SAIM Diploma in Business Management Syllabus Outline

Transcription

1 SAIM Diploma in Business Management Syllabus Outline DIPLOMA SYLLABUS OUTLINES COMPULSORY SUBJECTS Management Practice Economic A - Micro Economics Business Law Principles Economic B Macro Economics ELECTIVES - SELECT AT LEAST ONE FROM LIST ONE Human Resources Management Practice (LR) Marketing Management Practice Information Technology Practice Credit Management Practice SELECT AT LEAST ONE FROM LIST TWO Cost & Management Accounting Production & Operations Management Quantitative techniques Organisational Behaviour & Sales Management MANAGEMENT PRACTICE Learning Outcomes After completing the Management Practice module you should have a better understanding of how to apply Management Principles in the real world-of-work. Prior learning The student must have successfully completed Management Principles. Text books Prescribed book: Management Principles P. Smit and G. Cronje. (Juta) (from the first year) SAIM Workbook: SAIM Case-study Workbook Prescribed book: Goodbye MBA: A paradigm shift towards Project Management P O Osthuizen, M Koster and P. dela Re (ITP) (International Thompson Publishing (Southern Africa) PTY Ltd. OR Project Management Demystified by Smith (available from van Schaik) SYLLABUS OUTLINE 1. Improved understanding of the Principles of Management Theory (First Year), - Problem-solving in a business context; - Decision-making in a business context; Risk-taking in a business context; and Innovation in a business context. 2. KEY MANAGERIAL FUNCTIONS (P.L.O.C): Planning; - Leading (directing); Organising; and - Controlling (monitoring). 3. LEADERSHIP - the WILL-to-LEAD: all managers must learn-to-lead; -key attributes of Leadership. 4. CONTEMPORARY MANAGEMENT ISSUES. management of diversity; - international management; ethics and corporate social responsibility. 5. THE CASE-STUDY METHOD: advantages and limitations as an experiential method of learning; steps in a case-study analysis; application of management-theory in a specific management context; problem-solving and decision-making skills. 6. PROJECT MANAGEMENT. ( the need for Project Management) similarities and differences between General Management and Project Management; similarities and differences between Operations Management and Project Management. project management life-cycle conceptual phase; planning phase;

2 execution phase; termination phase. project management principles clearly defined scope; clearly defined parameters and resources; flat organisational structures; team dedication to a project; project manager generalists; effective cost control. project management knowledge and steps :- scope management; time management; cost management; quality management; people management; communications management; risk management; procurement management/administration. A Case-study: project management. Examination Format. Exam Part A 20 marks parts 1 & 2 from syllabus Exam Part B 40 Marks Project Management Exam Part C 40 Marks Case studies Economics A - Microeconomics TEXTBOOKS The prescribed book is: Economics for South African students' 4th Edition by Philip Mohr, Louis Fourie and Associates. The learner should be able to: Define the nature of economic issues Identify the factors of production Distinguish economic decisions Relate economic choice to opportunity costs Discuss specialization Apply the laws of advantage to trade Describe the functions and types of money Compare and contrast market, planned and mixed economies Discuss resource allocation Evaluate different economic systems Discuss reasons for failure in market economies Explain the relationship between market prices and quantities, and supply and demand Explain how market and prices interact Discuss elasticities of demand and supply Distinguish between different types of firm Explain economic, normal and abnormal profits Define and discuss types of costs Describe the principles of profit maximization Define economies and diseconomies of scale Describe the types of markets Describe the relationship between production volume and price, and perfectly competitive and monopolistic markets Discuss equilibrium under perfect competition, monopoly and monopolistic competition Identify the factors of wage determination Discuss the role of Trade Unions Discuss the key areas of microeconomics relative to the South African economy Format of the examination Section A : 25 Multiple choice questions Section B : 3 out of 4/5 25 mark questions. The questions will be divided into parts of 5 10 marks.

