Changes in management and changes in management accounting. (15 minutes) A survey on ways organisations are changing their manage- ment accounting systems reported the following:

a. Company A now reports a value-chain income statement for each of the brands it sells.

b. Company B now presents in a single report all costs related to achieving high quality levels of its products.

c. Company C now presents estimates of the manufacturing costs of its two most important competitors in its performance reports, in addition to its own internal manufacturing costs.

d. Company D reduces by 1% each month the budgeted labourassembly cost of a product when evaluating the performance of a plant manager.

e. Company E now reports profitability and satisfaction measures (as assessed by a third party) on a customer-by-customer basis.
REQUIRED Link each of the above changes to one of the key themes in the new management approach outlined in Exhibit 1-5. lo2