Construction Value Chain Analysis of the theoretical assumptions of accounting

Paper Keywords: value chain value chain of traditional accounting method of accounting
Abstract: Value Chain Accounting is a new field of accounting. Value chain, accounting, based on customer demand to enterprises as the leading core of the value chain to maximize the overall value of the value chain as a fundamental goal. Construction of the value chain framework of accounting theory , to break through the limitations of traditional accounting methods, based on, from the nature of accounting, accounting objectives, accounting assumptions, accounting functions and accounting aspects of the object, etc. The Theory and Practice.

Michael Porter value chain concept is (Michael Porter) first proposed. He described as a company value chain for the design, production, marketing, delivery and maintenance of their internal processes and work products, and descriptions from the internal point of view the value chain, to work within the enterprise as a value creation process elements.

Value chain management from a strategic height, from the perspective of the value chain, the use of modern management theory and methods, identification and reconstruction of the enterprise value chain, value chain through the decomposition and integration, the core competitiveness of enterprises, in order to gain a competitive advantage. China Accounting for five well-known predecessors, Mr. Yan presented the value chain in 2003 accounting concept has been widely response. This accounting information from the value chain needs, the traditional limitations of accounting theory and methods to explore the need for value chain accounting, and integrated presentation of the value chain The basic theoretical framework of accounting.

First, the need to build the value chain accounting
1, changes in demand for accounting information.

First, the internal value chain management of accounting information are the new requirements. Internal value chain management relies on the operating costs and value added information. From within the value chain perspective, the business constitutes a series of different operations in general, including Research and development, design, production , sales and service operations, which together create the value of the product. internal value chain management, the key is to find out which jobs within the enterprise had a competitive advantage, is the real value-added operations, then these operations more effectively management. Therefore, the need to rely on operating cost information for internal value chain analysis, and based on the distinction between value chain operations, determine the strategic value chain operations, track their operating costs, on the strategic value chain to more effectively manage operations to achieve competitive advantage.

Secondly, the external value chain management demand for accounting information on new features. External value chain, value chain management is the core of the subject companies and other members of the business, they are all participants in the value chain alliances have accounting information on the value chain needs, but their needs have their own characteristics: the core business value chain, value chain alliances is the initiator and leader. from the entire value chain, coalition-building, operation and daily management, and evaluation and adjustment of the value chain, must rely on the value of Chain Alliance of accounting information necessary for the body. First, the value chain partners in the evaluation, the financial indicators are important components; second, in the value chain performance evaluation system, the financial indicators also account for a significant weight. Value Chain other members of the business, they are joining the value chain and core business of the followers. They were in Canada before the assessment process was added after the integration and processing of people's daily operation and management, the need for exchange of information across the enterprise, and On this basis, the operation and management decisions.

In addition, the value chain alliance of stakeholders other than the proposed value chain will be the demand for accounting information. Other stakeholders are complicated, and the need to care about the main accounting information value chain, value chain of corporate entities that investors major creditors, government departments. their decision-making acts or administrative acts, will also be from the original analysis based on a single enterprise, and turn to the host based on its direct affiliates of the entire value chain.

2, the limitations of traditional accounting methods.

Value chain management model, accounting environment has changed greatly. The traditional financial accounting and management accounting has been discredited. Financial accounting, the focus is on financial accounting information can not reflect the enterprise value. The traditional management accounting ignores the new manufacturing environment and new management philosophy. as the competitive environment in the information age, the gradual reduction of product life cycle, many companies have introduced advanced manufacturing methods just in time to achieve zero inventory. In this case, the traditional methods of management accounting " economic order quantity "," best production volume ", which has no meaning. change current accounting model is a general trend. the value chain to adapt to this change of accounting is the trend of a choice.

3, conditions for the existence of traditional accounting theory change.

First, regarding the accounting entity assumption. Value chain, the scope of the management accounting is not only a single enterprise, value chain, accounting management accounting will range from single enterprises to expand into the value chain, in part or in whole, into a multi-enterprise composed of the value chain of virtual enterprise. The accounting entity can expand or shrink as needed, "the value chain of virtual enterprise" to the extent accounting entity with the "variability" and thus become very difficult to grasp the accounting entity.

