You have recently been appointed as the chief executive officer (CEO) of a medium sized, decentralized, national, multi-product manufacturing and marketing corporation, which employs over 6,000 people. While revenues have remained constant over the last five years, net income has decreased by over 50% in this period. As a result of this decline in profitability, the share price has decreased by 60%. Required Identify three management accounting techniques/tools that you will instruct your staff to investigate. For each technique/tool identified, explain specific benefits you hope to realize. Note that to state that profitability will improve is too general; rather, you should explain how the technique leads to this improvement. Be thoughtful and practical in your discussions and be mindful of the type of company of which you are the CEO.
You have recently been appointed as the chief executive officer (CEO) of a medium sized, decentralized, national, multi-product manufacturing and marketing corporation, which employs over 6,000 people. While revenues have remained constant over the last five years, net income has decreased by over 50% in this period. As a result of this decline in profitability, the share price has decreased by 60%.
Required
Identify three
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