3 Principles of Business Law TEXTBOOK The prescribed book is Shaun Kopel: Student Guide to Business Law. By Oxford Southern Africa 2005 Or any good text on Business law, Commercial Law or mercantile law. 1. Contract The student must understand how & when a contract is created, how it must be fulfilled, and how it can be breached. Equally important are the remedies for breach of contract, dealt with under this topic. Capacity to contract. Minors. Marriage contracts. 2. Purchase and sale The principles relating to latent defects, the liability of manufacturers and expert dealers Implications of this topic on management and on other topics. Passing of risk. 3. Lease Duties of parties, agency. Lessor & lessee s rights. Landlords hypothec, lien, sub-lease. Occupation. Landlords duty to maintain property. 4. Labour law Employer & employee rights. Vicarious liability. Unfair dismissal. Employee as an agent for the employer. Labour Relations Act (1995) & Basic Conditions of Employment Act. Employment Equity Act 5. Agency Commencement of agreement (written or oral), operation of law, estoppel, ratification. The relationship of negotiorum gestor -unauthorised management. Termination of relationship. The relationship of negotiorum gestor.the personal liability of the agent & the agent's implied warranty of authority. 6. Forms of ownership Advantages and disadvantages Partnerships as a form of business ownership as opposed to the sole trader (oneperson business) & the limited company or close corporation. Joint and several liability. 7. Negotiable instruments Negotiable instruments, especially cheques,. writing out cheques in the manner creating the least risk for the business. Lost or stolen cheques, crossing cheques. Bills of exchange. 8. Insurance Insurance of assets; life insurance and indemnity insurance as a security and an investment.the principles of insurable interest, the duty to disclose and subrogation are important aspects. Good faith. Insuring goods bought on lease or hire-purchase. 9. Security Personal and real security, the contract of suretyship and principles peculiar to it. Liens (the right to retain an object on which money or labour has been expended) 10. Insolvency Sequestration (voluntary surrender or compulsory sequestration), acts of insolvency set out in section 8 of the Insolvency Act (which create a presumption of insolvency). Voidable preferences. The acts of insolvency, which create a presumption of insolvency. Voidable transactions and the position of the solvent spouse. Format of examination Part A totals 25 Marks consisting of short & medium length questions for 5-10 marks on theory. Part B totals 50 marks and consists of Essay type questions: 20 marks each with sections for 5-10 marks The learner will be required to apply theoretical knowledge. Learners choose 3 out of 4. Part C: totals 25 marks and is case study based. The learner is required to read a short case study and to answer questions about the case using what was learned in the course. The aim of the exam is to assess Learner s knowledge of the practice of Economics B Macroeconomics TEXTBOOKS The learner should be able to : Define the measures of economic output Compare the production of one country with another Analyse the flow of national income Discuss the propensities to save and consume Describe the multiplier effect Describe controls on level of investment Discuss government economic objectives Describe and evaluate the aims of government Explain booms and recessions Discuss disturbances in the economy Discuss the consumer price index (CPI) Discuss the causes and effects of inflation Discuss the dynamic patterns and levels of employment Distinguish between the types of employment

4 Discuss the causes and effects of unemployment Discuss living standards and the concept of growth Explain the uses and limitations of national GDP statistics Define the reasons for disparities in living standards between developed and developing countries Discuss the size and structure of populations in developed and developing economies Evaluate the factors and policies that effect population growth Evaluate the economic effects of changes in population distribution and increasing urbanization. Explain the relationship between population dynamics and other economic behaviours Describe the benefits of international specialization Describe exports and imports between countries Describe and evaluate the structure of the balance of payments Discuss fiscal policy and Government debt Discuss the types of taxation operant in South Africa Explain exchange rates and their fluctuation, exchange control Discuss the relationship between free trade and protectionism Discuss the role of International Financial institutions, International Monetary Fund and World Bank. Discuss the key areas of macroeconomics relative to the South African economy. Human Resource Management Practice PRESCRIBED BOOK Sonia Bendix, Industrial Relations in SA, Juta Latest Edition) RECOMMENDED READING Finnemore & Van der Merwe, Introduction to Labour Relations in SA, 4th edition, Butterworths 1. MODULE 1: CONCEPTUAL OVERVIEW Ideological and economic foundations of the relationship. Meaning of labour relations Theoretical background to the labour relationship Unitarism/pluralism perspectives. The impact of environment influences on labour relations in terms of open system theory. Industrial democracy linked to the South African experience. (additional reading ). 