Management Accounting

Do you like T-accounts and financial statements? Do you love huge complicated Excel spreadsheets that tell you what is the right or wrong decision? If so, this might not the class for you. This class is about management.

Accounting only serves as the basis to provide us with the figures we need to discuss and support decisions. The figures will only be one part of the equation. It will be rare in this class to obtain a mathematically correct solution. We will focus on the behavioral issues of management accounting instead. This will allow us to illustrate some of the real problems of management accounting in large corporations, for example drowning in huge amounts of reporting information which hardly anybody in the organization understands anymore; or eliminating profitable or strategically important products or services because a management accounting systems which produces endless mountains of opaque figures “proves” these items are not really making money.

We will be using a number of specific management accounting tools, including Excel spreadsheets, to realize the inherent conflict of interests and anticipate the resulting management behavior. It is here where the theoretically correct solution might not necessarily be the preferred solution. In addition, theoretically correct solutions might look quite different in distinct cultural environments. A German management accountant might have a different idea on how to determine product costs or on the relevance of these product costs for the pricing decision than his American colleague.

With this behavioral approach, this class is meant to prepare you for real-world decision situations where the management accountant recommends a certain course of action based on figures only he or she fully understands. In these situations, it is crucial that you can ask the right questions, demand that the problem should be analyzed again from a different angle, and realize which of the available management accounting tools is suitable for which context.

  • Understand the major tools Management Accounting has to offer
  • Discuss the behavioral implications of Management Accounting Information
  • Being able to define a suitable corporate financial top-down objective
  • Define appropriate financial objectives for different organizational units such as production and sales units
  • Realize the key steps and ingredients of the budgeting process
  • Identify the different approaches to determine product costs and understand the usefulness of these approaches in different decision situations
  • Gain an appreciation of the influences of budgeting and systems of Performance Evaluation on management behavior and organizational functioning

Yvonne Krack

Marketing Manager Executive Education



2019-05-25 / 2019-05-25
2019-05-26 / 2019-05-26
2019-06-26 / 2019-06-26
Place Düsseldorf
Language English
Price 2.195 €