Industry-Specific Accounting Adjustments for Performance Measurement PPT

This PPT slide, part of the 106-slide Corporate Performance Measurement PowerPoint presentation, presents a framework for corporate performance measurement, specifically focusing on accounting adjustments as outlined by Stern Stewart. It emphasizes the necessity of adjusting capital and earnings to align with industry-specific accounting practices, thereby enhancing the comparability of financial metrics across different sectors.

The left side of the slide lists key adjustments that are critical for accurate performance measurement. These include reserves, goodwill, capitalisation of outlays, full-cost accounting, unusual items, and capitalisation of leases. Each adjustment plays a vital role in refining financial data to reflect a more accurate economic profit.

On the right side, the slide categorizes industries that are most affected by these adjustments. For example, high inventory industries, such as consumer goods and services, are highlighted due to their susceptibility to issues like bad debt and inventory obsolescence. Acquisitive industries also require careful consideration of goodwill, while R&D intense industries must account for capitalisation of outlays.

The slide further identifies discovery industries, restructuring industries, and capital-intensive sectors as areas where full-cost accounting and unusual items are particularly relevant. This segmentation underscores the importance of tailored financial analysis based on industry characteristics.

Overall, the content suggests that understanding these adjustments is crucial for stakeholders aiming to make informed decisions based on financial performance. It positions the adjustments as essential tools for achieving a clearer picture of economic profit, which can significantly influence strategic planning and investment decisions.

This slide is part of the Corporate Performance Measurement PowerPoint presentation.

Download the Full Presentation

EXPLORE MORE SLIDES FROM THIS PRESENTATION

EXPLORE MORE PRESENTATIONS ON

Performance Management Shareholder Value Strategic Planning Performance Measurement Financial Analysis Cost Accounting Restructuring Restructuring

Are you familiar with Flevy? We are you shortcut to immediate value.

Flevy provides business best practices—the same as those produced by top-tier consulting firms and used by Fortune 100 companies. Our best practice business frameworks, financial models, and templates are of the same caliber as those produced by top-tier management consulting firms, like McKinsey, BCG, Bain, Deloitte, and Accenture. Most were developed by seasoned executives and consultants with 20+ years of experience.

Trusted by over 10,000+ Client Organizations

Since 2012, we have provided best practices to over 10,000 businesses and organizations of all sizes, from startups and small businesses to the Fortune 100, in over 130 countries.

Flevy is the world's largest knowledge base of best practices.

Leverage the Experience of Experts.

Find documents of the same caliber as those used by top-tier consulting firms, like McKinsey, BCG, Bain, Deloitte, Accenture.

Download Immediately and Use.

Our PowerPoint presentations, Excel workbooks, and Word documents are completely customizable, including rebrandable.

Save Time, Effort, and Money.

Save yourself and your employees countless hours. Use that time to work on more value-added and fulfilling activities.

Read Customer Testimonials

"As a consultant requiring up to date and professional material that will be of value and use to my clients, I find Flevy a very reliable resource.

The variety and quality of material available through Flevy offers a very useful and commanding source for information. Using Flevy saves me time, enhances my expertise and ends up being a good decision."

– Dennis Gershowitz, Principal at DG Associates

"The wide selection of frameworks is very useful to me as an independent consultant. In fact, it rivals what I had at my disposal at Big 4 Consulting firms in terms of efficacy and organization."

– Julia T., Consulting Firm Owner (Former Manager at Deloitte and Capgemini)

"[Flevy] produces some great work that has been/continues to be of immense help not only to myself, but as I seek to provide professional services to my clients, it gives me a large "tool box" of resources that are critical to provide them with the quality of service and outcomes they are expecting."

– Royston Knowles, Executive with 50+ Years of Board Level Experience

"I am extremely grateful for the proactiveness and eagerness to help and I would gladly recommend the Flevy team if you are looking for data and toolkits to help you work through business solutions."

– Trevor Booth, Partner, Fast Forward Consulting

"If you are looking for great resources to save time with your business presentations, Flevy is truly a value-added resource. Flevy has done all the work for you and we will continue to utilize Flevy as a source to extract up-to-date information and data for our virtual and onsite presentations!"

– Debbi Saffo, President at The NiKhar Group

"FlevyPro provides business frameworks from many of the global giants in management consulting that allow you to provide best in class solutions for your clients."

– David Harris, Managing Director at Futures Strategy

"I have found Flevy to be an amazing resource and library of useful presentations for lean sigma, change management and so many other topics. This has reduced the time I need to spend on preparing for my performance consultation. The library is easily accessible and updates are regularly provided. A wealth of great information."

– Cynthia Howard RN, PhD, Executive Coach at Ei Leadership

"I like your product. I'm frequently designing PowerPoint presentations for my company and your product has given me so many great ideas on the use of charts, layouts, tools, and frameworks. I really think the templates are a valuable asset to the job."

– Roberto Fuentes Martinez, Senior Executive Director at Technology Transformation Advisory