How do banks choose a certain costing system and why

A Work Project, presented as part of the requirements for the Award of a Masters Degree in Management from the NOVA – School of Business and Economics

The effects of productivity on profitability: a case study at firm level using an activity-based costing approach

Productivity and profitability are important concepts and measures describing the performance and success of a firm. We know that increase in productivity decreases the costs per unit produced and leads to better profitability. This common knowledge is not, however, enough in the modern business environment. Productivity improvement is one means among others for increasing the profitability of actions. There are many means to increase productivity. The use of these means presupposes operative decisions and these decisions presuppose informationabout the effects of these means. Productivity improvement actions are in general made at floor level with machines, cells, activities and human beings. Profitability is most meaningful at the level of the whole firm. It has been very difficult or even impossible to analyze closely enough the economical aspects of thechanges at floor level with the traditional costing systems. New ideas in accounting have only recently brought in elements which make it possible to considerthese phenomena where they actually happen. The aim of this study is to supportthe selection of objects to productivity improvement, and to develop a method to analyze the effects of the productivity change in an activity on the profitability of a firm. A framework for systemizing the economical management of productivity improvement is developed in this study. This framework is a systematical way with two stages to analyze the effects of productivity improvement actions inan activity on the profitability of a firm. At the first stage of the framework, a simple selection method which is based on the worth, possibility and the necessity of the improvement actions in each activity is presented. This method is called Urgency Analysis. In the second stage it is analyzed how much a certain change of productivity in an activity affects the profitability of a firm. A theoretical calculation model with which it is possible to analyze the effects of a productivity improvement in monetary values is presented. On the basis of this theoretical model a tool is made for the analysis at the firm level. The usefulness of this framework was empirically tested with the data of the profit center of one medium size Finnish firm which operates in metal industry. It is expressedthat the framework provides valuable information about the economical effects of productivity improvement for supporting the management in their decision making.

Changes of traditional farming systems and their effects on land degradation and socio-economic conditions in the Inle Lake region, Myanmar

