Institute of Business Management (IoBM)

PERFORMANCE MANAGMENT
COURSE OUTLINE

Course Code: XX
Total Credit Hours: 45
Duration: 30 sessions (weekday courses)

Course specifications

1. Overall aims of course

The main Aims of this syllabus is understanding of management accounting techniques in relation
to management functions and the application of financial information for control purposes. It
covers modern techniques, decision making, budgeting and standard costing, concluding with how
a business should be managed and controlled. The course outlines the development and
interpretation of data for decision making along with the techniques for performance appraisal and
operational research. The course is designed so that the candidates’ have the ability to design and
present plans and schemes to the management.

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2. Contents/ Learning Outcomes:

Topic

XX Introduction, Information, technologies and systems for organizational

performance

Intended Learning Outcomes

1. Explain the role of information systems in organizations.
2. Discuss the costs and benefits of information systems.
3. Discuss the procedures which may be necessary to ensure the security of highly
confidential information that is not for external consumption.
4. Identify the principal internal and external sources of management accounting
information.
5. Identify and discuss the direct data capture and process costs of management
accounting information.
6. Describe the characteristics (volume, velocity, variety) of big data.
7. Discuss the importance and challenges and risks of implementing and using big
data and data analytics in an organization.

Pedagogy

1) Power point presentation

2) Classroom discussion
3) handouts

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XX Management Accounting techniques

Intended Learning Outcomes

1. Identify the costs involved at different stages of the lifecycle.
2. Derive a life-cycle cost or profit in manufacturing and service industries.
3. Identify the benefits of life-cycle costing.
4. Learning of other accounting techniques and applying the calculations on selling
price estimates
 Kaizen
 Benchmarking
 Just-in-time
 Total Quality management

5. Analyzing the result

Pedagogy

1) Power point presentation

2) Classroom discussion
3) handouts

XX Throughput accounting and Environmental accounting

Intended learning outcomes
1. Discuss and apply the theory of constraints.
2. Calculate and interpret a throughput accounting ratio (TPAR) and how it can be
improved.
3. Apply throughput accounting to a multiproduct decision-making problem.
Pedagogy
4. Describe the different methods a business may use to account for its environmental
costs.

Pedagogy

1) Power point presentation

2) Classroom discussion
3) handouts

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XX Decision-making techniques- limiting factor
Intended Learning Outcomes
1. Identify limiting factors in a scarce resource situation and select an appropriate
technique.
2. Determine the optimal production plan where an organization is restricted by a
single limiting factor, including within the context of make-or-buy decisions.
3. Formulate and solve multiple scarce resource problems using both linear
programming graphs and using simultaneous equations as appropriate.
Pedagogy
4. Explain and calculate shadow prices (dual prices) and discuss their implications
on decision-making and performance management.

Pedagogy

1) Power point presentation

2) Classroom discussion
3) handouts

XX Decision-making techniques- Pricing decisions

Intended Learning Outcomes

1. Explain the factors that influence the pricing of a product or service.
2. Derive and manipulate a straight-line demand equation. Derive an equation for
the total cost function (including volume-based discounts)
3. Derive and manipulate a straight-line demand equation. Derive an equation for
the total cost function (including volume-based discounts).
4. Determine prices and output levels for profit maximization using the demand-
based approach to pricing (both tabular and algebraic methods).
5. Explain different price strategies, Including:
i) All forms of cost-plus
ii) Skimming
iii) Penetration
iv) Complementary product
v) Product-line
vi) Volume discounting
vii) Discrimination

Pedagogy

1) Power point presentation

2) Classroom discussion
3) handouts

XX

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XX Performance measurement and control and analysis in private sector
organizations

Learning Outcomes:

1. Describe, calculate and interpret financial performance indicators (FPIs) for

profitability, liquidity and risk in both manufacturing and service businesses.
Suggest methods to improve these measures.
2. Describe, calculate and interpret non-financial performance indicators (NFPIs)
and suggest methods to improve the performance indicated.
3. Analyze past performance and suggest ways for improving financial and
nonfinancial performance.
4. Explain and interpret the Balanced Scorecard, and the Building Block model
proposed by Fitzgerald and Moon.
5. Discuss the difficulties of target setting in qualitative areas.

Pedagogy

1) Power point presentation

2) Classroom discussion
3) handouts

XX Evaluation & Corporate Failure; and other considerations

Intended Learning outcome
1. Performance Pyramid approach
2. Activity-based management approach
3. Value-based management approach
4. Predicting & preventing corporate failure
5. Behavioral & technical considerations
Pedagogy

1) Power point presentation

2) Classroom discussion
3) handouts

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XX Divisional performance and transfer pricing with External considerations and the
impact on performance

Intended learning outcome

1. Explain and illustrate the basis for setting a transfer price using variable cost, full
cost and the principles behind allowing for intermediate markets.
2. Explain how transfer prices can distort the performance assessment of divisions
and decisions made.
3. Explain the meaning of, and calculate, Return on Investment (ROI) and Residual
Income (RI), and discuss their shortcomings.
4. Explain the need to allow for external considerations in performance
management, including stakeholders, market conditions and allowance for
competitors.
5. Suggest ways in which external considerations could be allowed for in
performance management.
6. Interpret performance in the light of external considerations.

Pedagogy

1) Power point presentation

2) Classroom discussion
3) handouts

XX
XX Risk and Uncertainty in decision making
Intended learning outcomes:
1. Sensitivity analysis of projects
2. Expected values for uncertain situations
3. Understand the sensitivity analysis and Expected values
4. Learn and interpret the results

Pedagogy

1) Power point presentation

2) Classroom discussion
3) handouts

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 XX Financial and non-financial measures of performance measurement
Intended learning outcome
1. Calculate the financial ratios and analyze the results
 Productivity measurement
 Cost quality indicators
 EVA
 NPV
 IRR
 MIRR
2. Understand the non-financial measures
 Balanced Score Card
 Customer satisfaction, quality control etc.

3. Apply the results on strategic decisions

Pedagogy

1) Power point presentation

2) Classroom discussion
3) handouts

XX not-for-profit organizations
intended learning outcomes
1. What is Not-for-profit Organization
2. Problems associated with not-for-profit organizations
3. The use of benchmarking and target setting in public sector
4. Understand the strategic layout of government/not-for-profit and organizations
5. Applying of the techniques

Pedagogy

1) Power point presentation

2) Classroom discussion
3) handouts

Teaching and learning methods

Lecture method shall be the primary mode of teaching, Practice sessions, may be used to make
concepts clearer .When deemed necessary evaluation methodology shall include quizzes,
assignments, mid-term and final examinations.

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 Assessment methods Objectives to assess.. Week Weight age
1 Quizzes Knowledge and 3, 4, 5 15%
understanding
2 Assignments Knowledge and 7,8,9 10%
understanding
3 Class Participation Attendance, Behavior 5%
4 1st Mid Term test Knowledge and 6 15%
understanding
nd
5 2 Mid Term test Knowledge and 11 15%
understanding
6 Final Examination Professional skills 16 40%
Total: 100%