Responsibility Accounting- Different Measures of Financial Performance

To be adaptive during these trying times, the Finance Forum, Department of Finance, ITM Business School, Kharghar, Navi Mumbai organized a Finance Expert Series 2.0 on the topic “Responsibility Accounting- Different Measures of Financial Performance” for the PGDM Finance 2021-2023 Batch, Fintech 2021-2023 Batch & IFM 2021-2023 Batch Students on 05th January 2022. It was a very informative and interactive session. The Guest Speaker for the session was Dr. Indumathi Balachandar who is PhD, CMA & Teaching Experience of more than 30 years. 

Dr. Indumathi Balachandar is an academician and a Cost and Management Accountant. She has been in the field of education for more than three decades, teaching Finance to students with different backgrounds. She believes nurturing human values is true education. 

This guest lecture aimed to educate students about responsibility accounting and the different measures of financial performance. The session was interactive and very insightful if anyone wants to pursue their career in this field.

The session started with a brief introduction of responsibility accounting which tries to pinpoint an individual’s responsibility to an extent that the individual will be accountable for the cost incurred in his activity. The speaker explained the concept with the help of examples and by giving situations.

She talked about how the very first step in any organization is to set objectives and they should be clearly defined which help in providing direction to the employees. She further explained that how swot analysis helps in attaining the goals of the organization and the objectives at an individual level and organizational level are more feasible.

The speaker also discussed the different costs and the importance of identifying the controllable cost and uncontrollable cost. She further added about the MBO and how responsibility accounting is related to the controllable and uncontrollable costs followed by a delegation which is passing on the responsibility from one person to another.

Dr. Indumathi shared some examples related to delegation and decentralization such as college fest, etc. She further discussed the cost center.

It was a great initiative taken by the faculties of the Finance Forum for conducting this wonderful session of knowledge sharing and gaining to students who did not had much knowledge about this field and who are thinking of this as a career option. This wonderful session ended with the guidance of our teachers and our guest.