Slp 1
De Beers is a company that deals with diamond. Their duties involve mining of diamonds, hops, trading of diamond and manufacturing of diamond industrially. In addition, they dig up pits to trace diamond from the underground, alluvial in large scale deep sea and coastal mining. Although the company is based in the United States of America, the diamonds are mainly gathered from African countries (Epstein, 1982). These countries include Namibia, Botswana, South Africa, Angola and also Canada (which is not an African country). De Beers was founded as a family business by Rhodes Cecil. Arguably, Rhodes had been given finances by Beit Albert. Additionally, the management sort to control the diamond gems because it was a monopoly in the diamond business (Epstein, 1982). This became possible after they build and consolidated the monopoly around the globe over the industry of diamonds. However, there were controversies over the pricing of the diamonds during the initial stages. The company also was alleged to promote the World War II because they did not release diamonds that were industrial. In summary, De Beers Company deals with diamond and has an effective managerial department that stands out compared to other organizations.
The company De Beers deals with diamonds gem stone. This gem is precious and said to be the most expensive. In addition, the company managed to sell this precious stone by simply saying that Diamond is forever.” These phrases were said in an advert where they made everyone see the essence of the stone (Creg, 2007). Moreover, they were able to make people believe that an engagement ring outs to have a diamond stone. This means that diamond is a symbol of love. In addition, De Beer has been able to distribute the diamonds to all parts of the country at a high price, including Africa where the diamonds originate. De Beer is in charge of mining diamond from Africa and taking them into their company. They sort them depending on their color and size them process it into different jewelry. The company made the stone appears precious by holding it and only sold few. This made it seem scarce yet they had plenty. Therefore, the gem became only accessible to the rich. However, today, most people wear diamond as different kinds of jewelry. In summary, the company was able to sell diamond at a high price all over the world.
In De Beer, managerial accounting department helps in making of decisions. This means that they are part of the planning process. They also take part in the implementation of the strategies that are formulated and give financial reports (Van der Merwe, 2006). In addition, the managerial accounting has aided this company in planning and controlling because it helps make decisions that will enhance the performance of the company. Moreover, they promote advanced management and place an emphacy on the strategic management used by other partners. In addition, they accounting managers help see the future because they are able to identify the risks that are a threat to the objectives of the organization. Unlike other organizations, De Beers ensures that the accounting managers are knowledgeable by frequently taking them for trainings. This makes them exposed to the happenings on the ground and so their wits are sharpened. Additionally, the managerial accounting in De Beers help in obtaining the value as they focus on the way forward for the company. Therefore, the managerial accounting department in De Beers has an important role in all its activities.
In conclusion, De Beers is a company that deals with diamond gems that are used in the making of jewelry. They mainly get the gems from African countries but largely distribute to the American states. They sort them depending on their color and size them process it into different jewelry. The company made the stone appears precious by holding it and only sold few. This made it seem scarce yet they had plenty. In addition, the managerial accounting has aided this company in planning and controlling because it helps make decisions that will enhance the performance of the company. This makes it different from all other companies. In summary, De Beers Company deals with diamond and has an effective managerial department that stands out compared to other organizations.
References
Creg, D. (2007). The Blood Diamond. New York: Prentice Hall Publishers.
Epstein, E. (1982). The rise and fall of diamonds: the shattering of a brilliant illusion. London: Sage Publishers.
Van der Merwe, A. (2006). Management Accounting – Approaches, Techniques, and Management Processes. New York: Thomas Reuters RIA Group
