JAGSOM Core Courses: Vital Few Concepts PDF

**Core Courses: Vital Few Concepts** **For Comprehensive Examination** **Batch 2023-25** **[\ ]** **[Index]** **S.No.** **Course Name** **Page No.** ----------- --------------------------------------------------- -------------- 1 Managerial...

**Core Courses: Vital Few Concepts** **For Comprehensive Examination** **Batch 2023-25** **[\ ]** **[Index]** **S.No.** **Course Name** **Page No.** ----------- --------------------------------------------------- -------------- 1 Managerial Accounting 2-3 2 Financial Accounts & Financial Statement Analysis 3-4 3 Corporate Finance 4 4 Business Economics 4-5 5 Marketing Management 5-6 6 Organisational Behavior 6-7 7 Human Capital Management 7-8 8 Introduction to Digital Business 8-9 9 Service Operations Management 9-10 10 Business Strategy & Simulation 10-11 11 Managerial Decision Making 11-12 **[\ ]** Essential Concepts of Managerial Accounting =========================================== 1. **Introduction to Managerial Accounting** - Understanding the difference between financial accounting and managerial accounting - Importance of managerial accounting information in planning and decision-making, implementation, and control 2. **Cost Classification and Concepts** - Cost - **By cost behaviour:** variable costs, fixed costs, semi-variable costs -- identify type of cost from given data - **By traceability:** direct costs, indirect costs - Product costs, period costs - **Other cost classifications:** prime cost, conversion cost, total cost, unit cost, opportunity cost, sunk cost, out-of-pocket cost, controllable cost, non-controllable cost, quality cost, committed cost, notional cost, normal loss, abnormal loss, relevant cost, irrelevant cost, differential cost - **Cost concepts:** cost object, cost unit, cost driver, relevant range, overheads 3. **Cost-Volume-Profit Analysis** - Contribution margin/contribution per unit - Profit-volume ratio (P/V Ratio) - Break-even point (BEP) - Multi-product BEP - Profit - Margin of safety - Target profit and target sales - Relationship between cost, volume, and profit - Sensitivity analysis/What-if Decisions -- how sensitive is contribution margin, P/V ratio, BEP, sales, profit, and margin of safety to change in price/variable cost/fixed cost - CVP analysis and operating leverage 4. **Cost sheet** - Structure of cost sheet - Direct material cost, direct labour cost, prime cost - Factory overheads, work-in-progress adjustments, factory cost - Cost of production - Cost of goods sold - Administrative overheads, marketing overheads - Total cost, unit cost - Profit margin, cost plus pricing - Items excluded from cost sheet and reasons thereof - Understanding and analysing cost structure (manufacturing vs. service companies) 5. **Introduction to Product Costing Systems** - Job costing, contract costing, batch costing, process costing, operating costing - Identifying the costing system for different industries 6. **Overheads** - Overheads -- accumulation, allocation, absorption - Traditional/Direct method - Overhead rates, plantwide overhead rates, departmental overhead rates, use of overhead rates to allocate costs and calculate total cost - Limitations of traditional method of allocation of overheads and its impact on costing - Activity based costing (ABC) - Unit level costs, batch level costs, product level costs, facility level costs - Cost driver, cost driver rates, use of cost driver rates to allocate costs and calculate total cost - Benefits and limitations of ABC 7. **Short-Run Decision-Making** - Concept of marginal cost, relevant cost, irrelevant cost, differential cost - Use of marginal cost, relevant cost, and differential cost for decision-making -- make or buy decision, pricing a special order, resource utilisation decisions (key factor), adding/dropping a product. 8. **Budgeting (overview)** - Budget and budgetary control - Understanding budgeting process in an organisation - Overview of types of budgets -- sales budget, production budget, material, labour, manufacturing overheads, marketing, and administrative overheads budget, cash budget, master budget - Flexible budget 9. **Variance Analysis (overview)** - Understanding variance analysis as means of control - Standard costs, actual costs, variances - Overview of types of variances -- material, labour, overhead, sales - Why does material, labour, overhead, and sales variance arise? (understanding of reasons) \-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-- ================================================================================================================================================================================================================================================================================================= Essential Concepts of Financial Accounting and Financial Statement Analysis =========================================================================== 1. [Accounting Principles, Concepts and Standards]: - Separate Entity Concept - Accounting Period Concept - Money Measurement Concept - Going Concern Concept - Historical Cost Concept - Conservatism Concept - Materiality Concept - Consistency Concept - Matching Concept - Revenue Recognition Concept - Accrual Concept - Dual