2. MODULE 2: HISTORY AND ORIGINS (brief overview) Industrialisation in South Africa ( ). Labour growth and development. Political context. Protectionist barriers & hostilities. Racial divisions. Current perspective under a new government. The Wiehan report. 3. MODULE 3: LEGAL REGULATION Common law and the contractual relationship Rationale of a legislative intervention into common law. Statute Law & Common Law. The Labour Relations Act. Review the Labour Relations Act, 66 of 1995, The Basic Conditions of Employment Act The Occupational Health and Safety Act Workman s Compensation and Unemployment Insurance Employment Equity Act Broad based Black Empowerment regulations Skills development Act and Levy 4. MODULE 4: THE PARTIES Inter-relationships in context, world class manufacturing and globalisation environmental issues. The employee representatives. Unions. The role of government, as regulator/employer. The National Framework Agreement (NFA) Restructuring and transformation. (additional reading required). 5. MODULE 5: COLLECTIVE BARGAINING The rationale for collective bargaining in the industrial relationship. Bargaining councils. Negotiating and consultation as the vehicles of collective Bargaining. Freedom of association, the advantages and disadvantages of centralised bargaining. THE RECOGNITION AGREEMENT Grievance procedures 6. MODULE 6: DISPUTE MANAGEMENT STRIKES AND LOCK-OUTS 7. MODULE 7 POLITICAL AND ECONOMIC TRENDS LABOUR MARKET TRENDS - Globalisation 8. MODULE 8: DISCIPLINE, DISMISSAL, UNFAIR LABOUR PRACTICES, RETRENCHMMENT, MERGERS AND TRANSFERS Format of the exam Part A totals 25 Marks consisting of short & medium length questions for 5-10 marks on theory. Part B totals 50 marks and consists of Essay questions: 20 marks each with sections for 5-10 marks The student will be required to apply theoretical knowledge. Students choose 3 out of 4.

5 Part C: totals 25 marks and is case study based. The student is required to read a short case study and to answer questions about the case using what was learned in the course. The aim of the exam is to assess students knowledge of the practice of Marketing Management Practice PRESCRIBED BOOK McDonald, M Marketing Plans: How to prepare them, how to use them. 3rd edition, Butterworth/Hienneman (or later) Course outline 1. BASICS OF MARKETING. Definition of marketing. Marketing environment. Marketing Mix. SWOT analysis of company & competitors. 2. MARKETING PLANNING Analyse the reasons for Marketing Planning. The steps in Marketing Planning including: the importance of the marketing audit, the difference between tactical ad strategic planning Strategic Marketing Plan and discuss the problems that can be anticipated when designing & implementing such a plan. 3. MARKETING AUDIT Its role & factors to consider in doing a product audit and its components: the product life cycle and diffusion of innovations. Portfolio analysis using the Boston Consulting group matrix. Market share and the Pareto effect. Market segmentation. Consumer behaviour & attributes 4. MARKETING OBJECTIVES Setting of marketing objectives. The Ansoff matrix. Porter s model for marketing strategy. GAP analysis when setting marketing objectives. 5. MARKETING COMMUNICATIONS The different types of communications. The various methods of sales promotion How to motivate and manage sales staff. Plans: adverting plan, promotion plan and a sales plan. 6. PRICING Various approaches to pricing. Setting of pricing objectives & the importance thereof. Factors affecting pricing. Setting a pricing plan. 7. DISTRIBUTION Define distribution. The criteria for channel choice. The relationship of customer service to distribution 8. MARKETING INFORMATION SYSTEMS The types of marketing research. Organising marketing intelligence systems 9. IMPLEMENTATION Discuss the effect of size and diversity on planning Methods to overcome barriers to planning Examination format Part A totals 25 Marks consisting of short & medium length questions for 5-10 marks on theory. Part B totals 50 marks and consists of Essay questions: 20 marks each with sections for 5-10 marks The learner will be required to apply theoretical knowledge. Learners choose 3 out of 4. Part C: totals 25 marks and is case study based. The learner is required to read a short case study and to answer questions