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3_DIMENSIONS_MANAGEMENT_ACCOUNTING

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Created on January 23, 2026

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Transcript

Data processing
The three dimensions of management accounting
Alerts
Simulation

Alert

The three dimensions of management accounting

Secondly, management accounting will serve as an alert. This was mentioned earlier. The development of the company first goes through a phase of forecasting objectives. It is up to management accounting to give signals to the various managers. To determine the company's ability to achieve or not achieve the assigned objectives. We must not wait until the end of the activity to realise any malfunctions. The alert consists of anticipating the positive or negative development of the activity.

Data processing

The three dimensions of management accounting

Firstly, data processing. Management accounting, based on information from general accounting, will collect data. It will process it by destination. It will provide the various departments of the company with information relevant to decision-making.

Simulation

The three dimensions of management accounting

Finally, management accounting will serve as a simulation in relation to the past. We will compare the company's development according to the frequency chosen. This can be monthly or weekly. The results or progress of the activity in relation to the assigned objectives. Is the company or one of its departments in a position to achieve its objectives? This simulation can go beyond the scope of the company. Compare what is being done with the progress of its competitors.