cod. 1001365

Academic year 2017/18
3° year of course - First semester
Academic discipline
Economia aziendale (SECS-P/07)
Type of training activity
63 hours
of face-to-face activities
9 credits
hub: PARMA
course unit

Learning objectives

The course goals are to develop an understanding of cost analysis, budgeting techniques and to strengthen business decision making skills.

With a successful completion of the course students will have mastered:

a) knowledge and understanding concerning the Managerial Accounting System, the introduction of Management Science (i.e. of Quantitative Approaches to Decision Making) based on MA information, the different Costing Methods and Techniques.
In addition, students will have acquired knowledge and understanding about the diverse methods and techniques of programming and planning, as well as about the Enterprise Resources Planning Systems supporting company decisions.

b) the ability of applying knowledge and understanding within the Planning and Control Department. Students will be capable to assist and support Management Accountants in determining the costs of product, service and so on, as well as in the preparation of Budgets and Financial Plans, and in the process of Decision Making.
the ability of applying knowledge and understanding assumes a working placement period, possibly a university organized internship (tirocinio curricolare).

c) the potential of Making judgements, to evaluate almost independently the issues and opportunities related to the many and varied methods of costing and budgeting and planning in business environments characterized by risk. Almost autonomously S/he will assist or support the controller in the definition of the economic and financial consequences arising from the use of different MA methodologies.

d) Communication skills consisting in the use of an appropriated technical language used to relate with those involved in the management and financial accounting. The students will have improved their problem-solving skills, the relational capacity and expression, both written and oral. The latter will allow them to liaise with business stakeholders and submit their conclusions regarding studies and analyzes, expressing clearly their reasoning.

e) Learning skills, the ability to undertake more advanced studies with a degree of autonomy, particularly with reference to the courses of Advance Management Accounting.


It is assumed in this course that students have an appreciation and good understanding of Financial Accounting and Statistical Methods. Hence suggested prerequisites are Accounting Theory, Financial Accounting, Statistics and Business English.

Course unit content

The course of management accounting emphasizes the internal business-building role of accounting and finance professionals who design, implement, and manage internal systems that support effective decisions, and support, plan, and control the organization's value-creating operations.

The course explores cardinal topics of management accounting in single- and multiple-period business settings also under market and company conditions characterized by risk.

The course covers the following topics:
1) Management Accounting Decision Theory
2) Cost Behavior and Cost Management Systems
3) Master Budget and Variance Analysis, Capital Budgeting, and the fundamentals of the advanced Managerial Accounting Tools.

Full programme

1. The Nature of Accounting Systems.
2. The Nature of Management Accounting.
3. The Behavior of Costs.
4. Contribution Margin and Cost-Volume-Profit Relationships.
5. Full Costs and Their Uses.
6. Additional Aspects of Product Costing Systems.
7. Activity-Based Costing.
8. Standard Costs, Variable Costing Systems, Quality Costs, and Joint Costs.
9. Production Costs Variance Analysis.
10. Other Variance Analysis.
11. Control: The Management Control Environment.
12. Control: The Management Control Process.
13. Strategic Planning and Budgeting.
14. Flexible Budgets and Performance Analysis.
15. Reporting and Evaluation.
16. Short-Run Alternative Choice Decisions.
17. Longer-Run Decisions: Capital Budgeting.
18. Longer-Run Decisions: Investment Evaluation.
19. Alternative Methods to Net Present Value and Decisions Tree.
20. Performance Measurement Systems in Organization.
21. Development of Management Accounting in the Italian and Foreign Scholar Literature.
22. Enterprise Information Systems, Web Information Systems, ERP Systems, Business Intelligence and DSS.


Andrea Cilloni (Editor), Programmazione e controllo, McGraw-Hill CREATE, 2017, ISBN 9781307084115.
Professor's lecture notes.
Suggested Reading:
Lino Cinquini, Cost Management, Volume I, G. Giappichelli Editore, 2017.

Teaching methods

The teaching will consist of lectures (Active Learning Techniques are didactically implemented), practice exercises and Businessmen seminars.

Assessment methods and criteria

Students will be examined and assessed on knowledge and skills taught directly on class materials covered during Lectures through a Final Written Exam.

More specifically, to assess knowledge of topics, communication skills, appropriate use of terminology and independence of judgment, students will be required to:
a) answer 1 extended open question (10 points);
b) answer 5 short open questions (2 points each);

As regards the applied perspective, knowledge and skills will be assessed through an application exercise (10 points).

As usual the Registrar schedules all final examinations, including deferred and supplemental examinations. The Registrar will post the schedules of final examinations as early in a term as possible.

Writing periods for final examinations usually start at 11 am. The class will have final examinations of 1 hour and 30 minutes duration.

Other information

Disability Support: any student with a documented disability condition (e.g. physical, learning, psychiatric, vision, hearing, etc.) who needs to arrange reasonable accommodations should contact me as soon as possible at the beginning of the semester. Students with special needs should also contact Disability Support Services on campus.