Financial Insights for Non-Financial Managers
This course is designed to help operational managers demystify finance to confidently manage and portray financial performance to superiors and finance professionals. From key performance indicators, to profit optimization, receivables and payables, this course shows non-financial managers the concepts, tools, and techniques to make each decision pay off—on the job and on the bottom line.
You’ll learn to manage growth by understanding sources of revenue in relation to the price-volume-cost-customer relationship, and make smarter decisions to deliver higher growth and profitability. A variety of learning tools will be provided including videos, worksheets, case study exercises, scorecards, glossary of definitions, and roadmap.Dates + Registration
Who Should Attend?
This two-day course applies to mid-career managers with revenue and budget responsibility for division, operational, or business units.
Following this course, participants will be able to articulate financial performance, understand essential budgeting techniques, conduct break-even analysis, and create a cash flow forecast.
- Learn how to evaluate financial statements to accurately represent your unit or division contribution to the overall organization in a concise format with KPI’s (key performance indicators), pertinent ratios, and scorecard.
- Identify how budgets, capital structures, and annual report statistics, contribute to the success of an organization. Learn best practices (and pitfalls) for essential budget planning and monitoring
- Understand the relationship between price-volume-cost-consumer acquisition and how changes can affect revenue and profitability
- Create a cash flow forecast projecting seasonality, accruals, and write-offs and relate to the income statement
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DAY 1: 8 a.m.-5 p.m.
- ARTICULATE FINANCIAL PERFORMANCE: Learn how to evaluate financial statements to accurately represent your unit or division contribution to the overall organization in a concise format with KPI’s (key performance indicators) and pertinent ratios, using a scorecard, roadmap, and case study application.
- Analyze the income statement to assess revenues and expenses and key performance indicators
- Review income statement and balance sheet and their meaning to the wider organization
- Understand budgeting and financial management roles in the organization and reasons behind requests for information
- Review divisional P/L impact on organizational financial statements
- Understand key finance terms: assets, liabilities, capital, depreciation, capitalization, current ratio, and others
- Understand a statement of cash flow: sources and uses of funds, where cash comes from and how it's applied
- Learn criteria for examining the performance of divisions and product lines
- Calculate key financial ratios using the financial Statements and evaluate: liquidity, profitability, competitive benchmarks, and division performance vs. budgeted goals
- UNDERSTAND ESSENTIAL BUDGETING TECHNIQUES: Identify how budgets, capital structures, and annual report statistics contribute to the success of an organization.
- Differentiate between cash, capital, cost of goods sold and earnings, and how each influence the budgeting process
- Learn best practices and pitfalls in budget planning and monitoring
- Preparing a capital budget: techniques to forecast capital expenses & distinguish between capital vs. operating expenditures
- Tips to keep your plan on target with budgetary controls and key performance indicators
- 5:01 p.m.: Networking event
DAY 2: 8 a.m.-5 p.m.
- CONDUCT “Plug and Play” BREAK-EVEN analysis with provided worksheet and relate the impact of changes to price-volume-cost-customer acquisition to revenue and profitability.
- Analyze revenue/volume sources, price, and expenses, and relate to key performance indicators
- Discuss sources of revenue and costs (variable vs. fixed) to attain positive growth related to customer: acquisition, retention, and satisfaction
- Conduct cost and contribution margin analysis and exposure to volume/price risks
- Categorize costs to make better decisions and determine break-even levels of quantity, price and cost. Understand the concept of “operating leverage” and the cost of capital
- Optimize results to align with short and long-term goals using in-class exercises
- CREATE A CASH FLOW FORECAST
- Utilize provided worksheet to create a cash flow forecast, projecting seasonality, accruals, cost of goods, inventory, and relate trade-offs between the balance sheet and income statement.
- SCHEDULE 1:1 ASSESSMENT
- Take the assessment and submit worksheets. Take the assessment and apply the course concepts to your own specific budget demonstrating your understanding to the instructor/coach in a one hour follow-up session.
- A quiz will be provided to show understanding of the course material. You will provide a demonstration of the course concepts when applied to each participant’s real budget and financial statements
- Review quiz and personal worksheet assessment assignment in 1:1 coaching session
- Sign up for session at end of class to be accomplished within one week following the training
The course will apply principles to your company/unit budget or profit and loss statement (P/L). Bring your specific company or unit budget or profit and loss statement (P/L) for review and application. You should also study the glossary of definitions and prerequisite materials provided prior to the course attendance.
Suggested Reading; The Great Game of Business by Jack Stack
Dr. Michael J. Page - Professor Extraordinaire, Stellenbosch Business School, South Africa Honorary Professor, University of Cape Town (UCT) at the Graduate School of Business (GSB)
Michael Page is Professor of Finance and Management and a past Provost and Vice President for Academic Affairs at Bentley University in Massachusetts. He also holds an Extraordinary Professorship at Stellenbosch University Business School, South Africa.
Before joining Bentley, he served as the Dean of Post-Experience Programs at Erasmus University’s Rotterdam School of Management and as the Executive Director of the Rotterdam School of Management BV, The Netherlands. Page joined Erasmus after sixteen years at the Graduate School of Business of the University of Cape Town, South Africa as a professor in Finance.
Page currently serves on the boards of the European Foundation for Management Development (EFMD) and South Africa Partners. He has just completed a six year term on the board of the Association to Advance Collegiate Schools of Business (AACSB, International) during which time he also served for six years on the AACSB’s Committee for Issues in Management Education (CIME). He serves on advisory boards for Nagoya University of Commerce and Business (Japan), Cape Town University’s Graduate School of Business (South Africa), École Nationale des Ponts et Chaussées (ENPC) School of Management, Paris (France), Kedge Business School, Bordeaux and Marseille (France), the Russian Presidential Academy of National Economy and Public Administration, Moscow (Russia), and the Erasmus Centre for Women and Organisations, RSM Erasmus University (The Netherlands). He has also previously served on the international advisory board of Chulalongkorn University’s Sasin Graduate Institute of Business Administration (Thailand).
Page's thirty years as business school academic includes having held professorships in finance, executive education, and management, and senior academic administrative positions on three continents. He has served for eight years as statutory director of private companies including as general (managing) director, three years as a senior consultant and fund management advisor, and been senior partner in a small consulting business that advised organizations on maximizing their human and social capital.