Course Content

Synopsis The essentials of finance for non-financial managers. This 3-day MBA in financial management is tailor-made for executives and managers with a non-financial background who are responsible for profit or cost centres; corporate IT, HR or other significant areas and have a significant impact on the organisation’s bottom line. Additionally, not-for-profits and government instrumentalities might find relevance.

Synopsis
The essentials of finance for non-financial managers.

This 3-day MBA in financial management is tailor-made for executives and managers with a non-financial background who are responsible for profit or cost centres; corporate IT, HR or other significant areas and have a significant impact on the organisation’s bottom line. Additionally, not-for-profits and government instrumentalities might find relevance.

DAY ONE
Fundamentals and foundations of
finance

Introduction to Finance and Accounting
• Seminar overview
• 3 financial statements game
• The 3 financial statements – how they link, how they differ

The Accounting Process
• The accounting process – source documents, ledger and reports

Excel-based exercises

The Forecasting Process
• The master budget
• The revenue budget
• Expenditure budgets
• Zero base budgeting
• Profit budgets
• Cash budgets
• Infrastructure budget

Costing and the Cost Allocation Process
• Accountant’s concept of cost
• Costing terms
• Allocate costs to products and services

Managing Working Capital
• Accounting for prepayments
• Plan inventory production, costing and valuation; recognise problem inventory
• Monitor debtors, recognise bad and doubtful debts and collection
• Manage creditors and recognise accruals

DAY TWO
Manage cash flows, financing investment and risk management
Cash Flow
• The cash flow cycles – operating, investing
and financing
• Evidence of self-generation and warning
signals
• Assess cash flow performance

Evaluating Sources of Finance
• Equity vs borrowing vs. self generation
• Types of equity, rights issues
• Types of borrowings – debentures,
corporate bonds, instalment-sale agreements, leasing, lease or buy decisions, bank overdrafts, factoring, commercial papers, financing through shippers, overseas borrowings
• Other – sale and lease back, venture
capital, business partners, project finance

Risk Management
• Forward contracts to hedge exchange rates
• Futures contracts to hedge interest rates
• Forward rate agreements (FRAs) to protect
against rises and falls in interest rates
• Swap contracts to reduce exposure to
increases in interest rates
• Futures options (using gilts/bonds) to hedge
interest rates

Production Capacity
• nvest in production capacity
• Production capacity life cycle
• Concepts of cost and depreciation

Evaluating Investment Proposals
• Break-even analysis
• Cash flows evaluation – payback period, net
present value, internal rate of return and
accounting rate of return

DAY THREE
Performance appraisal and ratio analysis
Regular Performance Review
• Reliability and timeliness of management
accounts
• Compare actual with budget
• Take remedial action to stay on track
• Consider implications for remainder of year

Analyse Financial Performance
• Review annual reports and using
spreadsheets
• Review the three financial statements over
time

Financial and Ratio Analysis
• Liquidity, management efficiency, financing and profitability ratios
• Asset utilisation
• Share performance, e.g. earnings per share
(EPS) and price/earnings (P/E) ratio
• Economic value added (EVA)
• Use analysis to improve performance

Practical Application
Group case study – you’ll review two companies’ annual reports and their performance through a spreadsheet over at least five years

Techniques for Valuing Businesses and
Assets
• Investigation – research and documentation, interviewing key personnel and external parties
• Net asset values (with and without goodwill)
• Capitalisation of earnings methods
• Discounted cash flow (DCF)
• Valuation of trademarks, name registrations,
copyrights, designs, patents etc.

Selected Course Date

22nd September 2010, 9:00AM - 24th September 2010, 5:00PM

Cost

AUD $4,945 = (USD $4,435)

Location

Sydney (Australia)
Venue to be confirmed at a later date.

Course Instructor

David Silipo

Leading financial coach for non finance managers, David has delivered this “3-Day MBA in Financial Management� workshop for non finance executives in public and private companies, not-for-profit organisations, as well as government bodies such as Australian Government (Department of Industry) and Hong Kong Government.