Dakota Office Products Background • Regional distributor of office supplies to institutions sand commercial businesses • Comprehensive product line • Excellent reputation • Several distribution centers Process • Old: • After customer orders received‚ orders were accumulated within the warehouses and prepared for shipment • Used commercial truckers to deliver • New Option: • “Desk Top Deliveries” • Delivered products directly to locations • Small fleet of trucks • 2% upcharge on products Pricing
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Dakota Office Products Case Analysis BUSA 5061: Accounting For Managerial Decision-Making November 4‚ 2010 The following analysis is written for Dakota Office Products to evaluate current business operations and recommend future actions necessary to ensure company success. In our analysis of the company we will identify inefficient business practices that have led to the companies first profit loss in its history. We will evaluate the company’s current pricing structure‚ ordering methods
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Case: Allied Office Products Company A costs Allied less money to service‚ they are also a much smaller source of potential growth for the company. Company B on the other hand utilizes far more services and has the potential to earn Allied much greater revenue. With the information we have from the new ABC costing scheme we now know that Allied should be charging far more for the services rendered to company B‚ and less for the services used by company A. Current information shows that company B
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Allied Office Products Case Objective: This case provides practice in Activity-Based- Analysis (ABC) calculations for a service company. It also highlights the important considerations in moving from ABC to Activity-Based Management (ABM) and further into Strategic Cost Management (SCM) so as to influence customer behavior and profitability. Q1. Using the information in Exhibit 2 calculate ABC based service costs for the TFC distribution/warehouse services. These are some broad steps that
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The competition relationship between the Navitas and Kaplan is based on high educational service. They both play an important role at own educational fields and geographical fields. According to Brandenburger and Nalebuffs Value Net model Assume that Navitas is the company and Kaplan is one of competitors of Navitas. Most of customers are international students because of the target market of the Navitas. And the suppliers can be universities that have a positive relation with the Navitas such as
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Leadership 372 Trumpy Ultimate Office Products Successfully implementing a large system change in an organization can be very challenging. It also requires a unique set of leadership qualities to do it well. Richard Kelley‚ the newly hired Director of Information Systems for Ultimate Office Products‚ was called to this challenge. Richard needed to replace the obsolete order processing system company-wide to improve their customer service and deliver products more quickly. This would allow them
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1.Based on the interviews and data in the case‚ we calculated the following information. (1)The cost of processing cartons through the facility: Personnel expense (warehouse‚ truck drivers)2‚570‚000 ¡ÐCompensation for truck drivers ( 250‚000) Warehouse personnel expense $2‚020‚000 ¡ÏWarehouse expenses (excluding personnel) 2‚000‚000 $4‚020‚000 (2) The cost of entering electronic and manual customer orders: Order entry expenses $ 840‚000 (3) The cost of shipping cartons on commercial
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Case: Allied Office Products Company A costs Allied less money to service‚ they are also a much smaller source of potential growth for the company. Company B on the other hand utilizes far more services and has the potential to earn Allied much greater revenue. With the information we have from the new ABC costing scheme we now know that Allied should be charging far more for the services rendered to company B‚ and less for the services used by company A. Current information shows that company
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Case Study Dakota Office Supply Shadi Wadi-Ramahi Instructor: Roger Waibel MBA 510 Financial and Managerial Accounting Master of Business Administration School of Adult and Extended Learning Oakland City University September 30th‚2010 * Contents 1 Background Information 3 1.1 People / Key Players 3 1.2 Chronology of Key Relevant Events 3 1.3 Key Facts 4 1.4 Concepts 4 1.5 Assumptions 4 1.6 Point of View 5 2 Problem Statement 5 3 Problem Causal Analysis 5 4 Management
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will be beneficial. Distinguishing between fixed and variable costs will more accurately portray totals in the product-line income statement. Combining elements from these three paradigms will allow us to include aspects of product life cycles and products that are expected to be cash users versus cash generators during different stages of their life cycles in our analysis of product-line income statements. Question 1.3 According to Mersereau it is often accountants who are the first
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