Faculdade de Ciências Económicas e Empresariais
Universidade Católica Portuguesa
Management Control Systems
Fall 13 – 2nd Quarter
Ricardo F Reis (rireis@ucp.pt, skype: ricardo.f.reis)
Office hours: by appointment
Introduction:
This course is designed to introduce students to the general notions of control systems,
performance measurement and efficiency promotion inside a firm. These notions are heavily
supported by internal accounting concepts, techniques and tools, which are the first topic of the
course. In addition to this, the course covers the notions of budgeting and variance analysis,
decision making and ends advanced topics on control and strategy and corporate governance.
Course Objectives:
• Introduce students to cost allocations techniques.
• Illustrate examples of decision making processes based on efficiency problems
• Using information to design budgets and improve efficiency.
Contents
Week 1
Part I. Introduction to Costs
Management Control Systems: Introduction
Cost Terminology (2)
Cost-Volume Profitability analysis (3)
Week 2
Part II. Cost Allocation
Job-Costing (4)
Process Costing (17)
Activity-Based Costing and Activity-Based Management
Week 3
Part II. Cost Allocation (cont.)
Spoilage (18)
Support Departments (15)
Joint Products (16)
Week 4
Part III. Decision Making
Decision Making and Relevant Information (11)
Pricing Decisions and Cost Management (12)
Inventory and capacity analysis (9, 20)
Week 5
Part IV. Budgeting
Budgeting (6, 7, 8, 21)
Week 6
Part V. Control and Strategy
Balanced Scorecard (13, 19)
Decentralization and transfer price (22)
Part VI. Control and Finance
Performance Evaluation and Compensation
Scheduling
1st session
2nd session
3rd session
4th session
5th session
6th session
Class Organizations
• Lecture presentations and class discussion
• Slides, Handouts and all discussed materials will be made available at the courses
website
Grading: (GRADING ON THE CURVE)
• Depending on class size, class participation 10%
• Final exam 90%.
• Should the class size exceed an acceptable number of students to properly evaluate
participation, then students will be given assignments online (in which case the final
exam will weigh only 80%).
Readings and Manual:
YOU ARE REQUIRED TO ACQUIRE THE FOLLOWING MANUAL:
Cost Accounting, 14/E (or the latest European edition)
Charles T. Horngren, Stanford University
Srikant M. Datar
Madhav Rajan
Publisher: Prentice Hall
Copyright: 2012
You will need to register online ON MYACCOUNTINGLAB, to be able to complete the
online assignments. THERE WILL BE NO EXCUSES FOR IMPROPER REGISTRATION.
Other sessions and topics:
Additional readings and cases will be suggested and discussed throughout the course they will
be made available on the course’s website.
EXACT SCHEDULING OF THE COURSE STILL PENDING CALENDAR COORDINATION!