Entry Concept 2. Accounting Equation 3. Accounting standards like GAAP, IFRS, and Indian Accounting Standards 4. Financial Statements of Companies 5. Statement of Profit and Loss 6. Balance Sheet 7. Cash Flow Statement 8. Analysis of Financial Statements using Ratios - **Short Term Liquidity Ratios** - **Solvency Ratios** - **Profitability Ratios** - Efficiency Ratios - Growth Ratios - Du-Pont Ratio. \-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-- Essential Concepts of Corporate Finance ======================================= 1. [Time Value of Money, Annuities, Annuity Due, Perpetuity, Loan amortization]: 2. [Risk and Return]: 3. [Debt instruments]: 4. [Capital Asset Pricing Model]: 5. [Cost of Capital: ] Cost of equity capital using CAPM, Use of DDM to compute Cost of Equity Capital, Cost of debt capital using YTM, Concept of Weighted Average Cost of Capital (WACC), Computation of WACC using debt and equity cost of capital, Use of WACC in cashflow discounting problems 6. [Capital Budgeting:] Concept of Internal rate of return and its use, Concept of NPV and its use, Comparison of NPV and IRR and learning when to use what, Concept of PI and its use in comparing projects of potentially different sizes, Concept of Payback period (PBP) and discounted payback period (DPBP). Determination of PBP and DPBP. 7. [Valuation:] 8. **[Leverage and Capital Structure:]** **Concept of Operating Leverage and its determination, Concept of Financial leverage and its determination, Concept of total leverage and its determination, Mogdliani Miller (MM) model without taxes and the quest for optimal capital structure, MM model with taxes** 9. **[Working Capital Management ]** **Net working capital, Operating Cycle concept, Estimation of working capital needs.** \-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-- Essential Concepts from Business Economics ========================================== **Core Course: Business Economics** **Microeconomics** 1. Demand and Supply - - - 2. Production and Costs - - - 3. Markets - - - -   **Macroeconomics and Indian Economy** - GDP -- calculation and related concepts - Circular flow of the economy - Mundel-Fleming model (IS-LM-BOP) - Fiscal and Monetary Policies - The impossible trinity - Phillips curve - Poverty and unemployment - - - Three phases of Indian Five Year Plans - Policies: FERA, LPG reforms, PDS, MGNREGAS \-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-- Essential Concepts - Marketing Management ========================================= Marketing Fundamentals: ======================= - Concept of Value - Concept of Need, Want and Demand - Concept of Customer Delivered Value - Ansoff's Grid Framework (Assessing growth opportunities) - 5Cs -- Customer, Company, Competition, Collaborator, Context - Marketing Mix Framework (4Ps) -- Product, Price, Place, Promotion - SWOT Analysis -- Strengths & Weaknesses are Internal: Opportunities & Threats are External - Choice of Market is Choice of Competition Buyer Behaviour: ================ - Type of Purchase -- Mundane, Utilitarian, Hedonic - Buying Roles -- Initiator, Influencer, Decider, Buyer - Stages in Buying Process (Consumer Buying and Business Buying -- Buying Centre) - Differences between the Consumer (B2C) and Business markets (B2B) Understanding Consumers: ======================== - Ǫualitative and Ǫuantitative Research - Choosing a sample - Research Techniques -- Interview, Focus Group, Survey Segmentation, Targeting and Positioning: ======================================== - Bases for segmenting consumer markets -- Geographic, Demographic, Lifestyle, Psychographic - Criteria for Effective Targeting -- Substantial, Measurable, Identifiable, Differentiable, Actionable - Developing a positioning strategy - Target Market, Competitive Frame of Reference, POP- POD - Points-of- Parity (POP) and Points-of-Differentiation (POD) Framework - Difference between Consumer, Shopper, and Customer 3Vs Framework: ============== - Linking Valued Customer (Target Customer), Value Proposition and Value Network - Creating a Value Proposition -- Eliminating, Reducing, Enhancing, Creating New - Value Chain Framework Brand Management: ================= - Concepts of Perception, Awareness, Association, Loyalty, Image - Models of Brand Equity -- Keller's Model and Aaker's Model - Concept of Brand Promise - Brand Elements - Branding Extension -- Line Extension and Category Extension Go-To-Market: ============= - Functions of Distribution (marketing intermediaries) - Levels of channels - Channel ROI - Channel Conflict - Customer Acquisition (Hunting vs Gathering) - Sales Funnel - Customer Journey Product Life Cycle (PLC): ========================= - Stages in PLC -- Introduction, Growth, Maturity, Decline - Strategies -- For Sunrise vs Sunset Categories Pricing: ======== - Concepts of Contribution, Break Even, Profit and Loss - Pricing Approaches -- Mark-up, Target Return, Perceived Value - Price Sensitivity Marketing Communication: ======================== - Firm Generated Content vs User Generated Content - 6M framework \-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-- Essential Concepts of Organizational Behaviour ============================================== 1. Organisation a. Organisation Structure Forms & Characteristics b. Introduction to Organisation Behaviours c. OB Models d. Psychology, Social Psychology, Sociology and Anthropology and its connection with OB 2. Individual a. Attitudes, Job Satisfaction, Emotions and Mood b. Theories - Personality and Values i. Sigmund Freud ii. Big Five iii. Carl Rogers and Abraham Maslow iv. Albert Bandura v. MBTI vi. Person Job Fit vii. Person Organisation Fit c. Learning Theories (Operant, Classical, Cognitive, Reinforcement etc.) d. Perception and Individual Decision Making - e. Theories of Motivation  3. Group Behavior a. Foundation and Stages  b. Working in teams i. Problem Solving ii. Stakeholder Management iii. Implications for Managers c. Leadership i. Leadership Theories and Models d. Power & Politics ii. Tactics iii. Causes and Consequences iv. Implications for Managers e. Conflict and Negotiation i. Types of Conflict ii. Sources of Conflict \-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-- Essential Concepts of Human Capital Management ============================================== 1. Brief History of HR and factors Affecting Labour 2. Workforce Planning a. Organisation Structure b. Organisation Context c. Organisational Strategy, Task Strategy, Individual Strategy d. Manpower planning e. Hiring f. Onboarding 3. Recruitment a. How to conduct a job analysis. b. Job Analysis -- Job Description and Specification. c. Job Enlargement vs Job Enrichment d. Resume Building. e. Sourcing (Internal Vs External) f. Screening 4. Selection 5. Learning & Development a. Need for Training b. Learning Theories c. Conducting a Training Need Analysis d. Designing a Training Program e. Implementing Training Program (Phases) f. Measuring Efficiency of Training 6. Performance Management a. How to form SMART Goals b. Identifying, Forming and Measuring KPI and KRA c. Basic Competency Mapping d. Balance Scorecard e. Managing Performance f. Appraisal g. Feedback 7. Total Rewards a. What is it? b. Importance c. Components of Total Rewards (Compensation, Benefits, Recognition) d. Designing compensation structure e. Implementating a Total Rewards structure f. Components of CTC 8. Employee Experience and Engagement \-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-- Essential Concepts of Introduction to Digital Business ====================================================== I. **Introduction to Digital Business** - What is Digital? - What is Digital Business? + Digital Transformation - 7 Traits of effective digital enterprises - Gartner's 6 key steps for building digital business. II. **Pipes Vs Platform Business Models** - Three strategic shifts to move from pipes to platforms. - Five factors that lead to exponential growth. - What is network effect? - Types of Network effects - Power of network effect - 5 C's to boost the network effects - Forces within platform ecosystems - 4 key players in a platform ecosystem - Platform Properties - Types of platforms - Key Elements of Platforms - Key metrics to measure platform ecosystems - Darkside of Platform Economy III. **Domains of digital transformation (Digital Transformation Play book by David Rogers)** - Five domains of digital transformation - Customer - 5 network behaviours of customers and respective customer network strategies - DART Model of Co-creating unique value with customer - Competition - Economics of complements to build asymmetric digital business models - Data - Innovation - Seven Principles of Rapid Experimentation - Value - Why digital transformation fail? IV. **Network Value Creation ( Network Imperative by Barry Libert)** - 4 Types of business models - How do the business models scale? - Traditional Vs Network organization - 10 strategies to build network organizations. - PIVOT -- 5 step process for building network organizations. V. **Digital Business Models (SAP White Paper)** - 9 building blocks of a business model canvas - 5 key digital elements to build digital business models - 11 digital focus areas VI. **Digital Matrix ( Digital Matrix by Venkat Venkatraman)** - 4 types of success traps - 4 laws that influence the digital infrastructure - 3 dimensions of business - Digital Matrix - Three types of players - Three phases of transformation \-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-- Essential Concepts of Service Operations Management =================================================== **Introduction to services:** - Definition of a service - The differences between goods and service - Characteristics of a service - Importance of service in the economy - Introduction to service operations management **Understanding the Service Process:** - Understanding the service process - The Service Marketing Mix - Designing a service process: The Servicescape Model - Standard Operating Procedures (SOPs) in a Service Process - Importance of considering perishability of Services - The business model of servitization: economic impact for a company **Analysing a Service Process:** - Performance analysis of service process through process measures - Workload Balancing - Takt Time - Line Balancing - Throughput, Batching and bottlenecks - Connection between service operations and strategic competitiveness - Emerging technologies in service operations: AI, Automation and Chatbots - Outsourcing