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Essay

Divisional Performance Evaluation

Essay specific features

 

Issue:

Business

 

Written by:

Fern M

 

Date added:

December 6, 2013

 

Level:

University

 

Grade:

A

 

No of pages / words:

18 / 5014

 

Was viewed:

8341 times

 

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Essay content:

The conventional wisdom of management accounting, as reflected in textbooks, advocates that the evaluation of a manager’s performance should consist of only those factors under a manager’s control. Therefore, divisional managerial performance measures should include only the items controllable by divisional managers...
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Or, performance measurement should be based on the application of the controllability principle. A manager is said to have a decision right if the enforcement and disciplinary powers of the top- level executive office will be used to enforce his ability to take an action. In large organizations, decision rights are more complex than the simple phrase suggests...
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General issues of this essay:
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