An opportunity to change our climate change impacts

Management Accounting is largely about decision making, particularly about the deployment of resources.

There is a…

Posted by Management Accounting Info on Sunday, 14 June 2020

Posted in Uncategorized | Comments Off on An opportunity to change our climate change impacts

Will companies lead on averting climate volatility?

It looks like the pandemic is the main issue facing business, but in reality it is adjusting to climate change. Once the pandemic is over and companies begin to ‘return to normal’, the issue of having to prevent climate volatility will return.

Hopefully companies will lead the change rather than be the hindrance that so many ahve been up until now.

that will be up to you in your careers as my age group has completely failed to take your needs into account.

***

‘Race to Zero’: Businesses, cities and investors join forces in UN-backed net zero emissions campaign

‘Race to Zero’ recruits private sector to lobby for more ambitious climate action in run-up to COP26 climate summit next year

By Madeleine Cuff

Friday, 5th June 2020, 12:01 am

The United Nations is hoping to orchestrate a massive show of support for a greener economy with the official launch of Race to Zero, a campaign for companies to pledge to hit net zero emissions before 2050.

Officials hope Race to Zero will help build momentum for COP26, a major climate summit due to be held in Glasgow in November 2021.

By bringing together a huge coalition of businesses, investors and cities promising net zero emissions, organisers hope governments will be encouraged to commit to bolder national action on carbon emissions.

Alok Sharma, UK Secretary of State for Business, Energy and Industrial Strategy and COP26 President, said: “The Race to Zero initiative will play an important part in encouraging businesses, other organisations and regional governments to increase their ambition and take action against climate change.”

The COP26 challenge

The UK is organising COP26 in partnership with Italy, but is facing an uphill struggle to deliver a successful summit. Coronavirus has pushed the dates of the event back by more than a year, and destroyed a carefully orchestrated schedule of diplomatic meetings designed to build international commitment to further action.

Meanwhile, the economic fallout from Covid-19 has raised fears countries will abandon low-carbon policy efforts in favour of fossil-fuel led recoveries.

Race to Zero has recruited some of the world’s most powerful businesses in an effort to counteract this threat.

Signatories already cover almost a quarter of global CO2 emissions and more than half of GDP. Businesses backing the campaign include Rolls-Royce, Nestle, Microsoft and PepsiCo, which have all promised to cut emissions in line with the Paris climate treaty.

To avoid accusations of greenwashing, Race to Zero members have to set interim carbon reduction targets and publish a net zero strategy by November 2021, organisers said.

Former Bank of England Governor and UN Special Envoy for Climate and Finance Mark Carney said: “Net zero targets must be underpinned by transition plans so that investors can assess which companies will seize the opportunities in the transition and which will cease to exist.”

inews.co.uk/news/environment/race-to-zero-businesses-cities-investors-un-net-zero-emissions-campa…

5/6/20
Posted in Uncategorized | Comments Off on Will companies lead on averting climate volatility?

Targets and the implications of using round numbers.

Choose your five a day from this list for blooming health?

We seem to like round numbers – stay apart two metres, eat five a day, walk 10,000 steps and in setting business targets. This article queries the sense in that approach.

***

Social distancing: Why the 2m coronavirus rules are about human nature more than science

Studies have proved that people respond better to round numbers — regardless if science supports them

By Harry Wallop

Monday, 1st June 2020, 10:47 am

It has arguably been one of the great public health messages of recent times: stay two metres apart. But why two? Why not 1.5 metres as in Germany or Australia, or one metre as in Italy or France? As the Government comes under increasing pressure from the pub and restaurant industry to relax the social-distancing rule, it is intriguing to examine the thinking behind these public health targets and our love of a nice, round number.

Before Covid-19, the most famous public health message was probably to eat “five-a-day”. Introduced by the Department of Health as policy in 2003, the idea was that by eating five portions of fruit or vegetables a day, incidences of heart disease and cancer would fall dramatically.

Professor Tim Lang, food policy expert at City University, London, was instrumental in its introduction to the UK. “When the Department of Health came up with the target they were quite overt that they were borrowing it from the US,” he tells i. But he admits the slogan – easy to understand and communicate – failed to explain the nuance behind the message and it soon became a marketing tool for various fruit juice and smoothie manufacturers.

