Operational Budgeting - Opinto-opas

The course introduces how to use managerial accounting techniques to make and monitor operational budgets in hotel, restaurant and tourism business and how to use the operational budgets as management tools. The student will also learn how basic operational profitability and productivity ratios are used in the hospitality business. Use of spreadsheets when making the budgets will be handled.

On successful completion of this course, the student is able to

To apply Cost-Volume-Profit analysis
To use methods of forecasting sales and expenses
Make the main operational budgets
Make the variance analysis of budgets
Use the industry operational profitability and productivity ratios as management tools and put them in practical use
Utilize the spreadsheets when making financial calculations.

Prerequisites: Financial accounting

Basic cost concepts
Cost-Volume-Profit analysis
Forecasting methods
Sales budget
Planning and budgeting of expenses
Budgeted Income Statement
Variance analysis
Efficient use of labour force

The student masters the basic aspects of operational accounting techniques included in course contents. With given instructions, the student has the ability to perform basic tasks, but needs a lot of guidance.

The student masters the essential aspects of operational accounting techniques included in course contents. With given instructions, the student will be able to perform basic tasks.

The student masters the aspects of operational accounting techniques included in course contents. The student has the ability to apply the knowledge and skills learned in management position.

Teaching is based on contact lessons (starting from calendar week 34): Tuesdays at 11,30-13,45 (L409) and Thursdays at 11,30-13,45 (L409), 48 contact hours, 87 hours independent study.

Schmidgall, R. 2009 (or later). Hospitality Industry Managerial Accounting. Educational Institute of the American Hotel & Motel Association, USA. Chapters: 6-9 and 10
Other study material in Moodle

Students are encouraged to actively present their own thoughts and knowledge from their working experiences . All the assignments are working life related and based on practical cases.

Haaga Campus

Four home-assignments during the course will include practical cases related to studied topics and will be done using excel. Students who do not return home assignments by given dead line will be removed from the course.

English

International reporting standards of the hospitality industry are applied in assignments.

22.08.2022 - 14.10.2022

Four individual home assignments will be given during the lessons.

13.06.2022 - 19.08.2022

Weeks 1 and 2: Approach to budgeting and forecasting sales
Weeks 3 and 4: Basic cost concepts and Cost-Volume-Profit analysis
Weeks 5 and 6: Operational budgeting and Variance Analysis
Weeks 7 and 8: Cash budgeting and Forecasted Balance Sheet

RZ21ST
CONTACT
EXCH

RPL (Recognition of Prior Learning): procedure is to be discussed individually with the teacher.

Based on feedback, the learning method is to make assignments based on practical industry cases.

Pekka Heikkilä

15 - 40

Participation in classroom teaching and exercises
Home assignments 100%, made by Excel showing:
Student´s skills to produce forecasts and use hospitality KPIs (Key Performance Indicators)
Student´s skills to apply CVP technique in solving managerial accounting problems,
Student´s skills to apply operational and cash budgets included in course contents and handle them as management tools

HOTEM Degree Programme in Hospitality, Tourism and Experience Management

0.00 cr

H-5