about the case using what was learned in the course. The aim of the exam is to assess learners knowledge of the practice of the subject. Information Technology Practice The Textbook PRINCIPLES OF INFORMATION SYSTEMS, A Managerial Approach, Second Edition, By Ralph M. Stair, A Division of International Thomson Publishing Inc, ISBN# OR Management Information Systems by Effy Oz 4th International Student Edition Publisher :Thompson 1. An Introduction to Information Systems Information and system concepts. Models. Components of information systems. Systems must be accurate, complete, economical to produce, flexible, reliable, relevant & simple to understand. Reengineering & decision support systems 2. Hardware: Input, Processing and Output Devices Power, speed and capacity of central processing and memory devices. CPU & ALU, MPIS, MHz, bits Access methods, capacity and portability of secondary storage devices.tape, CDROM, DISCS Speed, functionality and importance of input and output devices. RAM, ROM, PROM, EROM 3. Software: Programming, Systems and Application Software The importance and types of software, functions of important programming languages + experimental language. Appplication software. 3rd, 4th, & 5th generation languages. Object orientated. Utility & system programmes e.g. Windows 98, UNIX, OS2. 4. Organizing Data and Information General data management concepts, file-orientated & database-orientated data management approaches Database models, database management systems, integrated collection of records 5. Telecommunications: Media and Devices

6 Signal type, transmission capacity, transmission modes, simplex, duplex, modems. Broadband, ADSL, wireless. Telecommunications: Networks and Applications. Growth of social networks & implications LAN, WAN, Internet, main frame networks, websites. 6. Transaction Processing Systems Data collection, manipulation, batch 7. Management Information Systems (MSS) 8. Decision Support Systems (DSS) 9. Artificial Intelligence and Expert Systems 10. Systems development, the five phases of design. 11. Systems Investigation, Analysis & Design 12. Systems Implementation, Maintenance & Review 13. Security, Privacy & Ethical Issues In Information Systems 14. Information resource systems The right information, if it is delivered to the right person, in the right fashion, and at the right time, can improve and ensure organizational effectiveness and efficiency. Format of examination Part A totals 25 Marks consisting of short & medium length questions for 5-10 marks on theory. Part B totals 50 marks and consists of Essay questions: 20 marks each with sections for 5-10 marks The Learner will be required to apply theoretical knowledge. Learners choose 3 out of 4. Part C: totals 25 marks and is case study based. The Learner is required to read a short case study and to answer questions about the case using what was learned in the course. The aim of the exam is to assess a learner s knowledge of the practice of Credit Management Practice Prescribed Text Book already updated. Contact the SAIM To be updated. 1. FUNCTIONS AND PRACTICE OF FINANCIAL INSTITUTIONS: Merchant banks, Development banks, Freight forwarders & shipping companies. Pension Funds. Finance houses. 2. FACTORING: Defining facto. Full factoring, maturity factoring, bank participation, confidential factoring, resource factoring. Financial & non-financial benefits. Service & financial costs. 3. ADVANCED TRADE CREDIT EVALUATION Effects of history, location, credit in the industry, information sources-direct & indirect. Non financial factors age of business, past trends, trade performance, personal impression. Evaluation of positive & negative factors. 4. SECURING INDEBTEDNESS: Guarantee of liabilities, general deed of suretyship. Individual deed. Results & termination. Right of pledge what can be pledged. General covering cession. Surety bond, notarial bond, immoveable property. Irrevocable power of attorney. General covering cession of book debts. Liens & hypothec. Reservation of ownership. The maxim of law. 5. CREDIT INSURANCE: Domestic credit insurance. Export credit insurance. 6. CREDIT LIMITS: Defining and purposes of credit limits. Credit limits as a control mechanism. 7. CREDIT POLICY: Defining policy & Policy objectives. Responsibilities. Authority and Decision making Establishing credit policy & factors underlying policy. Implementation. 8. ORGANISATION STRUCTURES OF THE CREDIT & COLLECTION DEPARTMENTS: Credit management Control -- Risk The attributes required of a successful credit manager. 9. CREDIT AGREEMENTS ACT AND USURY ACT (new Act to be updated) 10. FINANCIAL STATEMENTS AND RISK ANALYSIS: Classification of Assets and liabilities. Ratios, accounts receivable, liquidity, acid test, accounts payable, stock turnover, net profit to net worth. 11. THE LEGAL PROCESS IN DEBT COLLECTING 12. INSOLVENCIES: Liquidation & sequestration. Judicial management. Administration orders. 13. EXPORT CREDIT: Credit Problems of Export Trade. Government. Economic stability. Currency and exchange. Business practices. Distances. Collections. L/C Red Flags. Factors in judging foreign credit risk Export terms of sale. Open account. Consignment. Drafts. Export letter of credit. Cash before delivery terms. Export documentation. Checking for accuracy. What to check for to avoid non-payment. Sources of foreign credit information Incoterms. The four Basic categories. Mode of transport and appropriate Incoterms

