Certified Financial Analyst Evaluation, Budgeting & Decision Making
Certified Financial Analyst Evaluation, Budgeting & Decision Making
OBJECTIVES
- Learn how to use financial statements to evaluate the financial/strategic performance of an organization
- Understand discounted cash flow (DCF) techniques and their application to financial decision-making
- Use ratios to quickly pinpoint areas of concern
- Identify key success factors, weak financial signals, and strong financial signals in your own industry sector
- Learn the metrics used by the world’ leading companies, how to use them, & why
- Confidently project your firm’s future performance through real-world budgeting
WHO SHOULD ATTEND?
- Financial professionals from all sectors, who wish to test their high performance and high potential knowledge, skills, and attitudes will benefit from attending this training session
- Similarly other Professionals and Functional personnel, who wish to refresh their financial knowledge base, will obtain a more integrative financial overview
COURSE OUTLINE
DAY 1 – Getting started with Financial Analysis (what has happened so far)
- The role & responsibilities of financial management
- The relationship between accounting & finance in analysis
- A review of the basic financial statements and their roles
- Why ROI is still a good place to start
- Identifying key success factors in your industry sector
- Ratios: what they are, which ones to use, & why
- Financial review compared to targets and expectations
- Financial performance measurement systems
- Key accounting assumptions
DAY 2 – Moving beyond the basics in financial analysis
- The two kinds of Free cash flow (FCF)
- Altman’s Z-Score and what it really means
- Du Pont analysis and what it tells us
- Scenario analysis: how to calculate it & what it tells us
- Sensitivity analysis: how to calculate it & what it tells us
- Trend analysis: when is a trend a trend? What to do?
- Improving Return on Equity (ROE)
DAY 3 – Evaluation of the information (where we are today)
- How do I interpret these details?
- What are the important metrics & why?
- Annual reports, footnotes and beyond; what can they signal?
- Short-term success evaluations process and measures
- Industry data, sources, & uses
- Benchmarking for evaluation purposes
- EVA, RONA, EBITDA, etc.: what do they mean & how to use them?
- Calculating the results of analysis
DAY 4 – Budgeting and the Management Process (the future)
- Strategy – direction and vision
- Implementing strategy – the operational planning process
- Budgets – the financial expression of the operating plan
- The purpose of budgets – control
- The human side of budgeting
- Elements of the budget framework
- Advantages and limitations of budgets
- Reporting – the key to control
DAY 5 – Completing the budget using the tools we have learned
- Assumptions
- Master budget
- Proforma financial statements: Income statement, balance sheet, cash flow statement
- Capital expenditure (CapEx) budget
- Sales & marketing budget
- Production budget
- General & Administrative budgets