Your SlideShare is downloading. ×
0
Pcm   Mngt Acctg Conclusion
Pcm   Mngt Acctg Conclusion
Pcm   Mngt Acctg Conclusion
Pcm   Mngt Acctg Conclusion
Pcm   Mngt Acctg Conclusion
Pcm   Mngt Acctg Conclusion
Pcm   Mngt Acctg Conclusion
Upcoming SlideShare
Loading in...5
×

Thanks for flagging this SlideShare!

Oops! An error has occurred.

×
Saving this for later? Get the SlideShare app to save on your phone or tablet. Read anywhere, anytime – even offline.
Text the download link to your phone
Standard text messaging rates apply

Pcm Mngt Acctg Conclusion

298

Published on

Published in: Business, Technology
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total Views
298
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
2
Comments
0
Likes
0
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
No notes for slide

Transcript

  • 1. Conclusion Management Accounting Benoit SENAUX [email_address] 1-A-006
  • 2. Different methods for different uses
    • Full-costing
      • Long-term strategic decisions (e.g. products portfolio)
      • Ensuring that all the costs are covered by selling price
    • Variable / direct costing & CVP analysis
      • Short-term decisions (e.g. accepting an exceptional order)
      • Calculating break-even point
      • Simulating the impact of decisions
        • change in volume, change in selling price / variable cost
    • It is usually interesting to use both method
  • 3. Limitations
    • Full-costing
      • Complex and opaque
      • Allocation of indirect costs could be questionable (conventions)
      • Calculating fixed costs per unit is questionable (which volume?)
    • Variable / direct costing
      • Risk of forgetting (indirect) fixed costs
      • Fixed costs may not be so fixed (and increasing the number of products with small contribution may lead to decreasing profit)
      • Break-even point when more than one product is questionable
  • 4. Conclusion
    • Those tools are useful and used
    • … but you need to be aware of their specific limitations..
    • … and keep them in mind when making decision.
    • Change in the economic context make activity based costing all the more interesting:
      • Process perspective (transverse vs. vertical/departmental)
      • More and more complex and personalised ‘products’ (and thus ‘production’ process)
      • Increase weight of indirect fixed costs which cannot be ignored
  • 5. Other way of costing
    • Target costing:
      • Especially during development phase
      • Starts from a market perspective (=> selling price)
      • Considers the whole product life cycle (conception but also recycling etc.)
  • 6.  
  • 7.
    • Common courses:
      • Management accounting (PCM or Bachelor)
      • Pilotage de la performance / Managing Performance (Master)
    • Electives (master) :
      • Contrôle de gestion et mesure de la performance
      • Contrôle de gestion et pilotage de la stratégie
      • Contrôle de gestion et système d’information
    Management control courses at SupdeCo

×