AF3U093 - Performance Management 01 Sep 2019 - 31 Aug 2020 | Version 1
Associated Module Information
| Module Code: | AF3U093 | ||
|---|---|---|---|
| Module Title: | Performance Management | ||
| Faculty: | Faculty of Business and Society | ||
| Faculty Group: | Law, Accounting and Finance | ||
| Faculty Sub Group: | Accounting (old) | ||
| Module Leader: | |||
| Module Team: | |||
| First Intended Intake: | SEP 2019 | Final Year of Intake: | |
| Date Closed: | |||
| Credit Value: | 30 | Credit Level: | 6 |
| Language: | English | ||
| Percentage of Module Taught in Welsh: | 0 | ||
| Equivalent Module: | |||
| HECOS codes: | 100836 - management accountancy | ||
| HECOS Code Weighting: | 100 | ||
Document Version Information
| Version | 1 |
|---|---|
| Valid From | 01 Sep 2019 |
| Valid To | 31 Aug 2020 |
Module Aims
This paper is one of nine papers that form the Fundamentals level of the ACCA professional examination scheme. Successful completion of the internal assessments for this paper will allow a student to claim exemption from ACCA’s F5 paper. Students may opt to sit ACCA’s external equivalent of this paper.
To develop knowledge and skills in the application of management accounting techniques to quantitative and qualitative information for planning, decision-making, performance evaluation and control.
Content Summary
The syllabus for Paper F5, Performance
Management, builds on the knowledge gained in Paper F2, Management Accounting. It also prepares candidates for more specialist capabilities which are
covered in P5 Advanced Performance Management.
The syllabus begins by introducing more specialised management accounting topics. There is some knowledge assumed from Paper F2 – primarily overhead treatments. The objective here is to ensure candidates have a broader background in management accounting techniques.
The syllabus then considers decision-making. Candidates need to appreciate the problems surrounding scarce resource, pricing and make-or-buy decisions, and how this relates to the assessment of performance. Risk and uncertainty are a factor of real-life decisions and candidates need to understand risk and be able to apply some basic methods to help resolve the risks inherent in decision-making.
Budgeting is an important aspect of many
accountants’ lives. The syllabus explores different budgeting techniques and the problems inherent in them. The behavioural aspects of budgeting are important for accountants to understand, and the syllabus includes consideration of the way individuals react to a budget. The preparation of fixed, flexible and incremental budgets is assumed knowledge from F2.
Standard costing and variances are then built on. All the variances examined in Paper F2 are assumed knowledge in F5. Mix and yield variances, and planning and operational variances are explored here and the link is made to performance management. It is important for accountants to be able to interpret the numbers that they calculate and ask what they mean in the context of performance.
The syllabus concludes with performance
management systems, measurement and control. This is a major area of the syllabus. Accountants need to understand how a business should be managed and controlled and how information systems can be used to facilitate this. They should
appreciate the importance of both financial and non-financial performance measures in management. Accountants should also appreciate the difficulties in assessing performance in divisionalised businesses and the problems caused
by failing to consider external influences on performance. This section leads directly to Paper P5.
All of the subject areas covered in this syllabus could be examined in either a public sector or private sector context.
Learning and Teaching Methods
| Activity Type | Hours |
|---|---|
| Seminar | 50 |
| Independent Study | 90 |
| Directed Study | 150 |
| Formative Assessment - Scheduled | 10 |
| Total Hours Selected | 300 |
Learning Outcomes
| # | Learning Outcome |
|---|---|
| LO1 | Explain and apply cost accounting techniques. |
| LO2 | Select and appropriately apply decision-making techniques to evaluate business choices and promote efficient and effective use of scarce business resources, appreciating the risks and uncertainty inherent in business and controlling those risks. |
| LO3 | Identify and apply budgeting techniques and evaluate alternative methods of budgeting, planning and control. |
| LO4 | Use standard costing systems to measure and control business performance and to identify remedial action. |
| LO5 | Identify and discuss performance management information systems and assess the performance of a business from both a financial and non-financial viewpoint, appreciating the problems of controlling divisionalised businesses and the importance of allowing for external aspects. |
| LO6 | Display competence in a range of soft/transferable skills |
Module Requisites
N/A
Assessment Criteria
| Assessment Category | Assessment Type | Description | Duration | Word Count | Weight (%) | Best of? | Pass Mark |
|---|---|---|---|---|---|---|---|
| Written Examination | Written Examination - Closed Book (Unseen) 1 | 195 | N/A | 70 | No | 40 | |
| Written Assignment (CW) | Report (CW) 1 | 0 | 2000 | 30 | No | 40 |
Assessment Matrix
| Assessment Type | Learning Outcomes | |||||
|---|---|---|---|---|---|---|
| LO1 | LO2 | LO3 | LO4 | LO5 | LO6 | |
| Written Examination - Closed Book (Unseen) 1 | ✔ | ✔ | ✔ | ✔ | ✔ | ✔ |
| Report (CW) 1 | ✘ | ✘ | ✘ | ✘ | ✘ | ✘ |