IPA004 Strategic Management Accounting

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This unit provides insights in moving from a short-term, operational perspective to a long term, strategic perspective by integrating strategic management processes to real life business cases. The unit focuses on the link between strategy and resource management in creating value for customers and shareholders. In the process, the role of management accounting is examined as to how it provides sustainability strategies and provides alignment mechanisms in environmental management in a rapidly changing and increasingly competitive global market.

Unit Learning Outcomes

  • Understand and explain the concept of strategic management in the contemporary business environment. 
  • Identify appropriate objectives and strategies for organisations in a variety of circumstances. 
  • Describe the role that management accounting plays in the process of strategic management. 
  • Apply strategic management accounting tools and techniques such as life-cycle costing, target costing, quality management, customer profitability analysis, and business process re-engineering. 
  • Understand the role of management accounting in value adding within the context of CSR and Integrated Reporting.

Topic Outlines

  1. Strategic Management Accounting – Context and Challenges 
  2. Introduction to Corporate Strategy 
  3. Tools & Analytical Frameworks for Strategic Analysis 
  4. Strategic Cost Management 
  5. Strategic Revenue Management 
  6. Value adding through CSR and Integrated Reporting 
  7. Big Data and Analytics

Unit Mode
Cloud (study anywhere)

Study Commitment

150 hours over the trimester


One exam worth 100% of the final score.

The examination will be a two hour closed book examination with additional reading time. The exam will consist of a number of short answer, or problem based questions. You can typically expect four to seven questions in the exam.

A non-programmable calculator will be required for the exam.

All examinations will be held in venues notified by Deakin University. All exams will be held during the exam periods set by the University. Students will be notified of the exact date, time and location of the exam, approximately four weeks before the exam.


Detailed Topics

Topic 1: Strategic Management Accounting – Context and Challenges
a. Goals of the firm
b. Value creation and management
c. Shareholder value, strategy and management accounting
d. Development of management accounting and strategic management accounting
e. Frameworks for strategic management accounting

Topic 2: Introduction to Corporate Strategy
a. What is corporate strategy?
b. Current issues
c. Competitive advantage cycle
d. Sustainable competitive advantage
e. Different approaches

Topic 3: Tools & Analytical Frameworks for Strategic Analysis
a. Alternative models and approaches
b. Strengths and weaknesses

Topic 4: Strategic Cost Management
a. Corporate level strategies
b. Business unit strategies
c. Strategy based value chain
d. What is strategic cost management?
e. Key tools

Topic 5: Strategic Revenue Management
a. The revenue cycle
b. Strategic pricing
c. The pricing pyramid
d. Revenue/yield management
e. Customer profitability analysis
f. Segmentation
g. Competitor Analysis

Topic 6: Value adding through CSR and Integrated Reporting (IR)
a. Evolution of the movement
b. Benefits for the company and others
c. Corporate examples of Integrated Reporting

Topic 7: Strategic management in the Not for Profit sector
a. The For Profit sector versus the Not for Profit (NFP) sector
b. Types of NFPs
c. Public- private paradox
d. Strategic challenges in NFPs

Topic 8: Big Data and Analytics
a. What is Big Data?
b. Who is generating and collecting all this data?
c. What is collecting all this data?
d. Why are they collecting all this data?
e. What are the challenges?
f. Tools and Technologies