A brief overview-by Helmy Adam

MANAGEMENT
ACCOUNTING
MANAGEMENT
ACCOUNTING
⦿As a Discipline 🡺management or
managerial accounting
⚫A set disciplines needed to provide and use
financial information (and combining with
non financial information) in managerial
process
⦿As a Profession 🡺 management
accountant
⚫Accountants work in corporate or
organization (as internal accountant)
 Management
Management Financial
FinancialAccounting
Accounting
Accounting
Accounting
1. Internally focused 1. Externally focused
2. No mandatory rules 2. Must follow externally
imposed rules
3. Financial and 3. Objective financial
nonfinancial informa- information
tion; subjective
information possible
4. Emphasis on the future 4. Historical orientation
5. Internal evaluation and 5. Information about the
decisions based on very firm as a whole
detail information
6. Broad, multidisciplinary 6. More self-contained
 Management Accountant in Organization
President

Line Function Staff Function

Production Vice Financial Vice

President President

Production
Supervisor Controller Treasurer

Machining Assembly Internal

Cost Financial Systems Tax
Foreman Foreman Audit
Management Accounting as A
Discipline/Subject
⦿PRODUCT COSTING
⦿PLANING
⦿CONTROLL
⦿DECISION MAKING
PRODUCT COSTING
� Financial Accounting Data Support
� Planning, Control, and Decision Making
Support
� Have been studied at COST
ACCOUNTING
COST ACCOUNTING-Course Content
⦿ Cost Accounting System
- cost accounting cycle
- Journal, GL, Financial Statement
⦿ Product Costing
- cost assignment : Actual, Normal, Std Costing
- Cost Accumulation : Job Costing, Process Costing,
Joint Costing
⦿ Cost Items Details
- Raw Materials Cost Acc
- Labor Acc
- Overhead Acc : Single Plant Wide, Departmental,
ABC
Management Accounting Course Outline-
Brawijaya Acc. Studies
⦿Planning
⦿Controlling
⦿Decision Making
MANAGEMENT ACCOUNTING vs
COST ACCOUNTING Course
MANAGEMENT Acc COST Acc
Objective Planning, Controlling, Product Costing
Decision Making
Informational Support Multiple information Financial and
Production Information
Informational Provided Management Financial Statement
Recommendation/Dec
ision
Relation both Using information from Providing information
Cost Acc to Management Acc.
PLANNING
⦿Budgeting
SKILL
1. Understanding BUSINESS CYCLE
2. PRODUCT COSTING Calculation
3. FINANCIAL STATEMENT
4. COST BEHAVIOR Calculation
5. ACTIVITY BASED MANAGEMENT
6. BUSINESS FORECASTING
CONTROLLING
⦿ Organization Structure Design
⦿ Performance Evaluation
⦿ Reward & Punishment
⦿ Feed Back Programming
⦿ Cost Reduction Strategy
SKILL
1. Budgeting & Standard Cost
2. Responsibility Accounting
3. Segmented Reporting
4. Performance Measurement
5. Quality Cost Management
6. Environmental Cost Management
7. Inventory Management
DECISION MAKING
⦿CPV Analysis
⦿Tactical Decision Making
⦿Capital Investment Decision
SKILL
1. Math. & Linear Programming
2. Variable vs Absorption Costing
3. Relevant Cost
4. Capital Budgeting
Management
Management Accounting
Accounting
Information
Information System
System (activities)
(activities)
Special Reports
Collecting Product Costs
Measuring Customer Costs
Storing Budgets
Analyzing Performance Reports
Reporting Personal
Economic
Managing Communication
Events
Inputs Processes Outputs

Users
Current Issues in Managerial
Accounting
⦿Competitive Advantages
⚫Cost Reduction Strategies
⚫Advance Technology in Manufacturing
⚫Industrial Revolution 4.0
⦿Social Responsibility
⚫Green Accounting/Carbon Accounting
SOFT SKILL
⦿ETHICAL BEHAVIOR
⦿COMMUNICATION SKILL
⦿PERSONALITY
ETHICAL BEHAVIOR
• Honesty
• Integrity
• Promise keeping
• Fidelity
• Fairness
• Caring for others
• Respect for others
• Responsible citizenship
• Pursuit of excellence
• Accountability
COMMUNICATION SKILL
⦿Language Skill (English & Indonesian)
⦿Presentation Skill
⦿Writing Skill
⦿Discussion Skill
PERSONALITY
⦿Personal Motivation
⦿Personal Improvement
⦿Team Work
⦿Managing Time
⦿Perfection
Current Issues in Management
Accounting
Product Costing Planning & Control Decision Making
Activity based costing Activity based Theory of constraint
management
Value-chain analysis Target costing
Quality cost
management
Productivity analysis
Lean manufacturing
Balanced scorecard