 “Targets can be useful if they concentrate minds. They are not useful if they become an end in themselves. We saw it with the five-a-day, which was a compromise. We didn’t want to frighten the horses. So often they are social targets, masquerading as scientific targets.”

Complicated messages don’t work

Science says that a portion of green vegetables was more valuable – in terms of vitamins and fibre – than a glass of orange juice. But including that sort of nuance in the slogan would would have complicated the message.

The science is similarly complex when it comes to the notion of staying two metres apart. “The evidence, as far as you can get very firm evidence on this,” Sir Patrick Vallance, the chief scientific officer, has explained, “is essentially a minute at two metres contact is about the same as six seconds at one metre. That gives you an idea of why the two-metre rule becomes important.” Being inside and being face to face with a Covid-infected person is a far greater risk than facing away or being outside.

But the two-metre rule is easy to understand. Just as the message of five portions a day was. The fruit and veg message did not significantly change consumers’ behaviour, however. When it was launched, 24 per cent of adults in the UK consumed five-a-day. That increased to 28 per cent 15 years later. “The slogan embedded itself, but we’re still consuming a catastrophically low amount of fruit and vegetables,” Lang says. Although the evidence is unequivocal about the benefits of eating more vegetables, it is not definitive about the optimum number. In Australia the target is seven; it’s 10 in Canada and France.

Why 10,000 steps is a meaningless amount

The most obvious example of an arbitrary health target is “10,000 steps a day”. It is the default target on many activity watches or wrist bands. A review by I-Min Lee, a professor of epidemiology at Harvard University, discovered it was originally a 1965 marketing slogan for a Japanese pedometer company. “They gave it a name that, in Japanese, means ‘the 10,000-step meter’,” she explains. Elderly women only need to walk an additional 2,000 steps to see a noticeable increase in their health.

In an experiment undertaken by Washington State University, participants were given video games where you had to try to earn up to 100 points. After three games, participants felt a greater sense of satisfaction from reaching 50 points than they did when they ended at 51 points. Humans like round numbers.

Healthy or problematic?

“It is often very arbitrary how we pick these targets. But we have an irrational attachment to round numbers; they give us an anchor point to aim towards,” explains Bobby Seagull, the mathematician and TV presenter.

The question is whether this bias for round numbers is healthy or problematic when it comes to public health. “These irrational round number targets can be great if they give you something to aim for and it is memorable,” Seagull says.

“The danger is if the number isn’t correct – when it should be seven-a-day, 7,000 steps or, in the case of social distancing, one metre outside and maybe three metres inside. But the problem is that the more complicated the message, the more people forget it.”

https://inews.co.uk/news/social-distancing-rules-uk-2m-two-metre-coronavirus-science-human-nature-2870388

Posted in Uncategorized | Comments Off on Targets and the implications of using round numbers.

This poop calculator will work out how long your toilet roll is going to last

We need some entertainment at the moment. here is a tool you can use for stock management. 🙂 Essentially the idea is the same as we would used in business. I am not so convinced that a toilet roll would last for twelve days though.

Worldwide 

This poop calculator will work out how long your toilet roll is going to last

News / LOL

This poop calculator will work out how long your toilet roll is going to last

Person reaching for the last of the toilet roll
Photograph: Andy Parsons

The spread of COVID-19 coronavirus has made life uncertain in many ways. But one thing is for sure, we’ve never been more aware of how much loo roll we have in the house.

As cities around the world have gone into lockdown to prevent the spread, people have turned to panic-buying. Top of their shopping list: toilet rolls.

Supermarket shelves have been emptied. Corner shops have been pillaged. Frantic WhatsApps have been sent the minute bog roll has been spotted out in the wild. But you can chill (seriously –please stop with the hoarding), because a clever new tool is here to reveal just how long you’ve got until you’re in risky pooping territory.

Based on these two toilet facts – an average healthy human produces around 400 grams of poop every day and uses one toilet paper roll every 12 days – the Poop Tool works out how long the rolls you’ve got will last your household.

Have 12 rolls in your bathroom cupboard? That’s enough for a two-person household to cope with 58 kg of poop, meaning it’s 72 whole days until you’re in the shit. That’s plenty of time for the shops to restock.

Find out how much poop you have to produce to run out of rolls here.