Second, on the going concern assumption. In the value chain, there is the length of time accounting entity with great uncertainty. "Virtual enterprise" to the end with the business activities, or need to adjust the business, "Virtual Enterprise" at any time terminated. continuing operations will no longer be assumed to apply. in the traditional financial accounting, under discontinued operations accounting should be applied to the liquidation; in the value chain of virtual enterprise accounting is accounting for the liquidation or the creation of new financial accounting is worth studying.

Third, assumptions about the accounting period. Accounting period assumption refers to the regular lessons of business results, business hours will be artificially divided into a section of relatively independent and connected to each other during the preparation of financial reports and as the time frame. Obviously , made this assumption and accounting information processing and transfer technology related restrictions. Accounting is the information value chain under the conditions of the emergence of new accounting model, real-time reporting becomes a reality, information users can get the latest from the network at any time accounting reports, without having to wait until the end of an accounting period and then access, thus greatly improving the timeliness of accounting information.

Second, the value chain, the construction of the basic theoretical framework of accounting
1, the concept of value chain and the nature of accounting.

Value chain, accounting, based on customer demand to enterprises as the leading core of the value chain, value chain to maximize the overall value of the fundamental objectives to enhance the value chain, competitiveness, market share, customer satisfaction and maximize profits specific objectives to business and accounting synergy for the mode of operation, through the use of modern information and communication technologies to realize the value chain, logistics, information flow and cash flow planning and control for the effective management of activities.

2, targeting the value chain accounting.

Accounting accounting objective is expected to achieve the purpose or state, its content is both a subjective manifestation of the people, but also by the objective constraints and the impact of environmental conditions. Value chain, the goal of accounting is the accounting value chain to achieve the desired system operation purpose or result. Therefore, the goal of accounting value chain can be expressed as: For information on the value of using dynamic information to provide in order to optimize the value chain process and value chain alliance, while coordinating real-time control and optimization as the core value chain, and ultimately the core value chain alliances and the goal of maximizing corporate value. dynamically view, value chain management is actually a focus on value added, continue to coordinate and optimize the value chain process. value chain, value chain management accounting as an important tool, but also the value chain an important part of management. Therefore, the value chain must serve and subject to the accounting value chain management objectives and requirements.

3, the value chain, the basic assumptions of accounting.

Value chain value chain accounting assumption is that the basic premise for the existence of accounting. Value chain accounting assumptions and traditional accounting assumptions associated with both another breakthrough. Its contents are: value chain alliance accounting entity assumption, and the liquidation of the going concern assumption assumes the coexistence of , real-time processing and combination of accounting period, and the value assumptions.

(1) Value Chain Union accounting entity. Accounting entity assumption limits of accounting and reporting of the specific spatial range, emphasizing the company as a separate entity as the accounting entity, corporate investors and creditors for the provision of accounting information. But also allows some phase associated legal entities into a single accounting entity. For the conditions under which integration and how to integrate, only the merger between the parent company has been involved in reporting issues. on how the value chain, in whole or in part of the union as the accounting entity , is among a new title, which is the value chain, there is a basic premise of accounting. in the value chain management, value chain, virtual enterprise union and the emergence of the typical form of the accounting entity - companies become more and more blurred. Therefore, the accounting entity assumption of the conceptual framework should be expanded, not limited to the scope of the subject can be the existence of entities. the value chain of each separate accounting entity can be a point on the value chain, it can be similar to the parent company of Core Enterprise , and the extended enterprise as a subsidiary of the Group. systems. Links to Research Papers Download http://www.hi138.com (2) the going concern assumption and the liquidation of assumptions exist. One of the basic premise of traditional financial accounting from continuing operations assumption is assumed in the accounting business will continue to stay in business enterprise in the foreseeable future will not be liquidated or bankrupt. value chain management, the changing economic environment, increased operational risks, the expansion of the network to strengthen the enterprise virtual sex , which are going on accounting entity with a lot of uncertainty. the one hand, the accounting entity is facing increasing competition, increasing the risk of economic environment, enterprises have been liquidated at any time, may be terminated. On the other hand accounting body is flexible, there is a great length of time of uncertainty. virtual enterprise with business activities need to be established at any time, when the business end of the event, or need to adjust the business, the virtual enterprise can be terminated at any time. investors and creditors in the value chain analysis and evaluation of accounting information may be more under the assumption of a specific period of the financial report. Therefore, the value chain, it is necessary to provide continuous operation of accounting under the premise of accounting information, but also provide clearing assumptions or other under the assumption of a specific period of accounting information.


