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Excerpt from course description

Performance Management

Introduction

Performance management is about the proper use of management concepts and tools that help organizations achieve defined goals in ever-changing environments. Because the organization's intended strategy can never be more than uncertain assumptions about how the organization and the world around it will develop over time, we need something that can reduce the uncertainty in these assumptions. We need something that can enhance their quality, adjust their content, and ultimately discard them if necessary. This something is performance management.

For businesses, as well as for many organizations in the public sector, goal and indicator management is the appropriate form of performance management. This management approach fundamentally revolves around three things:

  1. Identifying what positively and negatively affects value creation.
  2. Making resources available and coordinating them so that they align in the same direction towards a designated course.
  3. Alerting deviations from a designated course, learning from experiences, implementing measures, and potentially correcting the course.

The course describes the concept of value from a stakeholder perspective, where the organization's social responsibility contributes to more sustainable societal development. By showcasing industry- and organization-specific management models, the course focuses on resources and activities that are crucial for success. It also provides insights into how management systems must be tailored to specific management challenges and how we can create simulation models and forecasting models that provide the organization with valuable future information.

Course content

Part 1 Perspectives on performance management

  • Managerial Accounting and Control
  • Performance management vs. target and indicator management
  • Important management concepts
  • Dynamic control

Part 2 Target and indicator management

  • Management-relevant information
  • Financial targets
  • Development of a model for target and indicator management
  • Business-adapted goal management
  • Objective management of companies' social responsibility
  • Forecast-based management

Part 3 Activity and cost management

  • Cost analysis - concepts
  • Analysis of the value contribution of decisions
  • ABC
  • Target cost anal., life cycle analysis and benchmarking
  • Operational efficiency

Part 4 Budgeting and simulation

  • The budget's place in goal management
  • The budget's relationship to bookkeeping
  • Performance budgeting 
  • Liquidity and balance sheet budgeting
  • Budget simulation

Disclaimer

This is an excerpt from the complete course description for the course. If you are an active student at BI, you can find the complete course descriptions with information on eg. learning goals, learning process, curriculum and exam at portal.bi.no. We reserve the right to make changes to this description.