-Budgets and Models as a critical element of management and financial strategy
-The analysis of opportunities, risks, and rewards in the context of Capital Projects
-Controlling costs by analysis, modeling, KPI’s and review of the cost drivers
-Develop a broader view in the context of the enterprise’s objectives and constraints
Course Curriculum
Module 1: The need for Financial Control in Business
Understanding accounting principles and methods
Management accounting versus financial accounting
The relationship between business management and financial management
How budgeting fits into the bigger picture
How cost management improves an organization’s financial position
Key aspects of managing working capital
Understanding Accounting Principles and Methods: Lesson 1
00:00
Module 2: Budget Construction and Control
Nature and purpose of budgets for planning and control
Types of budgets and budgeting
Creating Key Performance Indicators for financial and non-financial performance
Building a budget
Budgetary control and variance analysis
Budgeting for non-financial measures -introducing the Balanced Scorecard
Module 3: Full Costing, Marginal Costing and Activity Based Costing
Direct and indirect costs in budgeting for decision making
Role of costs in pricing strategies
Activity Based Costing (ABC)
Managing cost control
Module 4: Cost Analysis and Management
Understanding cost structure and behavior
Costs as a relationship to outputs – cost/volume/price relationship
The concept of contribution margin
Break-even analysis for planning and control
Cost allocation and apportionment
Benefit-cost analysis
Module 5: Capital Budgeting and Investment Appraisal
The time value of money
Understanding Appraisal Techniques – Net Present Value (NPV), Internal Rate of Return (IRR) and Payback period
Probability Models (Monte Carlo), Stress Testsand Value at Risk (VaR)
The use of Sensitivity analysis in evaluating projects
Strategic considerations in assessing capital projects
Creating an effective Capital Budgeting framework
