ACCA - Professional Level - Advanced Performance Management

Explore external analysis and environmental influences, including macro factors. Explore risk and uncertainty analysis with maximin, minimax, expected value, and Porter's five forces, SWOT, and stakeholder mapping.

Examine how environmental factors shape organizational performance, including ethics in accounting, corporate social responsibility, and regulatory influences such as governance, consumer protection, and government policies.

Explore managing risk and uncertainty in performance management using sensitivity analysis, scenario planning, and computer simulation; apply expected value and minimax to optimize decisions.

Analyze risk and uncertainty in performance management using a two-way data table of demand and inflation to compute expected net profit, and apply maximin, minimax, and minimax regret decisions.

Learn advanced performance management budgeting concepts, including zero-based, activity-based, rolling, incremental, and fixed vs flexible budgets, plus variance analysis and forecasting techniques.

Analyze rolling budgets and a mix of budgeting methods - incremental, zero-based, and rolling budgets - and top-down and bottom-up approaches, with a focus on marketing campaigns and activity-based budgeting.

Explore planning and operating variances in budgeting for ACCA professional level advanced performance management, covering traditional, material price and usage, and labor variances with revision and planning insights.

Explore budgeting and forecasting methods, including the high-low, regression, time-series, and index-number approaches, and apply the learning-curve model to labor, material, and total cost planning and variances.

Explore functional, divisional, and virtual organizational forms, and evaluate centralized versus decentralized control, information systems, benchmarking, and business process re-engineering to drive performance management.

Examine the virtual organizational form and outsourcing in a network structure, illustrated by Amazon, using key performance indicators to guide planning, control, and service level agreements, with responsibility accounting.

Explore how complex business structures like joint ventures and strategic alliances affect performance management, planning, and control, including KPIs, balanced scorecards, cost sharing, and ERP-driven information systems.

Explain how to distinguish performance measurement from performance management, set KPI and service levels for employees and strategic partners, and use integrated IT tools to improve end-to-end processes.

This lecture covers value chain and value stream mapping, outlining primary and secondary activities—logistics, operations, marketing, and services—and inbound/outbound logistics, infrastructure, hr, technology, and procurement, with key performance indicators.

Analyze Camila's guitar amplifier case through value chain analysis, balancing master craftsmen versus cheaper pre-assembled boards, assessing value-added versus non-value-added activities, and leveraging digital marketing for growth.

Explore hard and soft elements shaping strategy, structure, and systems; apply porter’s value chain and business process reengineering to boost performance and align key performance indicators with organizational culture.

Learn how information technology and ERP transform internal and external data into management information systems, including transaction processing, executive information, and decision support, with emphasis on data accuracy and timeliness.

Explore how information technology supports managerial decisions by leveraging internal and external data, including the Imai price index and escalation clauses, with accuracy, timeliness, relevance, and cost-effectiveness.

Learn how management information systems integrate internal and external data to support top management decisions through transaction processing systems, decision support systems, and expert systems within ERP environments.

This lecture explains the need for information systems beyond manual spreadsheets, covering MIS, ERP, and activity-based costing, plus just-in-time and lead-time reduction with a Zara case.

Explore how local area networks connect computer systems across a business, enabling data sharing and department communication to support performance management, while considering internet advantages and confidentiality.

Explore cloud computing, public and private clouds, ERP access from home, data mining with data warehouses, and data analysis to support management accounting decisions.

Explore how enterprise resource planning (erp) systems like sap and oracle integrate finance, production, and materials management, enabling real-time data, variance analysis, and knowledge-based decision making for management accountants.

Explore how customer relationship management using information technology collects data, builds profiles, and drives loyalty and targeted marketing, with crm building blocks, rfid, and process automation.

Explore how artificial intelligence, machine learning, and big data transform accounting through automation, predictive models, and data analytics, with implications for variance analysis and decision making.

Explore how big data from Facebook and social media analytics drives performance management, customer acquisition, and decision making, using Excel pivot tables and data science roles.

Explore how to design and present ABM performance reports combining financial and non-financial data, using Excel and Power BI to tailor insights for management, production, and marketing.

Analyze a restaurant performance report in monetary terms to identify missing non-financial data and develop improved visualization, budgeting benchmarks, and KPI dashboards.

Examine quantitative and qualitative data challenges—collection, processing, reporting quality, and KPI interpretation—for performance reports and management accounting decisions.

Examine how the organization of people shapes reward systems, accountability, and performance metrics in performance management. Explore how budgeting, Six Sigma, and human resources influence promotions, incentives, and strategic outcomes.

Explore how expectancy theory motivates performance by linking reward value, expectancy, and instrumentality, then examine Maslow’s hierarchy of needs and the drive for self-fulfillment.

This lecture outlines two objectives of a profit-seeking organization: wealth maximization and profit maximization. It links shareholder value to stock price and surveys margins, NPV, IRR, and EPS.

Learn key financial performance measures like gross and operating profit, ROCE, and EPS, with trader versus manufacturer cost of goods sold, plus margins and depreciation effects.

Explore profitability, liquidity, and risk metrics such as asset turnover, price-earnings ratio, NPV, profitability index, current and quick ratios, and inventory, receivable, and payable days for project appraisal.

Explore net present value calculations at 15% and 10%, assess sensitivity and scenario analyses, and review a solar panel case with benchmarking and the forthcoming internal rate of return.

Explore internal rate of return and MIRR, IRR limitations, NPV and reinvestment assumptions, discount rate, and applying to performance management and working capital.

Analyze the BBG Ltd brand and Portland divisions' 2018–2019 financial performance, computing ROCE, margins, gearing, and asset turnover while identifying drivers of losses, growth, and performance improvement opportunities.

Assess short-term and long-term financial performance of two water subsidiaries, evaluating profit margin, return on capital employed, and asset turnover, with insights on a common MIS and KPI-driven reporting.

Explore financial performance measures for private sector and government contexts, including gross profit, operating profit, EBITDA, NPV, IRR, and return on capital employed.

Explore how divisional structures impact performance appraisal, with ROI, residual income, and economic value added, and learn about responsibility accounting, transfer pricing, and value-based management.

Compare return on investment, and return on capital employed, highlighting aging assets and intangibles, with residual income using imputed interest and cost of capital; introduce economic value added.

Explore economic, efficient, and effective performance in not-for-profit and public sector contexts. The lecture covers value-for-money audits, performance measurement, and benchmarking to set priorities and improve resource use.

Explore project appraisal in advanced performance management: compute ROI, residual income, NPV, and depreciation using straight-line and annuity methods under varying cost of capital and best and worst outcomes.

Learn how economic value added differs from residual income by adjusting operating profit for cost of capital, using economic depreciation, and capitalizing long-term expenditures to reveal true value creation.

Explore value based management and its focus on shareholder value by identifying value drivers, optimizing operating margin, and aligning performance metrics and balance scorecards.

Explore divisional performance and transfer pricing under spare capacity and full capacity, weighing marginal cost and opportunity costs against external prices, and design information systems to support decision making.

Explore transfer pricing concepts in a multi-division organization, focusing on market price, arm's length pricing, surplus capacity decisions, and opportunity costs to align division goals with overall profit.

Analyze transfer pricing and division strategies across multinational groups to optimize tax outcomes. Explore arm's length pricing, dividends, and cross-border taxation effects on profit before tax.

Explore performance management in not-for-profit organizations, focusing on non-financial metrics, benchmarking in the public sector, and value-for-money analysis of donations.