INTRODUCTION FOR FINANCE, COSTING AND BUDGETING ANALYSIS FOR MANAGERS
This course is designed for managers who desires more knowledge about how to do finance analysis, budgeting and costing for a company department, cost center, project, products and services.
It also provides an accounting and finance primer to allow managerial professionals to do accurate costing, analysis, budgeting and forecasting to avoid issues of not meeting Key Performance Targets (KPI) targets.
COURSE OBJECTIVES
At the end of the program, participants will benefit from:
- Revisit your organization vision & missionto be relevant in today’s competitive environment.
- Devise ways to achieve your budget targets
- Learnt from successful budgeting using beyond budgeting approach
- Plan how to achieve optimum profitability under budget constraints
- Consider the basis for deciding whether to proceed or reject the project proposal
- Managing Materials, Labour & overheads costs
- Strategies On creating Turnaroundfor The Company via application of cost reduction and cost recovery strategies to manage and achieve target budget KPIs
- Strategies to Improve Debt Collection & Cash Flow
- Formulating Cost Reduction Strategies For Your Organization Costs
- Understanding the tracking Cost Control Using Key Performance Indicators (KPI)
METHODOLOGY
Lectures, Videos, Hands – On excel exercises and group discussions
COURSE CONTENT
Day 1
Session One: Essentials budgeting and forecasting basics
· Reviewing the basic financial building blocks: – Income Statement – Balance Sheet – Cash Flow as basis for budgeting.
· Setting objective of the business: Is the budget in-line with the target of the shareholders?
· Department budget components
· Budget creating analysis and forecasting strategies
· Strategies for aligning the department budget
Case Studies Analysis
Is your budgets well equipped to deal with external trends in the industry?
Session Two: Collaborative Budgeting and Forecasting Techniques
• Increasing participation of various department in the budgeting and forecasting process
• Working hand-in-hand with aviation associations and experts that help spot industry trends and forecast potential happenings in areas such as new airlines entrants, demand, prices and labour cost.
• Putting your corporate strategy at the forefront of the budgeting process: Is this the way moving forward?
· Understanding company’s financial management information systems
· Aircraft evaluation and acquisition
· Understanding the accepted industry budgeting and finance standards
• Identify weaknesses in your company’s department budget and suggest ways of improvement to optimise the accuracy and minimise potential deviations from the budget
Day 2
Session Three: Monitoring Budgets and Forecast essentials
· Prepare and identify cost recovery plans (e.g., charge backs)
· Using periodic financial reports to monitor budget progress
· Using budgets for planning and control
· Business plans and policies
· Understand accounting policies and procedures related to revenue and expense recognition
· Strategies for monitoring and controlling revenues and expense
Session Four: Increasing Organisations’ Competitive Advantage through Value Costing
• Understanding the importance of using relevant costs for decision-making models.
• Terminology, valuation principles and financial reports.
• Accurately estimating different costing categories: Fixed, Variable and Semi-Variable
• Recognising seasonality trends in the business that can influence cost forecasting
• Case Study Exercise: Participants will be given cost data and related supporting information from which you will create forecasting models, standard costs/budget values as well as estimating the fixed and variable behavior of the costs •
• Uncovering business challenges in cost management and segregating them into fixed, variable and semi-variable categories
Principles of sunk costs, operating costs, appraisals and bench marking
