Management Accounting and Control in Service (5 cr)

Learning outcomes

The student is able to
- explain the importance of cost accounting and budgeting for decision making
- use key performance indicators in the service development context
- analyse customer profitability
- develop value-based pricing

Location and time

Online Zoom sessions:

Friday 4.2. at 16.30-19.30 (evening session)
Friday 4.3. at 16.30-19.30 (evening session)
Friday 18.3. at 9-16.30 (full day session)
Saturday 19.3. at 9-16.30 (full day session, team presentations)

Materials

Suggestions, Management Accounting books:
Drury, Colin. Management and Cost Accounting
Gowthorpe, Catherine. Management accounting
Atrill, Peter. Accounting and finance for non-specialists.
There are many other accounting books in libraries and online. Find books on Management Accounting (not Financial Accounting). You need a basic book on management accounting for the orientation and module 1 assignments.

Articles:
Tenucci, Andrea and Laine Teemu, 2016. CIMA report, The role of management accounting in servitisation: https://www.cimaglobal.com/Research--Insight/The-role-of-management-accounting-in-servitisation/

Laine, T., Cinquini, L., Suomala, P., & Tenucci, A. (2013, June). Roles of accounting and control in New Service Development within Servitization–a literature review and research implications. In Proceedings of the 2013 Naples forum on service-service dominant logic, network & systems theory and service science (pp. 18-21). http://www.naplesforumonservice.it/uploads//files/Laine%2CCinquini%2C%20Suomala%2C%20Tenucci.pdf

Laine, T., Paranko, J., & Suomala, P. (2012). Management accounting roles in supporting servitisation. Managing Service Quality: An International Journal.
https://tutcris.tut.fi/portal/files/1025738/laine_management_accounting_roles_in_supporting.pdf

Laine, Teemu; Cinquini, Lino; Suomala, Petri; Tenucci, Andrea. Roles of accounting and control in New Service Development within servitization - a literature review and research implications.
http://www.naplesforumonservice.it/uploads//files/Laine%2CCinquini%2C%20Suomala%2C%20Tenucci.pdf

More articles, videos and podcast links will be given when the course starts.

Teaching methods

This course includes lectures, workshops, individual assignments, writing and essay and working in teams on a chosen topic. All five modules are compulsory.

This course is offered online in Zoom in spring 2022.

Student workload

5 ECTS = 135 hours of student work
The course is divided into five modules. Estimated time required:

1. Orientation and Introduction to Management Accounting: 10 hours
2. Cost Accounting and Pricing (Excel assignments and discussion): 15 hours
3. Budgeting and Control (Excel budgets for case company): 35 hours
4. Essay: 40 hours
5. Team work, presentation, peer review: 35 hours

Content scheduling

4.2. at 16.30-19.30 (evening session): Orientation and management accounting basics, info about the assignments
4.3. at 16.30-19.30 (evening session): Cost accounting and pricing, Excel workshop
18.3. at 9-16.30 (full day session): Budgeting and control, Excel workshop
19.3. at 9-16.30 (full day session, team presentations)
Deadline for essay and budgeting assignment 22 April.

Evaluation scale

H-5

Further information

This accounting course is for students studying in different master's programmes. Students who have no background in accounting are also welcome. This course is about learning to "speak the language of accounting" which is the language of the management.

You will learn to explain the importance of cost accounting and budgeting for decision making, and you will learn to make Excel budgets for a small company.You will learn about different key performance indicators in the service development context, how customer profitability can be analysed, and you will develop your skills in cost accounting and pricing.