard 597Case 13-4: Texas Instruments 601

Chapter 14Service Organizations 616Service Organizations in General 616Professional Service Organizations 618Financial Service Organizations 623Health Care Organizations 626Nonprofit Organizations 628Summary 631Case 14-1: O'Reilley Associates 633Case 14-2: Williamson and Oliver 638Case 14-3: Harlan Foundation 647Case 14-4: Piedmont University 650Case 14-5: Chemical Bank 654Case 14-6: Metropolitan Bank 669

Chapter 15Multinational OrganizationsCultural Differences 678Transfer Pricing 680

678

Exchange Rates 685Summary 694

AppendixSFAS No. 52 Foreign CurrencyTranslation 694Case 15-1: AB Thorsten 697Case 15-2: Falcon, Inc. 705Case 15-3: Lincoln Electric Company (B) 712Case 15-4: Hindustan Lever 717Case 15-5; Xerox Corporation (B) 725

Chapter 16Management Control of ProjectsNature of Projects 730The Control Environment 733Project Planning 737Project Execution 740Project Evaluation 746Summary 749Case 16-1: Modern Aircraft Company 751

Company Index 753

Subject Index 758

730

PPN: 263432882

Titel: Management control systems / Robert N. Anthony; Vijay Govindarajan. - . - Boston, Mass.

[u.a.] : McGraw-Hill, 2007

ISBN: 0-07-125410-2; 978-0-07-125410-6

Bibliographischer Datensatz im SWB-Verbund