School of Administrative Studies Faculty of LA&PS, York University Fall 2011 Course Outline AP/ADMS 4570 3.

0M Management Planning and Control Systems Course Website: http://maple.eso.yorku.ca/2011w-apadms4570m-03 (change) Course Type In-class Day Wednesday Time 7 to 10PM Location CB 129

Course Director / Contact: John Parkinson Professor of Accounting Office: Atkinson, Room 424 Telephone: 416-736-2100 Ext. 20538 Email: johnmp@yorku.ca Calendar Description: A study of the process by which managers ensure that resources are obtained and used efficiently and effectively in accomplishing organizational objectives. Readings in cost accounting, finance, economics, business policy and social psychology are applied to analyze case studies of actual situations. Prerequisites: 1) For students in an Honours program, 78 credits including AP/ADMS 3510 3.00, AP/ADMS 2320 3.00 and AP/ADMS 3330 3.00, or 2) For other students, these above-listed courses and a grade of C+ or better in AP/ADMS 3510 3.00. Course credit exclusion: None. Course Description: The course is designed to help you gain knowledge, insights, and analytical skills related to management control systems (MCS), and is aimed at achieving two objectives: 1) 2) To develop an understanding of the concepts essential for the design of effective management accounting and control systems, and To give each student the opportunity to improve critical skills for future career success.

Cases are the core of this course. Case studies allow you to develop and practice a systematic approach to analyzing management control systems. There is no one, single correct solution for a case, rather there are good solutions being supported by solid analyses based on theory. Case reports are expected to present and evaluate both sides of

the argument before coming with a recommendation to management. Students often find cases to be difficult and frustrating, however they are the appropriate training tool for acquiring and improving: Integrative problem-solving skills (judgment, diagnosis, analysis and communication of recommendations) Analytical skills Communication (oral, written and presentation) skills Ability to work in a team An understanding of how a real business functions Exposure to a method used in a significant portion of professional accounting exams.

Required Text(s): Anthony, Robert, and Vijay Govindarajan. Management Control Systems, 12th edition, Irwin McGraw Hill, 2007. Supplemental Readings: Horngren, Foster, Datar and Gowing, Cost Accounting, 5th Canadian Edition, Pearson Prentice Hall, 2010. A copy is in reserve at the reference desk of Brofman Library Course Content and Schedule (Dates and coverage are subject to change as circumstances dictate): Week 1 2 3 4 5 Dates Ch. Topics Management Control Systems and Strategy Cases 1.2 Wal Mart Pass/Fail Quiz

Sep. 7 1 & 2 Sep. 14 Sep. 21 Sep. 28 Oct. 5 Oct. 12 3

6 7 8

Oct. 19 Oct. 26 Nov. 2

Management Control Systems Impact 3.1 Southwest on Human Behavior Airlines Corp. 4 & 5 Performance and Responsibility Centers 5.4 Abrams Co. 6.3 General 6 Transfer Pricing Appliance Corp. Measuring and Controlling Assets 7 7.4 Aloha Products Employed Co-Curricular Week: No classes No Classes Oct 8-14 Mid Term Exam 1 The Management Control Environment Chapters 1 to 7 Case TBA 8.1 Allied Office 8 & 9 Strategic and Operational Planning Products 10 Analyzing Financial Performance 10.2 Solartronics 2

10 11 12

Reports 11 Performance Measurement, Incentives 11.4 Enager Nov. 9 &12 and Compensation Industries, Inc Last date to drop courses without receiving a grade November 11th Mid Term Exam 2 The Management Control Environment Nov. 16 Chapters 1 to 12 and Process Case TBA 13.4 Texas Nov. 23 13 Contingency of Control Mechanisms Instruments Multinational Organizations and Course Nov. 30 15 Round-up