(3) phases of accounting and real-time reporting. Accounting period assumption accounting entity is terminated, the accounting information needs to be on a regular basis to provide timely accounting entity's financial position and operating results information and accounting entity artificially the process of continuing operations separated by a certain time to form one of the accounting period. but in the value chain management, the accounting period meaningful challenge. computer network used to make each transaction completed in an instant, the virtual enterprise may be a transaction immediately after dissolution, there is the length of time is uncertain. In this case, to be divided artificially, is not only very difficult, and there is no practical significance. On the basis of accrual and matching principle has also been questioned. Therefore, the value chain to meet the accounting reflects the traditional accounting based on the stage, it should be more flexibility in staging accounting matters, such as the emphasis on effective project management periodic reports, attention to real-time reports to compensate for the traditional accounting period accounting drawbacks.

(4) value. In the value chain management, to the monetary measures to strengthen and enrich the proposed requirements. The one hand, the monetary value chain alliances complex environment of the body, adding to the currency of accounting of the main risks faced by, the impact of currency change assumptions. On the other hand, in the value chain, intellectual capital as an independent factor involved in the production and operation activities, as a new economic era's most important corporate resource. enterprises it is necessary to intellectual capital, human capital, recognition and measurement . and these non-traditional capital are difficult to use the existing measure of monetary measurement mode. in the value chain accounting in the form of non-monetary measures will be a large number of applications. In addition to the basic financial information to non-monetary measure of non-financial information is also will become an important basis for measuring business value. Meanwhile, in the modern information technology support, a variety of measures in the form of the possibility of using both greatly enhanced.

4, the value chain accounting functions defined.

(1) reflects the accounting value chain functions. Value chain accounting is the development of traditional accounting, its functions should be included to reflect and control the two basic functions. As a reflection of the accounting functions of the value chain, characterized by dynamic, real-time and full nature, without limitation accounting period, and as quickly as possible reflect the business value of information activities: first, more comprehensive. value chain, the main node of each node enterprise or value chain accounting companies have become a reflection of the object. Second, the real-time dynamic . a reflection of traditional accounting functions also has a certain dynamic, but this only reflects the dynamic nature of the dynamic nature of the object. value chain, reflecting the behavior of accounting can be dynamic, accounting reflects the value chain with real-time dynamic.

(2) Value Chain Accounting other functions. Value chain, including strategy and plan of accounting collaborative, multi-dimensional control and real-time evaluation functions. Strategic Cooperation: A union is based on the value chain value chain to form a unified strategic objectives. Therefore, the strategic coordination Accounting is an important function of the value chain. strategic synergy is not required of all members of the value chain are the same strategic objectives. strategic synergy target is for all members of the business objectives of their strategic alliance can be united to the body's overall strategy. This is the Union prerequisite for the establishment of the body. Plan Coordination: refers to the relatively short period of forecast, plan or budget coordination, it is the concrete implementation of strategies for the coordination and implementation of the planning process and implementation of a series of coordinated programs. multidimensional control: the enterprise value chain are often not single, but a criss-cross the value chain network. Thus the value chain management services in the accounting of the value chain, value chain control and can not be isolated and decentralized control, and should be the basis for real-time evaluation on the full range of multi-dimensional control. Therefore, the control of the value chain must be a multi-dimensional control. real-time evaluation: real-time evaluation of the evaluation function is to emphasize the immediacy, requiring the fastest reveal the value chain, value creation process operational performance of the judge the value chain. This generated through the evaluation of real time information, more conducive to the proper and timely decision-making, real-time to take corresponding measures.

5, the value chain accounting object.

Object is reflected in the accounting and control of the content of accounting, which is independent of the objective existence outside the accounting system. Traditional financial accounting statements of the accounting object is the "enterprise funds and capital movement." Accounting value chain should be the value of the object movement or value added movement. In fact movement of funds of enterprises and value chain is the value of sport in different areas, from different angles exposition. but once the value chain, from the perspective of the financial and capital movements, it has new features: First, emphasis added value, the second is to emphasize the value chain integration. enterprise value chain to provide products and services will eventually become part of customer value, business value chain of the various value delivery and value of a sliding scale, and ultimately depends on the customer value chain. So , obtaining and maintaining competitive advantage depends on the internal relations of the enterprise value chain depends on the value of enterprises in the whole interconnected system, depends on the enterprise value chain and value chain of suppliers, channels and customer value chain, value chain relative to free Internet Links Download Center http://www.hi138.com paper