Financial Analysis, Planning and Control

Financial Analysis, Planning and Control

OBJECTIVES

• What is the exact nature and scope of the issue to be analyzed?
• Which specific variables, relationships, and trends are likely to be helpful in analyzing the issue?
• Are there possible ways to obtain a quick “ballpark” estimate of the likely result?
• How precise an answer is necessary in relation to the importance of the issue itself?
• How reliable are the available data, and how is this uncertainty likely to affect the range of results?
• Are the input data to be used expressed in cash flow terms—essential for economic analysis—or are they to be applied within an accounting framework to test only the financial implications of a decision?
• What limitations are inherent in the tools to be applied, and how will these affect the range of results obtained?
• How important are qualitative judgments in the context of the issue, and what is the ranking of their significance?

WHO SHOULD ATTEND?

This seminar is a ‘must’ for Chief Financial Officers, Financial Controllers, Finance Professionals and Executives, Accountants, Directors, Treasurers, Corporate Planning and Business Development Professionals, Sales and Marketing Professionals.

Middle and junior personnel will also find this seminar highly useful in their career advancement. All participants will be able to offer their input, based on their individual experiences, and will find the seminar a forum for upgrading and enhancing their understanding of best corporate practices in the areas examined.

COURSE OUTLINE 

DAY 1

The Challenge of Financial/Economic Decision-making

• The Practice of Financial/Economic Analysis
• The Value Creating Company
• A Dynamic Perspective of Business
• The Nature of Financial Statements
• The Context of Financial Analysis

DAY 2

Assessment of Business Performance

• Ratio Analysis and Performance
• Management’s Point of View
• Owners’ Point of View
• Lenders’ Point of View
• Ratios as a System
• Integration of Financial Performance Analysis
• Some Special Issues

DAY 3

Projection of Financial Requirements

• Pro Forma Financial Statements
• Cash Budgets
• Operating Budgets
• Interrelationship of Financial Projections
• Financial Modelling
• Sensitivity Analysis
• Dynamics and Growth of the Business System
• Leverage
• Financial Growth Plans

DAY 4

Analysis of Investment Decisions

• Cash Flows and the Time Value of Money
• Components of Analysis
• Methods of Analysis
• Applying Time-Adjusted Measures
• Strategic Perspective
• Decisional Framework
• Refinements of Investment Analysis
• Dealing with Risk and Changing Circumstances
• Cost of Capital and Business Decisions
• Weighted Cost of Capital
• Cost of Capital and Return Standards

DAY 5

Valuation and Business Performance

• Definitions of Value
• Value to the Investor
• Business Valuation
• Managing for Shareholder Value
• Shareholder Value Creation in Perspective
• Evolution of Value-Based Methodologies
• Creating Value in Restructuring and Combinations