MEEN40730 Engineering Cost Analysis

Academic Year 2023/2024

This is a core module on the Master of Engineering Management programme and is designed for students who are based in industry and who have at least five years professional engineering work experience.

This module has the objective of providing professional engineers with the principles of cost analysis. It is not intended as a foundation accounting course, and hence avoids where possible the technical intricacies of the accounting process, but focuses rather on the drivers of the underlying costs and pricing strategies which give effect to the outcomes which financial accounting statements report. Decision-making and control are the key features of this module.

Engineering Cost Analysis focuses on the use of management accounting systems in manufacturing and service organisations for internal planning and control purposes. Topics include:
- Cost behaviour: The difference between profit and cash.
- Financial management: Ratio Analysis and financial management, working capital management.
- Decision making using break-even and variable costing.
- Product costing and pricing using absorption and activity based costing approaches.
- Budgetary control: creating budgets, balanced scorecard.

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Curricular information is subject to change

Learning Outcomes:

On completing this module student should be able to:
1. Employ the key principles of engineering cost analysis from a management accounting perspective.
2. Develop accurate costings for engineering products and services.
3. Critically analyse product costings and budgets at the individual, functional and firm levels.
4. Design cost based performance measures for a firm.

Indicative Module Content:

Engineering Cost Analysis focuses on the use of management accounting systems in manufacturing and service organisations for internal planning and control purposes. Topics include:
- Cost behaviour: The difference between profit and cash.
- Financial management: Ratio Analysis and financial management, working capital management.
- Decision making using break-even and variable costing.
- Product costing and pricing using absorption and activity based costing approaches.
- Budgetary control: creating budgets, balanced scorecard.

Student Effort Hours: 
Student Effort Type Hours
Lectures

24
Autonomous Student Learning

76
Total

100
Approaches to Teaching and Learning:
peer and group work; lectures; case-based learning; student presentations, 
Requirements, Exclusions and Recommendations
Learning Requirements:

This is a core module on the Master of Engineering Management programme and is designed for students who are based in industry and who have at least five years professional engineering work experience.


Module Requisites and Incompatibles
Not applicable to this module.
 
Assessment Strategy  
Description Timing Open Book Exam Component Scale Must Pass Component % of Final Grade
Assignment: Industry Analysis using Financial Accounting principles Varies over the Trimester n/a Graded No

50
Assignment: Industry Application Varies over the Trimester n/a Graded No

50

Carry forward of passed components
Yes
 
Resit In Terminal Exam
Autumn Yes - 2 Hour
Please see Student Jargon Buster for more information about remediation types and timing. 
Feedback Strategy/Strategies

• Feedback individually to students, on an activity or draft prior to summative assessment
• Feedback individually to students, post-assessment
• Group/class feedback, post-assessment

How will my Feedback be Delivered?

Not yet recorded.

Management Accounting for Business, 10th Edition, by Colin Drury, ISBN – 9781473749115.
Accounting for Non-Accounting Students” (8th. Edition) by John R. Dyson (Prentice Hall).
Name Role
Dr Otman Elafi Lecturer / Co-Lecturer
Timetabling information is displayed only for guidance purposes, relates to the current Academic Year only and is subject to change.
 
Spring
      
Lecture Offering 1 Week(s) - 20, 23, 30, 33 Fri 16:00 - 17:50
Lecture Offering 1 Week(s) - 21, 22, 24, 25, 26, 31, 32 Sat 11:00 - 12:50
Spring