Outlines

 

Module 1

Welcome & Introduction

Course Objectives

Module 2

The fundamentals of Financial Planning and Forecasting

- What is a financial plan?

- Why is planning an important concept in managing a business?

- What is the difference between planning and forecasting?

- Who is responsible for the financial planning function in the business?

- Planning for costs and revenues

- Why do business costs need controlling?

- Uncontrollable costs – do they exist?

- Who has the responsibility for cost management in the business?

- Overview of the financial statements and how they interrelate

- The Balance Sheet – the financial "snapshot" of the business

- The Profit and Loss Statement. How can we project it out for 5 years?

- What are the more important items you should look for?

- What the financial statements will not disclose - how can we get behind the figures?

 

Module 3

Forecasting and controlling revenues: sales and service income

 

- How are sales revenues to be estimated – top down or bottom up?

- Are there different approaches between manufacturing and service businesses?

- Does market and field research have apart to play in this process?

- Working Capital and its importance

- What is working capital and what does it mean for business?

- How much working capital does a business need in the future?

- The importance of cash flow forecasting

 

Module 4

Forecasting materials usage in manufacturing and non-manufacturing businesses

 

- Classifying materials used in manufacturing

- Valuing materials and controlling stocks of materials

- Managing Non-manufacturing material costs – indirect costs

- Budgeting for materials and purchases – direct costs

 

Module 5

Forecasting and budgeting direct and indirect labour costs

- Planning labour costs both direct and indirect

- Recording direct and indirect labour costs

- Budgeting for direct and indirect labour costs

 

Module 6

Forecasting and Budgeting direct & indirect expenses

- Forecasting direct & indirect expenses

- Types of expenses

- Budgeting for direct and indirect expenses

 

 

 

Module 7

Flexible budgets: concepts, development and application

- What is flexible budgeting?

- Use of sensitivity analysis

- Importance of flexible budgeting in practice

 

 

Module 8

Budgeting and forecasting capital expenditures

- Difference between capital and revenue expenditure

- Organisation of capital expenditure budget approval systems

- Need for capital project monitoring

 

 

Module 9

Budgeting and controlling cash flows

- Turning budgeted sales revenues, costs and capital expenditure plans into a cash

budget forecast

 

 

Module 10

Completion procedures and applications of the overall profit plan or master

budget

- The financial planning and forecasting process as a control system within the business

- The behavioural aspects of accounting control systems

- Responsibility budgeting, accounting & control ideas

- Zero based budgeting concept (ZBB)

- Activity based management (ABM) and Activity based costing (ABC) defined

Who Should Attend

The course is for non-financial and financial mid to upper level managers in every functional area and all industry sectors both in the public and private sectors. Managers from areas such as marketing, sales, and services finance, manufacturing, or engineering, who use financial data for decision-making. It is for other participants in a position to influence the design of their organizations’ planning, control, costing, and performance measurement systems.

Duration

5 Days