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Relevance Lost: Rise and Fall of Management Accounting
 
 

Relevance Lost: Rise and Fall of Management Accounting (Hardcover)

by H.Thomas Johnson (Author), Robert S. Kaplan (Author), H. Thompson Johnson (Author) "TODAY'S management accounting information, driven by the procedures and cycle of the organization's financial reporting system, is too late, too aggregated, and too distorted to..." (more)
4.0 out of 5 stars See all reviews (2 customer reviews)

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Product details

  • Hardcover: 272 pages
  • Publisher: Harvard Business School Press; New edition edition (30 Jun 1991)
  • Language English
  • ISBN-10: 0875842542
  • ISBN-13: 978-0875842547
  • Product Dimensions: 23.6 x 15.7 x 2.8 cm
  • Average Customer Review: 4.0 out of 5 stars See all reviews (2 customer reviews)
  • Amazon.co.uk Sales Rank: 295,213 in Books (See Bestsellers in Books)
  • See Complete Table of Contents

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Product Description

Product Description
"Relevance Lost" is an overview of the evolution of management accounting in American business, from textile mills in the 1880s and the giant railroad, steel, and retail corporations, to today's environment of global competition and computer-automated manufacturers. The book shows that modern corporations must work toward designing new management accounting systems that will assist managers more fully in their long-term planning. It is the winner of the American Accounting Association's Deloitte Haskins and Sells/Wildman Award Medal. It is also available in hardcover.

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First Sentence
TODAY'S management accounting information, driven by the procedures and cycle of the organization's financial reporting system, is too late, too aggregated, and too distorted to be relevant for managers' planning and control decisions. Read the first page
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Relevance Lost: Rise and Fall of Management Accounting
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4 of 4 people found the following review helpful:
4.0 out of 5 stars A good read for discouraged management accountants., 13 Aug 1998
By A Customer
For those management accountants who feel less than totally appreciated (the real ones will know this to be a common feeling) then this book shows how financial accounting usurped management accounting when the bean counters went looking for shareholders and needed to tell less than the truth about what was going on inside their firms.

If auditors are just hookers with a degree, then financial accountants are then just politicians without a cause - you cannot run a business on late and averaged data from the financial perspective.

This book reminds us that knowing what things cost to make and cost to sell is what keeps a firm on the black ink side of the ledger.

Worth a read.

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3 of 3 people found the following review helpful:
4.0 out of 5 stars Excellent treatment of subject, 10 Sep 1997
By A Customer
This is a small book which puts forward the idea that we must return to a better use of product cost data to make decisions. The authors review the literature going back to the first industries in the 1700's that used cost data in a managerial way. The work quotes heavily A. Chandler, J.M. Clark and Vatter for their contributions. It then reformulates their idea's and other historical data to come to the author's conclusion. In summary, it is well done for those interested in the subject and have an appreciation for business history.
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