You are to find two companies which MUST be in the same industry (e.g. Two grocery retailers, or two Transport Companies) to study. This will require you to investigate these businesses and (to a lesser extent) the industry in which they operate. The focus is NOT on purely financial performance but rather on HOW these companies have been overhauling its management practices and processes to add both Customer and Shareholder Value.
Note that you should FOCUS on ONE "MAIN" company and use the additional companies for comparison purposes. You can research the examples given in Chapter 15 of the Text (6e p.685 Regarding Roberts Wool Link and The Merino Company. or 6e pp.686-687 Sigma and Blue Circle: A Supply Chain Partnership as examples of how you could START your report and the type of company activities you could examine.)
Students are to work in a GROUP and produce a report (minimum 2500 words if three members, 3000 if four members in the Group) on how the companies you have chosen has worked on improving its performance and their cost management to add value to the firm.
Focus of report:
Ensure your report addresses the following issues:
1. What is it that makes the one ‘subject' company more ‘successful' than the other company?
2. Define clearly what you define as ‘success'.
3. Review each of the selected firm's SUPPLY CHAIN and how this has contributed to their results including identifying how this may have given this entity a competitive advantage.
4. Address and comment on how each firm differs from each other and how Management Accountants would be necessary in assisting each entity to achieve their management goals. (Note for this part of the report, you should refer to the Text and other academic sources to support your conclusions and be specific!)
5. Where possible, research the remuneration package of the senior management (The Annual Report will give Salaries of the most highly paid individuals in all public companies.) Comment on how the senior management are rewarded (again, refer to the Remuneration Report in the Annual Report for disclosures on this aspect). Where there are a combination of Financial AND NON-Financial measures used, outline what factors are considered when calculating remuneration.