ACCOUNTING

Lehighton Chalk Company manufactures sidewalk chalk, which it sells online by the box at $50 per unit. Lehighton uses an actualcosting system, which means that the actual costs of direct material, direct labor, and manufacturing overhead are entered into workinprocess inventory. The actual application rate for manufacturing overhead is computed each year; actual manufacturing overhead is divided by actual production (in units) to compute the application rate. Information for Lehightons first two years of operation is as follows:Year1Sales (in units)Production (in units)Production costs:Variable manufacturing costsFixed manufacturing overhead Year 2

 

Competency

  • Establish a change-control process to assure formal approvals.

Scenario

Your company has recently completed its annual revenue report which details profits and losses. It was noted that the IT department had a considerable amount of unaccounted for expenses related to sustainment expenditures due to systems change. The companies CIO has determined that the reason may be related to a failure of the “Change Management” process.

You have been hired as a MIS consultant that specializes in Change Management. Your job is to provide the CIO with a Change Management planning strategy with the intent of reducing excess cost related to changes in the IT environment. The Change Management strategy must include processes, responsible stakeholders, resources, risk assessment and quantifiable performance metrics.

Instructions

Provide the CIO with a Change Management strategy document

  • Create a Change Management project scope statement that identifies processes, responsible stakeholders, resources, risk assessment and quantifiable performance metrics.
  • The risk assessment component should discuss the risks associated with change in the IT environment.
  • Use tools such as SmartArt, Power Point, tables, charts or any other visual aid that help place emphasis on key points.

Your document must be created using Microsoft Word. Your document should be a minimum of 3-5 pages not including the title and reference page. Your document must include a table of contents.

Resources (if needed)

The Impact of Change Management in Organizations

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