Cost Analysis to Support Strategic Decisions

Course Info

Length: 1 Week

Type: Online

Available Dates

Fees

  • Apr-29-2024

    1,550

  • May-06-2024

    1,550

  • June-03-2024

    1,550

  • July-29-2024

    1,550

  • Aug-05-2024

    1,550

  • Sep-30-2024

    1,550

  • Oct-07-2024

    1,550

  • Nov-04-2024

    1,550

  • Dec-30-2024

    1,550

Course Details

Course Outline

5 days course

 

Introducing the Linkages Between Strategy and Costing

 

  • Managing contemporary organisation
  • Strategic Plan, Budgeting, Costing and Management Control
  • Management Accounting for organizational control systems
  • Responsibility accounting and the process-view
  • The context for costing
  • The Budget and its role for achieving organizational targets
  • What is it the situation in your organisation?

 

Cost Analysis and Classifications

 

  • Cost terms and classification
  • Inventoriable vs. period costs
  • Manufacturing vs non-manufacturing costs
  • Variable vs. Fixed costs (CVP analysis)
  • Direct vs. indirect cost
  • Under-costing and Over-costing problems
  • Problems and Examples – Case study illustration

 

From Cost Accounting to Management Control

 

  • Cost allocation: traditional costing and activity-based costing (ABC)
  • From traditional budgeting to Activity-based budgeting (ABB)
  • Activity-based management
  • Decentralized organizations
  • Cost/Profit/Investment centers
  • Transfer-pricing issues
  • Problems and Examples – Case study illustration

 

Flexible Budgets and Variance Analysis

 

  • The features of budgetary control
  • Define the master budget and explain its major benefits to an organization
  • Describe the difference between a static budget and a flexible budget
  • Compute flexible-budget variances and sales-volume variances
  • Explain why standard costs are often used in variance analysis
  • Integrate continuous improvement into variance analysis
  • Case study, problems and exercises

 

Linking Strategy to Actions: Beyond Costing

 

  • Shortcomings of traditional approaches to measurement
  • The Balanced Scorecard: linking Strategy to Performance Measurement
  • Financial perspective, Customer perspective
  • Internal Business Process perspective, Learning and growth perspective
  • Developing and adapting scorecard
  • Case study illustration

Course Video