At many locations in Myanmar, ongoing changes in land use have negative environmental impacts and threaten natural ecosystems at local, regional and national scales. In particular, the watershed area of Inle Lake in eastern Myanmar is strongly affected by the environmental effects of deforestation and soil erosion caused by agricultural intensification and expansion of agricultural land, which are exacerbated by the increasing population pressure and the growing number of tourists. This thesis, therefore, focuses on land use changes in traditional farming systems and their effects on socio-economic and biophysical factors to improve our understanding of sustainable natural resource management of this wetland ecosystem. The main objectives of this research were to: (1) assess the noticeable land transformations in space and time, (2) identify the typical farming systems as well as the divergent livelihood strategies, and finally, (3) estimate soil erosion risk in the different agro-ecological zones surrounding the Inle Lake watershed area. GIS and remote sensing techniques allowed to identify the dynamic land use and land cover changes (LUCC) during the past 40 years based on historical Corona images (1968) and Landsat images (1989, 2000 and 2009). In this study, 12 land cover classes were identified and a supervised classification was used for the Landsat datasets, whereas a visual interpretation approach was conducted for the Corona images. Within the past 40 years, the main landscape transformation processes were deforestation (- 49%), urbanization (+ 203%), agricultural expansion (+ 34%) with a notably increase of floating gardens (+ 390%), land abandonment (+ 167%), and marshlands losses in wetland area (- 83%) and water bodies (- 16%). The main driving forces of LUCC appeared to be high population growth, urbanization and settlements, a lack of sustainable land use and environmental management policies, wide-spread rural poverty, an open market economy and changes in market prices and access. To identify the diverse livelihood strategies in the Inle Lake watershed area and the diversity of income generating activities, household surveys were conducted (total: 301 households) using a stratified random sampling design in three different agro-ecological zones: floating gardens (FG), lowland cultivation (LL) and upland cultivation (UP). A cluster and discriminant analysis revealed that livelihood strategies and socio-economic situations of local communities differed significantly in the different zones. For all three zones, different livelihood strategies were identified which differed mainly in the amount of on-farm and off-farm income, and the level of income diversification. The gross margin for each household from agricultural production in the floating garden, lowland and upland cultivation was US$ 2108, 892 and 619 ha-1 respectively. Among the typical farming systems in these zones, tomato (Lycopersicon esculentum L.) plantation in the floating gardens yielded the highest net benefits, but caused negative environmental impacts given the overuse of inorganic fertilizers and pesticides. The Revised Universal Soil Loss Equation (RUSLE) and spatial analysis within GIS were applied to estimate soil erosion risk in the different agricultural zones and for the main cropping systems of the study region. The results revealed that the average soil losses in year 1989, 2000 and 2009 amounted to 20, 10 and 26 t ha-1, respectively and barren land along the steep slopes had the highest soil erosion risk with 85% of the total soil losses in the study area. Yearly fluctuations were mainly caused by changes in the amount of annual precipitation and the dynamics of LUCC such as deforestation and agriculture extension with inappropriate land use and unsustainable cropping systems. Among the typical cropping systems, upland rainfed rice (Oryza sativa L.) cultivation had the highest rate of soil erosion (20 t ha-1yr-1) followed by sebesten (Cordia dichotoma) and turmeric (Curcuma longa) plantation in the UP zone. This study indicated that the hotspot region of soil erosion risk were upland mountain areas, especially in the western part of the Inle lake. Soil conservation practices are thus urgently needed to control soil erosion and lake sedimentation and to conserve the wetland ecosystem. Most farmers have not yet implemented soil conservation measures to reduce soil erosion impacts such as land degradation, sedimentation and water pollution in Inle Lake, which is partly due to the low economic development and poverty in the region. Key challenges of agriculture in the hilly landscapes can be summarized as follows: fostering the sustainable land use of farming systems for the maintenance of ecosystem services and functions while improving the social and economic well-being of the population, integrated natural resources management policies and increasing the diversification of income opportunities to reduce pressure on forest and natural resources.

Ergonomics and interfaces of traditional information systems: packaging

The contemporary world is characterized, among other factors, by the influence of the new computer information systems on the behavior of individuals. However, traditional information systems still have interaction problems with users. The aim of this study was to determine whether the interaction aspects between user versus traditional information systems (particularly the graphics) have been fully studied. To do so, the ergonomic aspects and usability of such systems were reviewed, with emphasis on the problems of visibility, legibility and readability. From that criteria, the evolution of ergonomic studies of information systems was reviewed (bibliometrics technique); and examples of ergonomic and usability problems in packaging were demonstrated (case study). The results confirm that traditional information systems still have problems of interaction between human X system, hindering the effective perception of information.

Going beyond traditional QA systems: challenges and keys in opinion question answering

The treatment of factual data has been widely studied in different areas of Natural Language Processing (NLP). However, processing subjective information still poses important challenges. This paper presents research aimed at assessing techniques that have been suggested as appropriate in the context of subjective - Opinion Question Answering (OQA). We evaluate the performance of an OQA with these new components and propose methods to optimally tackle the issues encountered. We assess the impact of including additional resources and processes with the purpose of improving the system performance on two distinct blog datasets. The improvements obtained for the different combination of tools are statistically significant. We thus conclude that the proposed approach is adequate for the OQA task, offering a good strategy to deal with opinionated questions.

