Planning
• Setting goals and objectives and how to achieve them
• Examples of planning
– Generate more sales via opening new stores
– Reduce labor costs by reducing store hours
Directing
• Overseeing company’s day-to-day operations
• Examples
– Using daily/weekly sales reports to adjust marketing strategies
– Using product cost reports to adjust raw material usage
Controlling
• Evaluating results of operations against plans and making adjustments as needed
• Examples
– Comparing budgeted sales with actual sales to take corrective actions
– Comparing budgeted product costs against actual product costs to take corrective actions
Changing Roles of Management
Accountants
• Impact of technology
• Ensuring accurate financial records
• Planning, analyzing, and interpreting accounting data
• Providing decision support
