The development of modern accounting Essay

The development of modern accounting is closely intertwined with the effective accounting management. At the same time, modern accounting involves the introduction of new methods and approaches, which may increase consistently the effectiveness of accounting and organizational performance at large. In this respect, the role of managers can hardly be underestimated because their ability to apply new methods to accounting defines, to a significant extent, the effectiveness of the organizational performance and accounting system of the organization.
In this respect, it is possible to refer to the Jea case, which reveals the effectiveness of introduction of new methods of accounting and the role of managers in this process. On analyzing the case, it is important to place emphasis on the fact that managers have shifted their focus managing activities within processes and subprocesses (MacArthur, et al., 2004). They focused on processes and subprocesses that was a consistent change in their traditional work. At the same time, such a shift improved consistently the accounting system and organizational performance.
In fact, specialists argue that the process-based management models include process value analysis and process reengineering. Cost management models that support process improvement efforts include recent developments in ABC/ABM models that have more of a process focus (MacArthur, et al., 2004). In such a way, the introduction of new models allowed the company to focus on processes and subprocesses. The latter in its turn contributed to the optimization of the accounting within the organization and improved its marketing performance. On the other hand, it is worth mentioning the fact that the company has faced certain difficulties with the introduction of the new model because the company had to adapt the model to its needs and to communicate the importance and effectiveness of the new model to its managers.
Furthermore, it is worth mentioning the fact that the latest addition to JEA’s strategic control model is PBC, which supports JEA’s new process-oriented strategy. PBC was adopted to help achieve major cost savings across JEA’s processes and products. To accomplish this, PBC provides cost information on business activities to cost center managers to help them make good strategic and tactical decisions for Target Smart initiatives, customer segments, and process management (MacArthur, et al., 2004). In such a way, JEA attempted to change its accounting system and managers played an important in this process because the company could not complete the change without the support of managers and their effective work. At the same time, the introduction of the new model contributed to the consistent improvement of the effectiveness and reliability of the accounting system of the company and to consistent positive changes in its organizational performance.
Thus, it is obvious that accounting cannot be effective without the professional work of managers, who can conduct and implement the change in the organization, especially if the new model is applied as was the case of JEA. In fact, this case proved the importance of managers in accounting and the focus on processes in the contemporary accounting and business.