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Summary ACC 640 Week Six Assignment.docx Business Perspective Ashford University ACC 640 Advanced Managerial & Cost Accounting Business Perspective Compensation from an employer can come in many forms including monetary and non-monetary income. Non-monetar€4,88
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Summary ACC 640 Week Six Assignment.docx Business Perspective Ashford University ACC 640 Advanced Managerial & Cost Accounting Business Perspective Compensation from an employer can come in many forms including monetary and non-monetary income. Non-monetar
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ACC 640 Week Six A Business Perspective Ashford University ACC 640 Advanced Managerial & Cost Accounting Business Perspective Compensation from an employer can come in many forms including monetary and non-monetary income. Non-monetary income may have monetary value but not come in the form ...
acc 640 week six assignmentdocx business perspective ashford university acc 640 advanced managerial amp cost accounting business perspective compensation from an employer can come in many fo
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Business Perspective
Ashford University
ACC 640 Advanced Managerial & Cost Accounting
Business Perspective
Compensation from an employer can come in many forms including monetary and non-
monetary income. Non-monetary income may have monetary value but not come in the form of
accessible cash and may include stocks, bonds, increased amounts allocated to retirement plans,
vacations, vehicles, and likely many other forms are available for employers. Some employers
offer a management compensation plan which is tied to the performance of the organization. For
some this method of compensation has improved the performance of the company and some
have seen the opposite to be true in the long-term. Money can be a great motivator and a great
divider. By reviewing structure and policies surrounding management compensation based on
performance, comparing a company that saw success and a company that saw failure with this
form of compensation plan, we can devise suggestions for improvement on these policies to help
the unsuccessful company succeed.
Hewlett Packard is a well- known technology company which creates laptop and desktop
computers, printers, ink, and toner. The demand for technology is ever increasing and Hewlett
Packard quickly became a well-known name in computers and accessories and remains so today.
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The company seeks to create new and innovative solutions to the consuming public’s technology
needs. Hewlett Packard also works on the sustainability of their products while working to
ensure their environmental impact is minimal (Hewlett Packard Enterprise Comapny 2020 10-K,
2020). However, Hewlett Packard was created long before computers were available. Hewlett
Packard was founded in 1939 and made audio oscillators, with their first customer being a
personal favorite in Walt Disney. From the days predating computers to innovatively designed
computers Hewlett Packard is a well-known name in technology yet there was a time when they
offered incentive pay based on performance which failed and cost them unexpected money and
employee turmoil(Lagace, 2003). Hewlett-Packard company, as it stood in the early 1990’s, is
the reason it was chosen for this analysis.
Coca-Cola Company’s logo is one of the most recognized worldwide with a wide variety
of products, including my favorite Dr. Pepper, to which they have the license. In this day of
healthy food and beverage choices Coca-Cola has expanded their beverage selections to
accommodate a more health-conscious society. Despite what many may think the Coca-Cola
Company does not sell their finished products but instead sell their syrups, concentrates, and the
bases for their beverages to bottling partners who then bottle, package, market, and distribute the
finished products. As every executive officer of the company participates in the company’s
annual bonus plan giving every executive the opportunity to a cash reward based on company
and personal performance goals, this compensation plan has been successful for Coca-Cola for
many years (Schedule 14-A Coca-Cola Consolidated, Inc, 2020). For its continued financial
success while using a pay for performance compensation plan the Coca-Cola Company was
chosen as a successful example for this analysis.
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