Case Study Of Australian Company Essay

Question:

Develop your Understanding and Visualisation of the Concepts and Nature of Strategic Management Accounting, Develop your Team, Research and Communication Skills and Prepare you for the Demands Placed on the Modern Accountant.

Answer:

Strength

Shortened Labour expenditure

Labour expenditure is shortened by implementing the right technology. The shortening of expenditure helped in restoration of fund that could be used for improving the infrastructure of the company (Kraj??kov?, & Vojtovi?, 2014).

Professional business units

The professional business units make all the business units more stable. The professional units help all the unit of the business to achieve their target in a professional. Company like Melbourne IT limited is successful as it has definite professional units.

Boundaries of market section

This company mainly focuses with the domestic marketing and attracts its consumers in that particular platform. It is mainly used for catering the small amount of customer in a very limited area.

Money related help gave

They provide their helping hand financially to the poor and the needy people from their percentage of the profit margin.

Far reaching Service Portfolio

Service portfolio includes the services that are being included in the portfolio. In this situation service portfolio can help the company in improving the credentials.

Solid Financial Performance

The performance of the company on the financial ground is in a high form. The financial performance for any company needs to be in a state of solid for the proper growth of the company (Eklof et al., 2016).

Weakness

Taxes

The company pays a huge amount of government tax. The taxes paid to government results in expenditure of fund for the company (Cerqueiro, Ongena & Roszbach, 2016).

Higher loan rates

The business is shelling out a considerable portion of its profit amount as high tax for the loan it took.

Weak liquidity position

This means that the disparity between the amount of liquid possessions and arriving cash flows on one side and outgoing cash flows resultant from commitments on the other side.

Opportunities

Developing interest

The company has potential to develop enthusiasm amongst its customers by launching new products and/or services

New markets

The company can think of penetrating into new markets by initiating fresh products and/or services

Pay level is at a consistent increment

The company has sturdy employee retention as it increases worker’s salary on a consistent basis.

Vital Initiatives

The company has taken several initiatives to be one of the future leaders within the serving industry. Some of the noticeable drives are employee engagement, employee training, client satisfaction survey etc. are ways to analyse the present situation and equip itself for future growth

Developing Demand for Cloud Computing

The company is looking into developing more advanced ways of doing business. Adoption of such technology will help the business to run successfully in this highly demanding market place (Moreno-Vozmediano, Montero & Llorente, 2013)

Vital Acquisitions

The company has acquired Telstra, ANZ app developer as well as the Victorian app developer with business value of 67million dollars.

Threats

Tax adjustments

The company needs to think of how to decrease tax expenses or else it would be very challenging for it to run profitably

Expanding costs

The company should think of was to decrease expenditure costs or else it would be very challenging for it to run profitably in this high competitive market

Cash flow

The cash flow is an important structure for the company. The flow of the cash should be maintained. The account analyst has not performed that well for the company and the outgoing of cash is done in bad investments.

Expanding in IT Complexity

High expenditure in IT is a great challenge for the company. To become one of the futuristic companies, it needs to invest a lot in IT segment.

Technological Changes

The company needs to experience vast technological changes to embrace futuristic business methods. For this the company needs to shell out huge amount of money

Deficiency of Professional Staff

The company does not have skilled employees to endure such technological changes. Therefore the technical challenges are to be overcome by implementing good information system in organization.

References

Cerqueiro, G., Ongena, S., & Roszbach, K. (2016). Collateralization, bank loan rates, and monitoring. The Journal of Finance, 71(3), 1295-1322.

Ekl?f, J., Hellstr?m, K., Malova, A., Parmler, J., & Podkorytova, O. (2016). Customer perception measures driving financial performance-theoretical and empirical work for a large decentralized banking group.

Kraj??kov?, E., & Vojtovi?, S. (2014). NEW DIMENSIONS OF THE LABOR MARKET AND EMPLOYMENT. PROBLEMS OF SOCIAL AND ECONOMIC DEVELOPMENT OF BUSINESS, 15.

Moreno-Vozmediano, R., Montero, R. S., & Llorente, I. M. (2013). Key challenges in cloud computing: Enabling the future internet of services. IEEE Internet Computing, 17(4), 18-25.

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