UNIT 15: FINANCIAL MANAGEMENT Unit code M/508/0527

Transcript:UNIT 15: FINANCIAL MANAGEMENT Unit code M/508/0527:
UNIT 15: FINANCIAL MANAGEMENT Unit code M/508/0527 Credit value 15 UNIT 15: FINANCIAL MANAGEMENT Learning Outcome 3: Evaluate the role of management accountants and accounting control systems. THE BASIC SYLLABUS 1 Apply different approaches used to support effective decision-making. 2 Analyse financial management principles which are used to support effective financial strategies. 3 Evaluate the role of management accountants and accounting control systems. 4 Evaluate ways in which financial decision-making supports sustainable performance. LEARNING OUTCOMES LO 3: Evaluate the role of management accountants and accounting control systems P3: Evaluate the role of management accountants and their value as part of an integrated system. Management accounting combines accounting, finance and management with the business skills and techniques you’ll need to add real value to any organisation. Management accountants are qualified to work across the business, not just in finance, advising managers on the financial implications of big decisions, formulating business strategy and monitoring risk – much more than just crunching numbers. OVERVIEW Management accountant used to work in the accounting department, additionally; they used to report to the controller (who is responsible of general financial accounting, managerial accounting and tax reporting, and he or she reports directly to the chief financial officer who is in return charge of all the organization financial concern and plays an important roles in overseeing the organization's financial matters) KEY FUNCTIONS OF A MANAGEMENT ACCOUNTANT Management accountant is located throughout the company and works in the cross functional teams which consist of employees presenting various function of the organization such as: R&D, design, production, marketing, distribution & consumer services, and they report to the vice presidents of various operations (Bamber et al, 2008) KEY FUNCTIONS OF A MANAGEMENT ACCOUNTANT The management accounting function exists to provide information to decision-makers, and to provide advice based on information that is provided. The information provided by management accounting covers all areas of strategy and operations, and includes information to assist with planning, control and other decision-making by management. The role of the management accountant today is more concerned with providing complex analysis and information to support business management than with providing routine reports, since much routine work is now computerised. KEY FUNCTIONS OF A MANAGEMENT ACCOUNTANT Developments in technology have also made it easier to provide accounting information to non-financial managers. At the same time the areas covered by management accounting have extended and broadened to include strategic information