Learning Objectives
At the end of this program, each participant will understand:
- Why market conditions dominate business decisions,
- the difference between cash and profit,
- direct and indirect costs,
- the value of budgets and cash flow forecasts to management planning,
- the impact of inventory build-up and the need to control working capital, and
- financial statements and their management uses, ratios as measures for management.
Each participant will have these tools:
- basic financial statements – income statement, balance sheet,
- budgets and cash flow forecasts, including break-even analysis,
- income statement analysis, Ratio Analysis, and the “Triangle of Forces”, and
- net present value, discounted cash flow.
Each participant will experience:
- team decision making in each of the major roles in an operating company: production, R&D, sales and marketing, management, and finance,
- strategic planning,
- rapid response and niche markets,
- long term positioning and new product development,
- generating financial statements and calculating basic ratios for their operating company,
- preparing budgets and cash flow forecasts, including break-even graphs with allocations of overheads,
- using ratios and income statement analysis to compare their company to their competitor’s,
- identifying areas of operation needing improvement, and
- using ratios and other measurements to identify the “buttons” which drive company performance and behaviour.
Each participant will be better equipped to:
- interpret financial reports,
- prioritise and control costs,
- structure sales,
- reduce inventories and other working capital,
- target the best profit opportunities,
- analyse competitors,
- improve your bottom line through bench-marking,
- better serve internal and external customers, and
- understand how their actions impact other areas of the company.