Content, progress and pedagogy of the module

The purpose of this module is to provide knowledge of the theory and practice of management accounting and risk management. It is important for CFOs, controllers, auditors, and management accountants to understand and be able to make decisions regarding a company’s financial position. Such decisions are best taken when management accounting information, such as cost allocation, performance measurement, risk assessment, and profitability data related to customers, products, and suppliers are available and applied effectively. The module covers various approaches of applying such management accounting information. It introduces the Danish-developed Variability Accounting System (variabilitetsregnskabet) alongside various contemporary performance management approaches that organizations employ in navigating today’s complex business environments.

The module will also provide the basics of risk management and its role in companies’ business environment, governance, and management control. This involves the frameworks and procedural foundations of risk management together with the compliance with regulatory and professional standards. Approaches to identifying, assessing and prioritizing risks are introduced that facilitate managerial decision-making and choices between alternative business strategies and operations of an organization. Students will develop an understanding of the dynamics and technical applications of risk management, and how these can be integrated with management control systems to create a more resilient and value-driven organization.

Learning objectives

Knowledge

The objective is that the student after the module possesses the necessary knowledge on:

• the relevant concepts of management accounting
• the various management accounting methods in cost, performance, and profitability analysis
• the frameworks and procedural foundations of risk management

Skills

The objective is that the student after the module possesses the necessary skills in:

• using management accounting information in decision-making
• carrying out cost, performance, and profitability analyses
• identifying and assessing various risks associated with the strategy, environment and operations of an organization

Competences

The objective is that the student after the module possesses the necessary competences in:

• choosing between and critically assessing the available accounting methods and frameworks for particular decision-making situations
• developing and employing risk management and assessment procedures in the organization

Type of instruction

For information see § 17.

Exam

Exams