MCRS-P10

MCRS-P10
PGDM 2010-12: Term-V

MANAGEMENT CONTROL & REPORTING SYSTEM
Prof. B. Mohanty

1. Course Objective

Given the objectives and strategies of an organization, one of the major tasks of the top management is to ensure that such objectives are broken up into sub-objectives and assigned to managers of organizational units and sub-units. In order that managers work in the interest of such sub-objectives, the organization must be given a system, which will help in clearly defining the tasks, in defining subunit boundaries, in providing reporting and accountability systems, in evolving appropriate control process and system for review and feedback. The course MCRS is intended to cover these aspects and thus help in forming a bridge between strategy and operating tasks. The course is so designed that students intending to pursue career in general management, in financial management, in management planning and control and in management information system are likely to benefit more out of this course than students intending to pursue careers in other areas.

2. Pedagogy

The course is designed to rely heavily on case method. The students are advised to prepare the cases before attending the class. For some sessions cases are accompanied by technical notes and handouts which should be read while preparing the cases. The cases and some of the readings are supplied in advance. In addition, sufficient copies of the book “Management Control System” by Anthony & Govindrajan,

12th

Edition will be kept in the Library. This will be used as the main text book. Besides, it is essential that students should read the following books kept in the reserve sequence of the library.

1) Maciariello and Kirby Management Control System Irwin

2) Mohanty B. Management Control System Macmillian

3) Mahinder Kaura Management Control System Response

4) Subhash Sharma Management Control TMH

3. Class Schedule:

Session No.	Topic	Lecture/Case	Reading for the session
1	Introduction	Lecture	AG-1 & 2
2	Organizational Objective	GE (Case-1)	AG- 3
3	Organizational Structure	Organization at Larsen & Turbo (Case-2)	AG-4
4	Responsibility Centers	BAC (Case-3)	A note on Responsibility centre
5	Responsibility Centers	EPL (Case-4)	Also AG-5
6	Cost Reduction and Cost Control Techniques	Lecture
7	Issues in Responsibility Centres	GAC (Case-5)	AG-6 Appraising Profit Center Managers*
8	Profit Centre & Transfer Pricing	OGC (Case-6)	AG-6 continuing
9	Profit Centre & Transfer Pricing	HLC (Case-7)	New system for Divisional Control (From HBR)*
10	Investment Centers	DBL (Case-8)	AG 7
11	Investment Centers	BPC, LMC and AC (Cases- 9,10 and 11)	The Case against ROI control (From HBR)*
12	Managed Cost & Benchmarking	PMC (Case-12)	Controlling Managed Cost
13	Problems in Controlling New Business	Norman Manufacturing Company
14	Tight Control Systems	TII (B) (Case -13)	Also AG-9, AG-10
15	Budgeting	IDCOL
16	Administration of MCS	PPM (Case-14)	AG 10 continuing, AG-11
17	Motivation & Control	RVPL (Case-15)	AG-11 continuing
18	Management Control in Project Organizations	Lecture	Management Control in Projects by B. Mohanty Also AG-16
19	Project Presentation
20	Project Presentation

* The Students are requested to go through EBSCO for readings from HBR.

Depending on the requirement other topics may be added in due course. Agency Theory, ZBB, etc. will be discussed depending on the interest of the students. The students will also work on a project to enrich their understanding of control practice. This will be a group project.

Important: Students are advised not to register for the course if they feel that they cannot devote adequate time for case preparation.

4. Evaluation

End-term Exam (Case) 30%

Group Project Work** 30%

Surprise Quiz

(Conceptual note & Book) 30%

Class Participation 10%

** Group Size will be decided later.

Created By: Debasis Mohanty on 08/19/2011 at 11:00 AM
Category: PGDM-II Doctype: Document

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