Accounting Question

Topic 3 DQ 2

Feb 22-26, 2024Review Case 5.37 in your textbook. Using the questions provided as a guide, explain how you think the budget presented may impact the company. Please review the posts of your classmates before responding to Case 5.37 and provide responses that are different than what your classmates’ have posted and suggested.To participate in follow up discussion, ask questions and post comments regarding classmates’ posts or respond to follow-up questions posted by the instructor.Please include proper citations in your discussion post. Points will be deducted if proper citations are not used.Submitted on:Feb 22, 2024, 6:39 PMVIEW DQ RESPONSEATAdoesha TaylorFeb 26, 2024, 1:25 PMUnreadHello Class,The Case 5.37 regards the business Miller Manufacturing which uses a standard cost system and is currently undergoing changes to the materials and labor standards which the new standards have been shown to be tighter than the older standards (Davis & Davis, 2020). Labor standards are used in the analysis of performance of employees and when discussing the impact that strengthening labor standards, there are both positive and negative impacts of doing this. The positive impacts of creating new standards such as increased teamwork and efficiency, and in ensuring that employees are protected under the new standards as they are tightened. The negative ramifications that would occur would be discrimination, decreased productivity, procrastination, and turnover of employees. With the tightening of of the standards, some employees can feel as if they are being discriminated and overworked which could cause a strain between employees and management; with being discriminated this could led to employees having decreased productivity and turnover of employees.In mitigating the negative behaviors that might arise due to the new standards, there are a few measurable actions that can be taken. The first would be promote an open communication between managers and the employees which, when used correctly, can increase productivity and express what these new standards will be. Another solution would be in creating a code of conduct which would provide a detailed outline of the behaviors to be expected of employees, and would ensure that employees are aware of the new standards. With the matter of standards and who should be involved in setting these new standards, management, employees, and the new controller should all be involved. As management is aware of government legislative and what is best for their employees, management would have a perceptive on what the standards should be; and employees should also be involved due to it having a significant impact on them and having an open communication on the expectations of them should be addressed with both management and the controller. This would help to establish the new standards in a way that would led to the business being more effective and lessening the negative impacts. -Adoesha TaylorReference:Davis C. E., & Davis E. (2020). Managerial Accounting, Enhanced eText (4th ed.). John Wiley & Sons. ISBN-13: 978EEGRP40373REPLY