7 Format of the exam Part A totals 25 Marks consisting of short and medium length questions for 5-10 marks on theory. Part B totals 50 marks and consists of Essay questions: 20 marks each with sections for 5-10 marks The student will be required to apply theoretical knowledge. 3 out of 4. Part C: totals 25 marks and is case study based. The student is required to read a short case study and to answer questions about the case using what was learned in the course. The aim of the exam is to assess students knowledge of the practice of Cost and Management Accounting TEXTBOOKS The prescribed book is: P.C. du Plessis, S.J. van Vuuren and M.A. Faul, Fundamentals of Cost and Management Accounting, 2nd Edition OR Simply doing Cost and Management Accounting 5/6. By Mercia van Eeden published by CLS publishers. 1. COST CLASSIFICATION AND TERMINOLOGY 2. MATERIAL 3. LABOUR Calculation of labour remuneration Recovery of direct labour costs 4. MANUFACTURING OVERHEADS Job costing, standard costing, calculation of an overhead recovery rate and the application of the overhead. 5. THE MANUFACTURING FACILITY AND CASH FLOWS Income statements under both absorption and marginal costing and the reconciliation of income under both methods. 6. MARKETING COSTS Preparation of a budgeted income statement. 7. PRODUCT ORIENTATED COST SYSTEMS 8. COST-VOLUME-PROFIT ANALYSIS Calculation of break-even if a certain sales mix is maintained 9. BUDGETS Advantages of budgets, principal budget factor, zero-based budgeting, difference between fixed and flexible budget, benefits of cash budgets etc. 10. STANDARD COSTS What is a standard cost, Aims of standard costing, Uses of standard costs Classification of standards, Advantages of a standard costing system Preparation of a standard cost card is important and the build-up e.g. standard manufacturing cost, total standard cost, standard profit and standard selling price Elementary manufacturing variances material price and quantity, excluding mix and yield variances labour rate and efficiency excluding sub-variances manufacturing overhead variances separate variable and fixed manufacturing overhead variance Sales variances, selling price, sales quantity, cost price and cost quality variance Persons to be held responsible and causes of sales variances 11. SHORT- TERM DECISIONS Price determination. Acceptance of a special order. The elimination of non-profit products. 12. SUMMARY It is of utmost importance that costing principles, behavior of costs and costing techniques utilised in short-term decision making are understood. Format of the exam Part A totals 25 Marks consisting of short and medium length questions for 5-10 marks on theory. Part B totals 50 marks and consists of Essay questions: 20 marks each with sections for 5-10 marks The learner will be required to apply theoretical knowledge. 3 out of 4. Part C: totals 25 marks and is case study based. The learner is required to read a short case study and to answer questions about the case using what was learned in the course. The aim of the exam is to assess a learner s knowledge of the practice of Production and Operations Management (Management Practice pre-2000) RECOMMENDED TEXTBOOK Adendorff SA, de Witt PWC et al. Production and Operations Management: A South African Perspective. 2nd Edition 1997, Johannesburg: International Thomson Publishing. OUTLINE OF SYLLABUS 1. THE OPERATIONS MANAGEMENT FUNCTION The importance, role and scope of operations management The relationship to other business functions

8 The operations management system Current issues facing operations management 2. ACTIVITIES, TECHNIQUES AND METHODS 1. Operations design, Product design, planning process, life cycle, design tasks 2. Operations process: planning and control Capacity planning: fixed & variable, demand management Aggregate planning and master scheduling Scheduling for each type of operations system Inventory and purchasing planning and control Quality planning and control 3. Operations improvement: 4. Project management 3. DECISION-MAKING TOOLS AND TECHNIQUES Students are required to understand the context in which the following may be used, as well as to be familiar with the Technique and the descriptive and practical tools such as charts and graphs that are used to convey information. Decision trees, Linear