Course detail

Controlling

ÚSI-REROPAcad. year: 2022/2023

The course focuses on the following areas: controlling as a subsystem of corporate management, the aims and functions of controlling, operations-oriented controlling and strategic controlling.

Language of instruction

Czech

Number of ECTS credits

5

Mode of study

Not applicable.

Guarantor

doc. Ing. Ondřej Žižlavský, Ph.D.

Department

Faculty of Business and Management (FP)

Learning outcomes of the course unit

Knowledge: The student will be able to explain the role of controlling and the controller in an organisation. They will know how to explain complicated cost allocation procedures and assess their advantages and disadvantages. They will know the basics of drafting corporate statements and giving management presentations. They will be able to use tipping point analyses and solve problems with the provided rebate. They will be able to analyse deviations from established plans.
Skills: The student will be able to handle multi-step calculations of contributions to cover fixed costs and create profit. They will be able to use tipping point analyses and solve problems with the provision of discounts. They will be able to analyse deviations from established plans. From the results of their analyses the student will be able to produce a report on the economic performance of a specific department within a company.
Abilities: The student will be able to orient themselves within financial statements and calculations, make oral presentations on their work and carry responsibility for the correctness of their results.

Prerequisites

The ability to solve equations, calculate the minimum and maximum values of functions, and work out function graphs in various rasters. Knowledge of the relationships of graphs with numerical formulations, knowledge of the structure and creation of a corporate annual plan, including the relations among its parts, knowledge of account sheets, product cost calculations, corporate information systems and managerial functions.

Co-requisites

Not applicable.

Planned learning activities and teaching methods

The course is made up of lectures that explain the basic principles, problems and methods of the discipline. The lectures combine theory with the illustrative solution of example exercises.

Assesment methods and criteria linked to learning outcomes

Requirements for gaining the credit

  • Active participation in seminars, individual assessment by the teacher – calculation of examples (set in e-learning), presentation of approaches and results.
  • 1 credit test at previously set date. The test will include 4 examples, the maximum score fromthe test is 40 points. To pass the test a score of at least 50%, i.e. 20 points, is needed. The test can only be resat once. 


Examination requirements:

  • Knowledge is verified by a written examination. Only students who have applied in IS and have the credit entered will be allowed to sit the examination. The examination is made up of 2 theoretical questions and 1 case study, or 1 complex example. The examination lasts 60 minutes. The maximum score for the examination is 100 points. The resulting assessment of the course is the sum of the points scored from the seminars and the examination. The examination is classified according to the ECTS scale. Incorrect or illegible answers are assessed as unsatisfactory.

Course curriculum

The essence and tasks of controlling. Operations-oriented planning. Systems for calculating costs. Analysis of deviations, controller’s reports, management of corrective measures. Modern calculation systems. Strategic controlling (necessity and characteristics). Multi-year planning, analysis and control, constant management of potential. Controlling risk. Controlling research and development. Integration of the Balanced Scorecard into the system of controlling.

Work placements

Not applicable.

Aims

The main objectives of the course are to introduce controlling as a subsystem of corporate management, the economic management activities of a company that are focused on achieving the business plan, the functions of controlling and its basic areas, the fundamentals of operations-oriented controlling and strategic controlling, the fundamentals of financial controlling, and the controlling of research and development.

Specification of controlled education, way of implementation and compensation for absences

Attendance at lectures and seminars, including credit tests, is mandatory. Attendance is checked via tests and an attendance sheet.

Recommended optional programme components

Not applicable.

Prerequisites and corequisites

Not applicable.

Basic literature

ESCHENBACH, Rolf a Helmut SILLER. 2012. Profesionální controlling: koncepce a nástroje. 2., přeprac. vyd. Překlad Jaroslav Rubáš. Praha: Wolters Kluwer Česká republika, xiv, 381 s. ISBN 978-80-7357-918-0. (CS)
HORVATH & PARTNERS. Nová koncepce controllingu: cesta k účinnému controllingu. 2004. 1. české vyd. Praha: Profess Consulting, 288 s. Poradce controllingu. ISBN 80-725-9002-2. (CS)
MERCHANT, Kenneth A a Wim A VAN DER STEDE. 2012. Management control systems: performance measurement, evaluation and incentives. 3rd ed. New York: Financial Times/Prentice Hall, 815 p. ISBN 02-737-3761-9. (EN)
ŽIŽLAVSKÝ, O. Controlling. Studijní text. Brno: Cerm, 2014. s. 1-112. ISBN: 978-80-214-4857-5. (CS)

Recommended reading

Not applicable.

Classification of course in study plans

  • Programme RRTES_P Master's

    specialization RRES , 2 year of study, summer semester, compulsory

Type of course unit

 

Lecture

26 hod., optionally

Teacher / Lecturer

doc. Ing. Ondřej Žižlavský, Ph.D.

Syllabus

The basic topics of the lectures are as follows:
1. The essence and tasks of controlling. Materials for controlling. Controlling as a subsystem of enterprise management. Controlling functions. The controller in the enterprise – updating the position in the company.
2. Operational controlling: management accounting and enterprise planning, system of budgeting, annual planning (including writing the annual plan, rabat). Updating the definition of requirements for the controlling system.
3. Operational controlling: single-step and multi-step calculations of contributions to cover fixed costs and create profit.
4. Operational controlling: information security of managers, flexible plan of costs, deviation analysis, control.
5. Operational controlling: modern system of budgeting - Activity Based Budgeting, Advanced Budgeting: Better and Beyond.
6. Operational controlling: Managing corrective actions to fulfil planned objectives, including value analysis.
7. Strategic controlling: multi-year planning (the connection between strategic, multi-year and annual plans). The development and realisation of strategy.
8. Selected instruments for strategic controlling.
9. Strategic controlling: information security of managers, analysis and control. Permanent management of potential. Managing corrective actions to fulfil objectives.
10. Strategic controlling: Recommended approaches to introducing controlling, incorporating controlling in the enterprise’s hierarchy, the process of controlling, examples from practice.
11. Controlling risks: definition of basic terms, general approach to risk management, risk management with the aid of the RIPRAN method.
12. Controlling research and development: definition of innovation, the innovation process, the effects of innovation, the project approach, financial vs. non-financial indicators, systems of indicators.
13. Integrating the Balanced Scorecard into the controlling system: key problems, integration of the BSC into strategic and operational planning, reporting, interconnection of methods of controlling with the Balanced Scorecard.

Exercise

13 hod., compulsory

Teacher / Lecturer

Ing. Jakub Kopecký

Syllabus

The content of the seminars covers the topics from the lectures and work on the assigned tasks.

  1. Tipping point analysis calculations in planning.
  2. Multi-step calculations of contributions to cover fixed costs and create profit.
  3. Analysis of deviations: Part 1
  4. Analysis of deviations: Part 2
  5. Zero-base budgeting. The flexible plan of costs of cost centres and its fulfilment.
  6. Test. Awarding of credit.