Examinations: Pass/fail quiz: Having a good understanding of cost accounting techniques is essential to success in this course. In week 1 there will be a short multiple-choice quiz covering the topics included in the pre-requisite course AP/ADMS 3510 3.00. This will not count towards the grade in this course, but it will be diagnostic: if you do well on the quiz you are ready to start AP/ADMS 4570: if you do poorly, then you have some catching up to do and you should seriously consider your options: these could include dropping out immediately or undertaking to remedy any deficiencies. Class Participation (20%) Discussion is a major part of this course. All materials (text-book chapters and cases) should be read in advance. Volunteering opinions or offering to answer questions is the expectation, though students may be called on by the course director to answer specific questions. 2 marks are awardable each week, up to a maximum of 10 weeks and 20 marks in total. Merely to be there is not class participation; for each class, you earn 0, 1, 1.5 or 2 marks, depending on the quality of your contribution to the class. Your contribution to class/case discussion may include, but not limited to, the following: Participating in the in-class exercises Asking and answering questions Discussing your thoughts related to the topic covered in the class Bringing up examples of real life companies that may fit the theory being discussed Actively contributing your thoughts, ideas and experiences where they relate to pushing our knowledge of management control systems further.

Mid Term Exams (2 * 30% each) The exam will be open book and open notes consisting of an analysis of a case. The case to be used in the exam will be communicated to the students at the exam, but not before. Note

however, that given that the exams are open book the instructor will grade the exam based on your ability to apply concepts and theory to the case. You are required to bring the textbook to the exam. A computer lab will be booked for the midterms. Students type their solutions to a case, and submit their reports via email to the instructor. Final Exam: Article Assignment (20%) The final exam will integrate all the material covered in the textbook. The final exam will be due on or before midnight on Wednesday, December 7th. It should be submitted by email to johnmp@yorku.ca . Each student will be responsible for preparing a summary and critique of an academic article that deals with some topics covered in the course. There are three parts to the process. Step 1: on or before September 30th, please submit a one-page report by email to johnmp@yorku.ca, detailing the sources that the student has been considering. Students MUST select their articles from one of the following journals: Accounting, Organizations and Society Contemporary Accounting Research Management Accounting Research Accounting, Auditing and Accountability Journal Journal of Accounting Research Journal of Management Accounting Research The Accounting Review Cost Management Step 2: on or before October 30th, please submit the details of the article selected with a one-page explanation of why it is important and relevant for the course. Students are also expected to briefly explain why the article is preferred; the preference can be based on main topics, tone, intended audience, methodology, industry focus, etc Step 3: the complete article assignment has to be submitted by e-mail on or before Wednesday, December 7th, and it will be considered as the final exam for this course. The article assignment is expected to: State the title and source (including date) of the article State the major points made in the article. Explain the motivation of the article. Provide your analysis of how well the author accomplished the goal. Indicate what major concept from the course was addressed by the article. Assess whether or not the article provided you with additional insight concerning this topic. Mention some practical implications of its ideas. Critically evaluate its limitations The complete article assignment is up to 5 pages, with normal margins and font and 1.5 4

line spacing. One extra page could be used as the cover page. Weighting of Course: Individual Grades: Class participation (in 10 classes): Mid term Exam # 1: Mid term Exam # 2: Total term work: Final exam: Article assignment: Total:

20 30 30 80 20 100

Reading List: A list of articles from leading academic and practitioner journals will be posted on the course website. Students are highly recommended to read these papers. Some papers could be discussed in the class.

