Module description
What is the module about?
The module builds upon the key elements of management accounting systems learnt in year one by introducing new topics and techniques, such as transfer pricing, performance measurement, strategic management accounting and environmental management accounting. The module places the management accounting tools learnt in year one in a broader strategic and behavioural perspective, combining calculation and critical discussion. It examines how the information produced by management accounting systems can be used in various decision-making processes and for planning and control purposes, often with unintended consequences. Tutorials will combine quantitative exercises and case studies, with a strong focus on interpretation of results and critical discussion.
Who should do this module?
It requires some background in accounting and financial management, as a pre-requisite. Students with an interest in how accounting tools can support business decisions and who are keen to gain knowledge of real-world applications of such tools will enjoy this module. The module is normally concluded by a practitioner lecture given by CIMA, which gives students insights into the future of the finance function as well as advice on pursuing a professional qualification as Management Accountant.
Provisional Lecture Outline
Lecture 1: Introduction: the changing roles of management accounting
Lecture 2: Cost classification and income reporting methods
Lecture 3: Traditional costing systems vs. activity-based costing
Lecture 4: The limits of activity-based costing and activity-based management
Lecture 5: Tips about individual coursework
Lecture 6: Budgeting, better budgeting, and beyond
Lecture 7: Financial performance measurement
Lecture 8: Transfer pricing
Lecture 9: Non-financial performance measures and the Balanced Scorecard
Lecture 10: The future of the finance function. Challenges for the future
Assessment details
80% Examination
20% Coursework
Teaching pattern
Weekly lecture
Weekly tutorial
Suggested reading list
Burns, J., Quinn, M., Warren, L. & Oliveira, J. (2013). Management Accounting. London: McGraw-Hill.
Additional readings will be available through the online reading list.