service operations to customers **Defining and Measuring Service Quality:** - Definition of service quality - Customer journey and interactions in a service process - Trade-offs involved in service quality and cost - The efficiency frontier - Garvins's 8 Dimensions of quality - Service Quality Measure -- SERVQUAL and E-SERVQUAL - Metrics of SERVQUAL and E-SERVQUAL - Service Failure - causes and remedies - Service recovery and its importance in service operations - Role of people and processes in service recovery **Dealing with uncertainty in Services:** - Role of queues in service operations - Performance measures for queues: throughput, waiting time, service rate - Different types of queues: M\\M\\1, M\\M\\c and G\\G\\c and their related performance measures - Application of statistical process control (SPC) in service process improvement - Important measures and charts in SPC: Upper and lower control limits, Upper and lower specification limits, out of control processes, X-Bar chart, R Chart. **Revenue Management:** - Definition of revenue management - Importance of revenue management in services - Differences between strategic pricing vs revenue management - Applications of newsvendor model in service revenue management - Optimal capacity design for revenue management - Application of statistical tools for revenue management: the two class problems - Optimal capacity and booking policies for customers who cancel - Concepts of no-shows and overbookings \-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-- Essential Concepts from Business Strategy and Simulation ======================================================== **Core Course: Business Strategy and Simulations** Understanding the External Environment - Porter's 5 force model - Barriers to entry by potential competitors. - Bargaining power of buyers - Bargaining power of suppliers. - Nature of rivalry between competitors. - Impact of substitutes. Understanding the internal environment and competitive positioning - Competitive Advantage - Cost Leadership - Differentiation - Value Chain Framework - Tradeoffs - Notion of Fit Resource based view of competitive advantage - The VRIO model and its application Strategy and Technology - Pipelines vs Platform Business Models - Role of Complements. - Direct Network Effects - Indirect/Cross side Network Effects - Strength of Network Effects - Multi-homing - Disintermediation \-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-\-- Essential Concepts of Managerial Decision Making ================================================ **Concept of Decision Making** - **What is a decision: choice, alternatives, goals, constraints, uncertainties** **Data-driven Decision Making** - **Role of Data in today's decision making -- examples** - **Examples of data used in decision making in each functional area -- Marketing, Finance etc** - **Examples of data analytics in decision making** - **Methodology of a data analytics project -- CRISP DM:** - **Different phases in CRISP-DM: business understanding -\> data understanding -\> data preparation -\> modeling -\> evaluation -\> implementation** - **What happens in each phase** - **Iterative nature of the analytics projects** - **Different types of analytics - Descriptive, Predictive & Prescriptive Analytics** **Data and its computer representation** - **Scales -- nominal, ordinal, interval and ratio** - **Difference between the scales** - **Examples of different scales of data** - **Data types -- integer, float, Boolean, character, string, date, currency, etc** **Measures of Central Tendency** - **Mean** - **Median** - **Mode** - **Quartile and Percentage** - **Managerial Applications of the above** - **Related Excel formulas** - **When to use Median (concept of outliers)** - **When to use Mode (concept of frequency counts)** - **Which measure is appropriate for which scale** - **Skewed distributions** **Measures of Dispersion** - **Range** - **Standard Deviation** - **Variance** - **Inter Quartile Range** - **Related Excel formulas** - **Managerial Applications of the above** **Sampling and Hypothesis Testing** - **Sampling and its applications in decision making** - **Sampling vs complete enumeration** - **Different types of sampling:** - **Probabilistic vs non-probabilistic sampling** - **Simple Random Sampling** - **Systematic Sampling** - **Stratified Sampling** - **Cluster Sampling** - **Errors in sampling** - **Basic Concepts in Hypothesis Testing:** - **Concept of null and alternate hypotheses** - **Type I and Type II errors** - **Different types of hypothesis tests: t-test / z-test, left-tailed / right-tailed / two-tailed test, paired sample test, Chi square test and ANOVA** - **p-value and its significance** - **Applications of each test: drawing inferences** **Correlation and Regression** - **Concept of bivariate data** - **Scatter charts for bivariate data** - **Concept of correlation** - **Correlation vs causation** - **Applications of correlation** - **Concept of regression:** - **Concept of dependent and independent variables** - **Simple linear regression -- concept of straight line** - **Multiple regression** - **Concept of Residual and R^2^** - **Interpretation of results from regression** - **Application of regression as a predictive tool**