Strategies Used By H & M: Strategic Management Accounting Model

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The process is used by H&M in its strategies in order to evaluate the performance. The process helps in evaluating any problem that may exist in the organizational system. The process works in a way that when the problem is identified, it is then resolved by putting forward a number of remedies for the defects or issues found in the system. The process strategy comprises of several steps which are integrated with each other. The process steps include cross functional integration, planning, bench marking and reengineering. All the steps are interrelated which means completion of one step leads to the functioning of other step. The first step of cross-functional integration in which the tasks that be performed simultaneously are reviewed. The …show more content…
BSC as Strategic Management Accounting Technique
The Balance Scorecard model is used as a strategic accounting technique by B&M in the four cases it has presented in the chapter. The description about the four cases – Ercopharm, Kvadrat, and Columbus IT Partner & BRFKredit – is given essentially but not sufficiently. This means that the description provided is accurate and adequate but it is not sufficient while describing a firm or corporation. However, a general perception about the firm can be developed after reading the description given by B&M.
Besides, BSC has been identified as the strategic accounting technique to measure the performance which states the ways of evaluating the performance of different cases using BSC. In BSC, scores are given to the processes being measured after identifying the problems and then on the basis of aggregated scores to the possible causes. It is determined which cause is most likely to be related to the problem. Hence the cause is then eliminated resulting in solution of the
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Missing Process Elements
The process elements missing in the research report given by H&M are the post results steps which could be entertained in order to evaluate the sustainability of the process and its continuous improvement. For example, in the case, after resolving the problems, regular audits could have been conducted and follow ups to be maintained in order to prevent the errors in the system. Moreover, the monitoring is missing, in which the entire processes should be reviewed and tracked to keep an eye on the activities being performed. This results in eliminating errors and saves time in capturing the issue if it

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