FINANCE FOR NON FINANCE PROFESSIONALS

1 DAY COURSE OUTLINE - FINANCE FOR NON FINANCE PROFESSIONALS

Objective:

This program is designed to impart key basic knowledge to line managers about some common financial management reports to enable them to carry out simple analyses so that they can identify the health of operations and trigger their concerns for making improvement in their own areas of responsibilities. Decisions made without proper understanding of the financial implications may lead to lesser profit and a reduction in shareholder value.

Deliverable:

By the end of this program, participants will be able to:

1.   monitor, measure, manage and motivate to achieve its desired results

2.   Understand the various financial implications that are pertinent to management control and measure effectiveness of operations

3.   Analyze the financial ratios to identify the company’s financial position confidently and able to assess the overall big picture.

4.   Carry out analyses measuring its operations, stock management and inventories control ratios through both financial & non-financial tools

5.   Make use of the 9 pointers to have quick overall brief of the company and zoom in those critical areas

6.   Craft their strategic and operational plans in sustaining its business growth and profitability.

7.   Analyze the impact of certain financial statement choices on key financial ratios and what to look for.

Key Topics:

1.   Essential financial management terminology, information and tools

2.   The importance and limitations of using numbers to predict, plan and control

3.   Main Components of Financial Statements (Balance sheet, P&L account, Cash flow Statement,    Notes to the Accounts) and integrated with company strategy and vision;

4.   The relationships, usefulness and limitations of each component of Financial Statements with real-world class cases & what to look for.

5.   Gain financial discernment and confidence to positively impact on bottom line

6.   Understanding the Big Picture of doing Business

7.   Looking beyond numbers for its story

8.   Understand the 9 Pointers of Financial Analysis and its importance

9.   How to achieve Progress, Profitability and Prosperity in today’s rapidly changing world.

10. Understanding, analyzing and using Financial & Non-Financial Ratios in management

11. Understand the Cash Operating Cycle, Cash Conversion Cycle and Free Cash Flow, their importance

Day 1:

Icebreaker

MODULE I. 9 Pointers

·       Quick Bird’s Eye View and the template

·       What are they?

·       Why they are important?

·       How they function?

·       The Starting point of the analysis

MODULE II. Fundamental Accounting Concepts & Main Components of Financial Statements Explained

·                Back to Basics

·                5 keys Fundamental Concepts used in the preparation of financial Statements and their implications

·                What are they?

·                What is financial accounting all about?

·                Essential Accounting Concepts Real time quantitative insight to the performance of business processes

·                Enable the management to make corrective action and be in control of the processes

MODULE III. Various Financial, Non-Financial Ratios and Leading Indicators

·                Analysis and diagnostic tools

·                This session explores the various financial diagnosis, meanings, relationships, dimensions and their implications. Benchmarking, efficiency and improvement measures

·                Lagging and leading indicators

·                80/20 Rules and Principles

·                Their usefulness, relationship and limitations

·                Real Classes/Exercise/Article Discussion

MODULE IV. How to read, analyze and interpret the Financial Statements

·                What are the major components of the financial statement?

·                Mechanics and flow

·                Details Construction

·                The relationships, usefulness and limitations of each components

·                Real world class cases

·                What to look for

·                Story beyond numbers

·                Major Financial & Non-Financial Ratios

·                Uncover and appreciate what some clear warning signals are in financial statements

·                Real Classes/Exercise/Discussion

MODULE V. Cash is King

·                Be Clear Why Cash is King.

·                Understand the difference between the impact on profit and cash

·                Understand the cash operating cycle and what affects a company’s cash flow

·                Manage the cash operating cycle

·                What is Cash Conversion Cycle?

·                What is Free Cash Flow?

·                Why it is important?

·                What to be cautious about?

·                Key Drivers

·                Priorities

Sum Up/ Q & A

Key take-back messages 

END OF DAY I