Modulhandbuch (Module manual)

Completion of the assessment level ​

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This module is structured around an ongoing online business simulation game where students get practical experience with budgeting and variance analysis. Therein, students - in small groups - take over as the management team of a manufacturing company. The ongoing and evolutionary scenario provides a set of decisions for which typical analytical tasks in management accounting are to be completed. These are designed to support decisions for example in

setting up budgets and completing variance analysis,

choosing which markets to enter and compete in,

whether to build new factories or outsource production to contract manufacturers,

investing in new product categories or in process improvements,

investing in marketing to compete for contracts of different sizes and terms,

taking on debt to fund growth, and/or

issues related to ethics and sustainability.

Simulation sessions are conducted in class and are accompanied by lectures and instructor guidance. Final group assignments include group presentations and corresponding seminar papers about insights from the simulation and analogous literature​.

​Students acquire knowledge in selected methods in management accounting, e.g. Budgeting, Variance Analysis, Profitability Analysis, Capacity Costing, and Make-or-Buy Decisions. The design of Key Performance Indicators receives further attention within the connecting framework of the ongoing business simulation game.​

​Students work with a range of analytical methods in quantitative and qualitative management accounting. Thereby they develop sound skills in processing and interpreting accounting information in different practical situations within the given simulation. Furthermore, they become aware of the value of analytical approaches for the decision making processes.

Practical skills are acquired in assessing and applying typical methods of management accounting by solving and discussing problems which are representative for existent business situations. Practical experience in group work and presenting in front of a familiar audience is also provided to students.

The ability to assess methods in management accounting is trained from the viewpoint of a decision maker within the simulation.​

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