Strategic Planning, Analysis, Financial Control & Budget Preparation
Course Code: FA14
►Course Objective
- How precise an answer is necessary with regards to problem-solving and decision-making?
- How reliable are available financial data, and how is uncertainty and risk likely to impact on the outcomes of decisions?
- In economic and financial analysis, what are the implications and relative importance of cash flow as distinct from accounting profit?
- What limitations are inherent in financial data and the key financial statements, and how will these affect financial analysis?
- How important are qualitative judgments in the context of decision-making?
►Target Audience
- Accounting professionals
- Financial executives
- Auditors
- Financial analysts
- Bankers
- Investment bankers
- Any other professionals involved in the preparation, presentation, implementation or analysis of financial statements prepared in accordance with IFRs
►Course Outline
DAY 1
The Challenge of Financial Economic Decision-Making
- The practice of financial/economic analysis
- The value-creating company
- Corporate value and shareholder value
- A dynamic perspective of business
- The agency problem and corporate governance
- What information and data to use?
- The nature of financial statements
- The context of financial analysis and decision-making
DAY 2
Assessment of Business Performance
- Ratio analysis and business performance
- Management’s point of view
- Owners’ point of view
- Lenders’ point of view
- Ratios as a system – pyramids of ratios
- Integration of financial performance analysis
- Economic value added (EVA)
- Predicting financial distress
DAY 3
Projection of Financial Requirements
- Interrelationship of financial projections
- Operating budgets
- Standard costing and variance analysis
- Cash forecasts and cash budgets
- Sensitivity analysis
- Dynamics and growth of the business system
- Operating leverage
- Financial growth plans
- Financial modelling
DAY 4
Analysis of Investment Decisions
- Applying time-adjusted measures
- Net present value (NPV) and internal rate of return (IRR)
- Strategic perspective
- EVA and NPV
- Refinements of investment analysis
- Equivalent annual cost (EAC)
- Modified internal rate of return (MIRR)
- Sensitivity analysis, scenario analysis, simulation, and NPV break-even
- Dealing with risk and changing circumstances
DAY 5
Valuation and Business Performance
- Managing for shareholder value
- Shareholder value creation in perspective
- Evolution of value-based methodologies
- Creating value in restructuring and combinations
- Financial strategy in acquisitions
- Business valuation
- Business restructuring and reorganisations
- Management buy outs (MBOs) and management buy ins (MBIs)
Register for this course
Date & Location