 

 

Source: This poop calculator will work out how long your toilet roll is going to last

Posted in Uncategorized | Tagged | Comments Off on This poop calculator will work out how long your toilet roll is going to last

Management Accounting information in the Financial Accounts.

We normally think of the Financial Accounts of a company to be ‘Financial Accounting’ and have little to do with our work as Management Accountants.


However, more and more information is required in the accounts these days such as impacts on the climate *quite rightly) and this is information that falls within our sphere.


https://www.insider.co.uk/news/accounting-watchdog-probe-companies-climate-21537460

Posted in Uncategorized | Comments Off on Management Accounting information in the Financial Accounts.

How thinking like a creative genius can help you study.

An interesting article on creativity with a particular message for studying.

“The best preparation for the future is paradoxically to imagine the process – not the outcome – of your desired future event. One study showed that when students imagined desired outcomes (good grades for an upcoming test) they performed significantly worse than students who imagined the process getting to the desired outcomes (imagining studying thoroughly).”

So imagine the process … and do the process… to improve your results.

http://theconversation.com/the-secret-to-creativity-according-to-science-89592

Posted in Study Skills | Comments Off on How thinking like a creative genius can help you study.

Unique Selling Proposition – the USP

We are always told that a product needs to have its USP so that we can tell customers why our product is better than anybody else’s and therefore they should buy ours.

Take a look at this advert and tell me what the USP of Dreams Mattresses is.

Yes, that’s right. they write a date on the underside of your mattress. That’ll make me buy from them then.

Posted in Pricing | Comments Off on Unique Selling Proposition – the USP

Using the Balanced Scorecard in a particular part of the business to monitor the effectiveness of a change.

Having received poor feedback about hospital catering services, a company adopts Balanced Scorecard measures to monitor how their change in practices actually impact on the service.

Read to see the four measures they used. Note how they are very specific to the problem and not generic.

http://www.foodprocessing.com.au/content/prepared-food/article/do-you-want-to-provide-food-or-do-you-want-your-patients-to-eat–1090226000

She looks happy to me.

Posted in Balanced Scorecard | Comments Off on Using the Balanced Scorecard in a particular part of the business to monitor the effectiveness of a change.

Curiosities of decision making – Life Cycle Costing

Hinkley Point. Always interesting to see decisions made that ignore basic management accounting principles. 

Here the Conservatives have committed us to paying over the odds for electricity for 35 years and of course, we will end up also paying for the decommissioning costs at the end of the plants short life. The problem will go on a very long time after it ceases to make electricity.

Further evidence, if we needed it that politicians do not make decisions like management accountants!

http://www.independent.co.uk/news/uk/politics/hinkley-point-nuclear-power-national-audit-office-slams-government-high-cost-risky-deal-a7803446.html

Posted in Investment Appraisal, Life Cycle Costing | Comments Off on Curiosities of decision making – Life Cycle Costing

Throughput Accounting – what are the levels of production on a machine?

Interesting to look at real examples of speed of production.

This may be an example where we wouldn’t use Throughput Accounting as there is really only one product. However, we could , I suppose, switch between sizes of cans in a bottleneck scenario. Or between brands.

Look how fast the machines are!

Again, this factory is just down the road from me.

“Coca-Cola Enterprises is one of the company’s largest bottlers in Europe, and over the past five years they’ve invested £41million at their Sidcup site in south-east London. It’s their second biggest site in Great Britain, and the funds are going towards manufacturing upgrades and facility developments which will have multiple sustainability benefits.

One upgrade in particular includes pushing the button on a £16.6m high-speed canning line (pictured) for 150ml mini cans and 250ml slim line cans, which will:

• Increase line capacity from 57,600 cans per hour (cpc) to 110,000cph
• Reduce water usage by 20%
• Save 330 tonnes of CO2

The investment also means the installation of a £14.6m high tech, energy efficient canning line for 330ml cans, enabling them to operate at 2,000 cans per minute, and a £4.7m investment on the 500ml PET line, which includes pre-labelling for drinks like Coca-Cola, Fanta and Sprite.”

http://www.coca-cola.co.uk/stories/what-does-a-41m-investment-look-like-coca-cola-enterprises-upgrades

Posted in Uncategorized | Comments Off on Throughput Accounting – what are the levels of production on a machine?