Conceção e implementação do método das secções homogéneas numa empresa industrial de metalomecânica

Trabalho de projeto apresentado ao Instituto Superior de Contabilidade e Administração do Porto para a obtenção do grau de Mestre em Contabilidade e Finanças, sob a orientação do Mestre Paulino Manuel Leite da Silva

Soil carbon and nitrogen stocks in traditional agricultural and agroforestry systems in the semiarid region of Brazil

In the semiarid region of Brazil, inadequate management of cropping systems and low plant biomass production can contribute to reduce soil carbon (C) and nitrogen (N) stocks; therefore, management systems that preserve C and N must be adopted. This study aimed to evaluate the changes in soil C and N stocks that were promoted by agroforestry (agrosilvopastoral and silvopastoral) and traditional agricultural systems (slash-and-burn clearing and cultivation for two and three years) and to compare these systems with the natural Caatinga vegetation after 13 years of cultivation. The experiment was carried out on a typical Ortic Chromic Luvisol in the municipality of Sobral, Ceará, Brazil. Soil samples were collected (layers 0-6, 6-12, 12-20, 20-40 and 40-60 cm) with four replications. The plain, convex and concave landforms in each study situation were analyzed, and the total organic C, total N and densities of the soil samples were assessed. The silvopastoral system promoted the greatest long-term reductions in C and N stocks, while the agrosilvopastoral system promoted the smallest losses and therefore represents a sustainable alternative for soil C and N sequestration in these semiarid conditions. The traditional agricultural system produced reductions of 58.87 and 9.57 Mg ha-1 in the organic C and total N stocks, respectively, which suggests that this system is inadequate for these semiarid conditions. The organic C stocks were largest in the concave landform in the agrosilvopastoral system and in the plain landform in the silvopastoral system, while the total N values were highest in the concave landform in the native, agrosilvopastoral and silvopastoral systems.

Análisis del comportamiento de los resultados en 'full' y 'direct costing'

In this paper we perform a mathematical analyse of profits and losses indirect and full costing. They are compared in different situations, mainlythe utilisation of productive capacity and the existence of beginninginventories. Direct costing was conceived as a system of cost accountingwhich would show profits as a function of sales. In full costing profitsdepend on available combinations of sales, production, costs of beginninginventories, etc., and information displayed in financial statements displayappears incongruent. Differences in profits with full and direct costingincrease when full costing allocates fixed costs according to normalproduction, in some cases differences, and financial statements would showmore incongruent performance. It is concluded about the importance thatprofit and loss statement expresses profits in both costing systems.

Tuotekustannuslaskennan nykytila ja kustannusseurannan kehittäminen mallimoottoriajattelun avulla

Tutkimuksen tarkoituksena on tutkia globaalin konsernin yhden liiketoimintayksikön tuotekustannuslaskennan nykytilaa. Lisäksi tutkimuksessa selvitetään, miten tuotekohtaista kustannusseurantaa voidaan kehittää mallimoottoriajatuksen avulla. Tutkimus on toteutettu laadullisena case-tutkimuksena yhden organisaation tietojen pohjalta. Teoriaosuuden lähdeaineistot koostuvat pääosin kustannuslaskennan ja -johtamisen perusteoksista ja tieteellisistä artikkeleista. Empiriaosuuden tiedot pohjautuvat haastatteluihin, tietojärjestelmiin ja tutustumiseen organisaatioon. Tutkimuksessa selvisi, että liiketoimintayksikkö ei tällä hetkellä seuraa tuotekohtaisia kustannuksia yksittäisten tuotteiden tasolla. Kustannusseuranta tapahtuu sen sijaan suurempien kokonaisuuksien keskimääräisten kustannuksien tasolla. Tuotekustannuslaskenta on toteutettu perinteiseksi menetelmäksi luokiteltavalla laskentatavalla, jossa välilliset kustannukset kohdistetaan yleiskustannuslisäprosenttien avulla. Tutkimuksen perusteella yleiskustannuksien kohdistamisperusteissa on havaittavissa viitteitä kustannuksien vääristymisestä. Tuotetason kustannuksien seurantaan kehitettiin mallimoottoriajatukseen pohjautuva kustannusmalli, jonka avulla seurataan tarkasti valikoitujen tuotteiden kustannuksien kehittymistä sekä kustannusrakennetta. Mallin avulla voidaan lisätä tuotetason kustannustietoisuutta liiketoimintayksikössä sekä tehdä havaintoja tuotekohtaisten kustannuksien kehityssuunnasta. Mallin kustannustietona käytetään olemassa olevan kustannuslaskentajärjestelmän tietoja. Tästä johtuen mallin kustannustiedoissa on havaittavissa myös viitteitä kustannuksien vääristymisestä.

