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Management Control and Reporting Systems: Harmonising Design and Implementation (Response Books), by Mohinder N Kaura
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This book provides practicing managers, consultants and advanced students of business with the design and implementation of sound management control and reporting systems in India.
- Sales Rank: #6313615 in Books
- Published on: 2002-11
- Original language: English
- Number of items: 1
- Dimensions: 8.76" h x .84" w x 6.84" l, .94 pounds
- Binding: Hardcover
- 268 pages
Most helpful customer reviews
2 of 2 people found the following review helpful.
Achieve Both Organizational Effectiveness and Efficiency
By Robert Morris
All organizations need management control systems (MCS) which vary only in their nature and extent. In this brilliant volume, Kaura explains HOW to design and then implement such systems. He carefully divides his material within five Parts:
First in Chapters 1-4, he identifies the requisites of designing and implementing MCS, then explains organizational segmentation by responsibility, measures of performance, and principles of transfer pricing.
Next in Chapters 5-9, he focuses on strategic planning and control, performance measurement by operating business units, performance measurement of service departments and coordinating units, task and operations control systems, and management control through innovative budgeting process.
Next in Chapters 10 and 11, Kaura shifts his attention to management reporting systems (MRS) and explains how to benchmark performance through reporting for interfirm comparison.
Then in Chapters 12 and 14, he examines how MCS can be of substantial benefit to financial institutions and export-oriented organizations; in Chapter 13, he suggests a performance planning and monitoring system for research and development.
As for Part Five, in Chapters 15, Kaura explains how to use a Balanced Scorecard system to translate long-term objectives into operational parameters; then in the final chapter, he presents what he calls a "Management Audit of Control and Reporting System."
Kaura agrees with R.J. Mockler's definition of management control as being "the systematic effort to set standards with planning objectives, to design an information feedback system, to measure actual performance, to note deviations of the actual performance from standards and their significance and to take control action for ensuring that all the resources of the organization are most efficiently and effectively used to achieve corporate goals." The ultimate objective of any MCS is to enable the given organization to be both effective and efficient. I agree with Kaura that effectiveness measures the extent of achievement of goals whereas efficiency is the relationship between input and output. "Even if two divisions/departments or organisations are able to deliver the same output at the same cost but consume different inputs, they can be regarded as equally effective but not equally efficient." Mockler's definition guides and informs Kaura's rigorous examination of the options and opportunities which can be created by an effective and efficient Management Control System.
Those who share my high regard for Kaura's book are urged to check out Carla O'Dell's If Only We Knew What We Know: The Transfer of Internal Knowledge and Best Practice, Harvard Business Review on Knowledge Management, Nancy M. Dixon's Common Knowledge: How Companies Thrive by Sharing What They Know, and two authored by Peter M. Senge, The Fifth Discipline and The Dance of Change: The Challenges to Sustaining Momentum in Learning Organizations
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