Enterprise Performance Management Syllabus MBA Pune University for Academic year 2013-14

Subject Name: Enterprise Performance Management

Subject Type: Generic Core ( External Subject for Sem III)

Subject Code: 302

Marks: 100

Distribution of Marks: 50 (External Written) 20 (External Online Exam) 30 (Internal Marks by College)

Unit 1

1.1 Performance Management: Concept, Need, Linkages with Strategic Planning, Management Control and Operational Control

1.2Performance Evaluation Parameters: Financial – Responsibility Accounting –Concept of Responsibility Centers, Revenue Centre, Expense Centre – Engineered and Discretionary costs – Committed costs, Profit Centre, Investment Centers. ROI, ROA, MVA, EVA – DuPont analysis. (Numericals Not expected – Interpretation only) Limitations of Financial Measures

1.3Performance Evaluation Parameters: Non-Financial Performance measures – Balanced Scorecard, Malcolm Baldrige Framework.

1.4Measuring SBU Level Performance: Concept, Need, Linkages with Enterprise Performance Management – Goal Congruence. Transfer Pricing – Objective, Concept, Methods – Cost based, Market price based & Negotiated, Applicability of Transfer Pricing. (7 + 2)

Unit 2

2.1 Capital Expenditure Control: Concept, Need, Process of Capital Budgeting, Types of capital expendituredecisions – pre-sanction, operational and post-sanction control of capital expenditure.

2.2Tools & Techniques of Capital Expenditure Control: Performance Index, Technical Performance Measurement, Post completion audit (7 + 2)

Unit 3

3.1 Performance Evaluation Parameters for Banks: Customer Base,NPAs, Deposits, RoI, Financial Inclusion, Spread, Credit Appraisal, Investments.

3.2 Performance Evaluation Parameters for Retail: ABC analysis, Sell Through Analysis, Multiple Attribute Method, Gross Margin Return on Investment (GMROI), GMROI as Gross Margin/Average Inventory at Cost (7 + 2)

Unit 4

4.1 Performance Evaluation Parameters for Projects: Project Control Process: Setting base line plan, Measuring progress and performance, comparing plan against action, Taking action, Schedule variance (time overruns), Project Cost Variance (cost overruns)

4.2 Performance Evaluation Parameters for Non-Profit: Features of Nonprofit organizations, fund accounting, governance, product pricing, strategic planning & budget preparations, social audit. (7+2)

Unit 5

5.1 Audit Function as a Performance Measurement Tool: Financial Audit, Internal Audit, Cost Audit, Management Audit – Principles and Objectives (Audit Reports / Formats are expected to be discussed in the class from a performance measurement perspective). (7 + 2)

Text Books

• Management Control System by Robert Anthony & Vijay Govindrajan, Tata McGraw Hill Publishing Co. Ltd., 12th Edition

• Management Control in Non Profit Organizations by Robert Anthony & David Young, McGraw Hill International Publication, 7th Edition

• Retailing Management by Swapna Pradhan, TMGH, 3rd Edition

Reference Books

• Project Management by K.Nagarajan, New Age International Publications, 2nd Edition

• Principles and Practices of Auditing by Ravindar Kumar & Virendar Sharma, PHI.

• Principles and Practices of Banking by Indian Institute of Banking & Finance, MacMillan India Ltd.

• Financial Management by Prasanna Chandra, TMGH, 7th edition

Supplementary Reading Material

• Management Control Systems by R.C. Sekhar, TMGH


• IUP journal of Business strategy- by ICWFI

• Enterprise and Society- International journal of business history by Oxford University.