Boards generally focus on published financial statements, which are focused on external stakeholders and as such are woefully inadequate understanding the internal financial drivers and the likely impact of such drivers on the financial position of the organisation.

That is where internal reporting or management accounting comes into play. Management accounting combines financial information with other operational information to understand the likely financial outcomes of changing operational factors.

Management accounting is vital to ensure the financial sustainability of organisations in highly competitive and volatile environments.

This presentation will assess the role of management accounting and delve into a case study of how one organisation used the basic management accounting principles and tools to obtain a better understanding of its operations and their financial impacts.