Interoperability for IoT Health Systems Using HL7 Standard

Internet of Things or IoT is revolutionizing the world we are living in, similarly the way Internet and the web did few decades ago. It is changing how we interact with the things surrounding us. Electronic health and remote patient monitoring are the ways of utilizing these technological improvements towards the healthcare. There are many applications of IoT in eHealth such as, it will open the gate to provide healthcare to the remote areas of the world, where healthcare through traditional hospital systems cannot be provided. To connect these new eHealth IoT systems with the existing healthcare information systems, we can use the existing interoperability standards commonly used in healthcare information systems. In this thesis we implemented an eHealth IoT system based on Health Level 7 interoperability standard for continuous data transmission. There is not much previous work done in implementing the HL7 for continuous sensor data transmission. Some of the previous work was limited to sensors which are not continuous in nature and some of it is only theatrical architecture. This thesis aims to prove that it is possible to implement an eHealth IoT system by using sensors which require continues data transmission, such as respiratory sensors, and to connect it with the existing eHealth information system semantically by using HL7 interoperability standard. This system will be beneficial in implementing eHealth IoT systems for those patients, who requires continuous healthcare personal monitoring. This includes elderly people and patients, whose health need to be monitored constantly. To implement the architecture, HL7 v2.5 is selected due to its ease of implementation and low size. We selected some open source technologies because of their open licenses and large developer community. We will also review the most efficient technology available in every layer of eHealth IoT system and will propose an efficient system.

Implantação do método activity based costing na logística interna de uma empresa química

Este trabalho tem como objetivo apresentar como o método ABC - activity based costing foi implantado para realizar o custeio da logística interna da empresa química BASF SA., situada na cidade de Guaratinguetá - SP. Apresentam-se: a descrição do processo de mudança do método de custeio tradicional para o método ABC, as dificuldades encontradas e como foram ultrapassadas, bem como as vantagens constatadas pela empresa. O departamento de logística da empresa funciona como um prestador de serviços, atendendo a todos os processos produtivos das divisões (unidades de negócio) existentes na planta de Guaratinguetá, no que concerne à armazenagem e ao fornecimento de matérias-primas, além de atuar na retirada e na armazenagem de produto acabado. Como principais resultados, obteve-se uma distribuição de custos mais justa entre as divisões da planta, identificação de oportunidades de melhoria nos processos logísticos, identificação de processo e atividades que não agregavam valor aos produtos, entre outros. Finalmente, o processo de implantação e os resultados foram muito bem avaliados pelos gestores, o que foi decisivo para a adoção do método ABC como sistema gerencial de custos logísticos da empresa.

Applying Problem-Based Project-Organized Learning in a traditional system

Nowadays, PBL is considered a suitable methodology for engineering education. But making the most of this methodology requires some features, such as multidisciplinary, illstructured teamwork and autonomous research that sometimes are not easy to achieve. In fact, traditional university systems, including curricula, teaching methodologies, assessment and regulation, do not help the implementation of these features. Firstly, we look through the main differences found between a traditional system and the Aalborg model, considered a reference point in PBL. Then, this work is aimed at detecting the main obstacles that a standing traditional system presents to PBL implementation. A multifaceted PBL experience, covering three different disciplines, brings us to analyse these difficulties, order them according to its importance and decide which should be the first changes. Finally, we propose a straightforward introduction of generic competences in the curricula aimed at supporting the use of Problem-Based Project-Organized Learning