programming, Break-even analysis, Network techniques, PERT, CPM, Gantt Charts, statistical process control and Work study. Format of examination Part A totals 25 Marks consisting of short & medium length questions for 5-10 marks on theory. Part B totals 50 marks and consists of Essay questions: 20 marks each with sections for 5-10 marks The learner will be required to apply theoretical knowledge. Learners choose 3 out of 4. Part C: totals 25 marks and is case study based. The student is required to read a short case study and to answer questions about the case using what was learned in the course. The aim of the exam is to assess learners knowledge of the practice of QUANTITATIVE TECHNIQUES Text Book Prescribed Reading Trevor Wegner, Applied Business Statistics, Methods and Application OR Harper - Statistics (M & E Handbook) - 5th edition SYLLABUS OUTLINE 1. INTRODUCTION Uses, terminology, statistics and computers, data types (know four types of data), data sources (external vs. internal, primary vs. secondary) and data collection methods. Also have an understanding of precision, approximations and rounding. 2. DESCRIPTIVE STATISTICS Sampling theory Definition of a population and a sample. Sampling methods - including probability sampling (simple random, stratified, systematic, cluster and multi-stage) and non-probability sampling (quota and judgmental). Frequency distributions Definition of discrete and continuous data. Construction of a frequency distribution and understanding of limits, boundaries and intervals. Graphing frequency distributions (histograms, polygons and ogives) Measure of Central Position Calculation of the mean, median and mode for all forms of data (i.e. raw data, an array, an ungrouped frequency distribution and a grouped frequency distribution). Understand their differences and uses. Be able to find quartiles, deciles and percentiles. Measures of Dispersion Calculation of range, quartile deviation, standard deviation and variance for all forms of data, understand when they are used and what they tell you. Definition of skewness and kurtosis (no calculation). 3. PROBABILITY AND STATISTICAL INFERENCE Probability Definition of probability and the different types of probability. Understanding of union, intersection and complement of events. Knowledge of conditional probability. Ability to apply the probability rules (addition and multiplication rules with the understanding of mutually exclusive events and independent events.). Permutations and combinations. Probability Distributions Discrete probability distributions - recognition of experiments which follow a Binomial or Poisson distribution and calculation of the probabilities of events. Continuous probability distribution - The Normal distribution. Use of the standard normal distribution and calculation of probabilities and z-values. Estimation of parameters Tests of Hypothesis The Chi-square contingency test. (Critical t-values and Chi-squares values will be given.) IV. INDEX NUMBERS, TIME SERIES, REGRESSION AND CORRELATION Index numbers Calculation of Laspeyre and Paasche indices. Uses and limitations. Trend analysis by the methods of semi-averages, least squares, and moving averages. Linear Correlation and Regression Analysis

9 Plotting of a scatter-graph. Calculation of Pearson s correlation coefficient and interpretation 4. REPRESENTATION OF STATISTICAL DATA, TABLES, CHARTS AND GRAPHS Construction of tables, diagrams (pie charts, simple bar charts, component bar charts, multiple bar charts, pictograms) and graphs (line graph, Lorenz curve and Z-chart) Benefits Note to students: A normal standard distribution table and a list of formulae will be made available to students during examinations. Exam Format Part A is compulsory.(40 Marks) Short questions and basic Calculations Part B (60 marks) Consists of a choice of 3 out of 4 questions to test your knowledge in depth ORGANISATIONAL BEHAVIOUR Prescribed Textbook: Organisational Behaviour 4th edition by R Kreitner & A Kinicki Mc Graw Hill 1998 (ISBN ) or Organisational Behaviour by Stephen Robbins Recommended Reading: Managing Transitions - Making the most of Change by William Bridges published by N Brealey Publishers (ISBN ) 1995 Summary Syllabus: Introduction: 1. FOUNDATIONS OF A BEHAVIOURAL APPROACH TO WORK PART A: ORGANISATIONAL LIFE CYCLE MANAGING DIVERSITY Defining, managing, barriers & challenges ORGANISATIONAL CULTURE High-performance Cultures, values, ethics,& socialisation 2. PART B: CHANGE Dynamics of change, resistance to change, learning organizations. INDIVIDUAL DIFFERENCES AND PERCEPTIONS MOTIVATION TEAMWORK, Group dynamics COMMUNICATION LEADERSHIP STRESS Symptoms, outcomes, moderators & stress reduction techniques. Format of the Examination Part A 40 marks Compulsory multiple choice or short questions Part B 60 marks Choice of 3 out of 4/5 longer questions which may be divided into parts.