IMPORTANT YORK POLICIES: Academic Honesty Atkinson as a Faculty considers breaches of the Senate Policy on Academic Honesty to be serious matters. To quote the Senate Policy on Academic Honesty: The Policy on Academic Honesty is an affirmation and clarification for members of the University of the general obligation to maintain the highest standards of academic honesty. As a clear sense of academic honesty and responsibility is fundamental to good scholarship, the policy recognizes the general responsibility of all faculty members to foster acceptable standards of academic conduct and of the student to be mindful of and abide by such standards. Suspected breaches of academic honesty will be investigated and charges shall be laid if reasonable and probable grounds exist. Students should review the York Academic Honesty policy for themselves at: http://www.yorku.ca/secretariat/legislation/senate/acadhone.htm Students might also wish to review the interactive on-line Tutorial for students on academic integrity, at: http://www.yorku.ca/tutorial/academic_integrity/ Grading Scheme and Feedback Policy The grading scheme (i.e. kinds and weights of assignments, essays, exams, etc.) shall be announced, and be available in writing, within the first two weeks of class, and, under normal circumstances, graded feedback worth at least 15% of the final grade for Fall, Winter or Summer Term, and 30% for full year courses offered in the Fall/Winter Term be received by students in all courses prior to the final withdrawal date from a course without receiving a grade, with the following exceptions:

graduate or upper level undergraduate courses where course work typically, or at the instructor's discretion, consists of a single piece of work and/or is based predominantly (or solely) on student presentations ( e.g. honours theses or graduate research papers not due by the drop date, etc.); practicum courses; ungraded courses; courses in Faculties where the drop date occurs within the first 3 weeks of classes; courses which run on a compressed schedule (a course which accomplishes its academic credits of work at a rate of more than one credit hour per two calendar weeks ).

Note: Under unusual and/or unforeseeable circumstances which disrupt the academic norm, instructors are expected to provide grading schemes and academic feedback in the 6

spirit of these regulations, as soon as possible. For more information on the Grading Scheme and Feedback Policy, please visit: http://www.yorku.ca/secretariat/legislation/senate/gradfeed.htm In-Class Tests and Exams - the 20% Rule For all Undergraduate courses, except those which regularly meet on Friday evening or on a weekend, tests or exams worth more than 20% will not be held in the two weeks prior to the beginning of the official examination period. For further information on examination scheduling, and LAPS examination exceptions to this rule, please refer to the "Notes" in the table: http://www.yorku.ca/roweb/importantdates/ Reappraisals Students may, with sufficient academic grounds, request that a final grade in a course be reappraised (which may mean the review of specific pieces of tangible work). Nonacademic grounds are not relevant for grade reappraisals; in such cases, students are advised to petition to their home Faculty. Students are normally expected to first contact the course director to discuss the grade received and to request that their tangible work be reviewed. Tangible work may include written, graphic, digitized, modelled, video recording or audio recording formats, but not oral work. Students need to be aware that a request for a grade reappraisal may result in the original grade being raised, lowered or confirmed. For reappraisal procedures and information, please visit the Office of the Registrar site at: http://www.registrar.yorku.ca/services/policies/grade.htm Accommodation Procedures: LAPS students who have experienced a misfortune or who are too ill to attend an examination in an LAPS course should not attempt to do so; they must pursue deferred standing. Other students should contact their home Faculty for information. For further information, please visit: http://www.registrar.yorku.ca/services/ds_faq.htm Religious Accommodation York University is committed to respecting the religious beliefs and practices of all members of the community, and making accommodations for observances of special significance to adherents. For more information on religious accommodation, please visit: https://w2prod.sis.yorku.ca/Apps/WebObjects/cdm.woa/wa/regobs

Academic Accommodation for Students with Disabilities ( Senate Policy ) The nature and extent of accommodations shall be consistent with and supportive of the integrity of the curriculum and of the academic standards of programs or courses. Provided that students have given sufficient notice about their accommodation needs, instructors shall take reasonable steps to accommodate these needs in a manner consistent with the guidelines established hereunder. For more information please visit the Disabilities Services website at http://www.yorku.ca/dshub/ Alternate Exams and Tests Yorks disabilities offices and the Registrars Office work in partnership to support alternate exam and test accommodation services for students with disabilities at the Keele campus. For more information on alternate exams and tests please visit http://www.yorku.ca/altexams/ Please alert the Course Director as soon as possible should you require special accommodations. For questions relating to academic accommodations, please contact the Atkinson Counseling and Supervision Centre: http://www.yorku.ca/atkcsc