Organisational learning - a critical systems thinking discipline

Original Paper European Journal of Information Systems (2001) 10, 135–146; doi:10.1057/palgrave.ejis.3000394 Organisational learning—a critical systems thinking discipline P Panagiotidis1,3 and J S Edwards2,4 1Deloitte and Touche, Athens, Greece 2Aston Business School, Aston University, Aston Triangle, Birmingham, B4 7ET, UK Correspondence: Dr J S Edwards, Aston Business School, Aston University, Aston Triangle, Birmingham, B4 7ET, UK. E-mail: j.s.edwards@aston.ac.uk 3Petros Panagiotidis is Manager responsible for the Process and Systems Integrity Services of Deloitte and Touche in Athens, Greece. He has a BSc in Business Administration and an MSc in Management Information Systems from Western International University, Phoenix, Arizona, USA; an MSc in Business Systems Analysis and Design from City University, London, UK; and a PhD degree from Aston University, Birmingham, UK. His doctorate was in Business Systems Analysis and Design. His principal interests now are in the ERP/DSS field, where he serves as project leader and project risk managment leader in the implementation of SAP and JD Edwards/Cognos in various major clients in the telecommunications and manufacturing sectors. In addition, he is responsible for the development and application of knowledge management systems and activity-based costing systems. 4John S Edwards is Senior Lecturer in Operational Research and Systems at Aston Business School, Birmingham, UK. He holds MA and PhD degrees (in mathematics and operational research respectively) from Cambridge University. His principal research interests are in knowledge management and decision support, especially methods and processes for system development. He has written more than 30 research papers on these topics, and two books, Building Knowledge-based Systems and Decision Making with Computers, both published by Pitman. Current research work includes the effect of scale of operations on knowledge management, interfacing expert systems with simulation models, process modelling in law and legal services, and a study of the use of artifical intelligence techniques in management accounting. Top of pageAbstract This paper deals with the application of critical systems thinking in the domain of organisational learning and knowledge management. Its viewpoint is that deep organisational learning only takes place when the business systems' stakeholders reflect on their actions and thus inquire about their purpose(s) in relation to the business system and the other stakeholders they perceive to exist. This is done by reflecting both on the sources of motivation and/or deception that are contained in their purpose, and also on the sources of collective motivation and/or deception that are contained in the business system's purpose. The development of an organisational information system that captures, manages and institutionalises meaningful information—a knowledge management system—cannot be separated from organisational learning practices, since it should be the result of these very practices. Although Senge's five disciplines provide a useful starting-point in looking at organisational learning, we argue for a critical systems approach, instead of an uncritical Systems Dynamics one that concentrates only on the organisational learning practices. We proceed to outline a methodology called Business Systems Purpose Analysis (BSPA) that offers a participatory structure for team and organisational learning, upon which the stakeholders can take legitimate action that is based on the force of the better argument. In addition, the organisational learning process in BSPA leads to the development of an intrinsically motivated information organisational system that allows for the institutionalisation of the learning process itself in the form of an organisational knowledge management system. This could be a specific application, or something as wide-ranging as an Enterprise Resource Planning (ERP) implementation. Examples of the use of BSPA in two ERP implementations are presented.

Web-based expert systems:benefits and challenges

Convergence of technologies in the Internet and the field of expert systems have offered new ways of sharing and distributing knowledge. However, there has been a general lack of research in the area of web-based expert systems (ES). This paper addresses the issues associated with the design, development, and use of web-based ES from a standpoint of the benefits and challenges of developing and using them. The original theory and concepts in conventional ES were reviewed and a knowledge engineering framework for developing them was revisited. The study considered three web-based ES: WITS-advisor - for e-business strategy development, Fish-Expert - for fish disease diagnosis, and IMIS - to promote intelligent interviews. The benefits and challenges in developing and using ES are discussed by comparing them with traditional standalone systems from development and application perspectives. © 2004 Elsevier B.V. All rights reserved.