Finance for Non-Financial Managers

There is a great need for better communication between Financial and non-Financial professionals, for a better tool to help the Non-Financial Manager understand the language of Finance, and for the Financial professional to learn the terminology that has meaning for the Non-Financial Manager

Course Outline:

Module 1: How Critical is Good Financial Information, Anyway?

  • Managing a Company in Today’s Business Environment
  • The Role of the Finance Department
  • IFRS: The “Rules” of Financial Reporting
  • The Relationship of Finance and Accounting to their Departments

Module 2: The Structure and Interrelationship of Financial Statements

  • Tracking the Life Cycle of a Company
  • Accounting Is Like a Football Game on Videotape
  • The Chart of Accounts—A Collection of Buckets
  • The General Ledger—Balancing the Buckets
  • Accrual Accounting
  • The Principal Financial Statements Defined

Module 3: The Balance Sheet: Basic Summary of Value and Ownership

  • Assets and Ownership
  • Current Assets—Liquidity Makes Things Flow
  • Fixed Assets—Property and Possessions
  • Other Assets
  • Current Liabilities
  • Long-Term Liabilities—Borrowed Capital
  • Ownership Comes in Various Forms
  • Using This Report Effectively

Module 4: The Income Statement: The Flow of Progress

  • They Say Timing Is Everything
  • Sales:
  • Cost of Sales:
  • Gross Profit: The First Measure of Profitability
  • Operating Expenses: Running the Business
  • Operating Income: The Basic Business Bottom Line
  • Other Income and Expenses
  • Income Before Taxes, Income Taxes, and Net Income
  • Earnings per Share,
  • Using This Report Effectively

Module 5: A Profit vs. Cash Flow: What’s the Difference?

  • The Cash Flow Cycle
  • Cash Basis vs. Accrual Basis
  • Net Profit vs. Net Cash Flow in Your Financial Reports

Module 6: The Cash Flow Statement: Tracking the King

  • Beginning Where the Income Statement Ends
  • Cash from Operations
  • Cash for Investing
  • Cash from Financing
  • Using This Report Effectively

Module 7: Critical Performance Factors: Finding the “Hidden” Information

  • What Are CPFs
  • Measures of Financial Condition and Net Worth
  • Measures of Profitability
  • Measures of Financial Leverage
  • Measures of Productivity
  • Trend Reporting: Using History to Predict the Future
  • Cost Accounting:
  • The Purpose of Cost Accounting
  • Fixed and Variable Expenses in the Factory
  • Controllable and Uncontrollable Expenses
  • Standard Costs—Little Things Mean a Lot
  • Manufacturing Cost Variances

Module 8: Business Planning: Creating the Future You Want

  • Why Take Time to Plan?
  • Strategic Planning vs. Operational Planning
  • Vision and Mission—The Starting Point
  • Strategy—Setting Direction
  • Long-Term Goals—The Path to the Mission
  • Short-Term Goals and Milestones—The Operating Plan

Module 9: The Annual Budget: Financing Your Plans

  • Tools for Telling the Future: Budgets, Forecasts, Projections
  • How to Budget for Revenues
  • Budgeting Costs
  • The Budgeting Process
  • Flexible Budgets
  • Variance Reporting and Taking Action

Module 10: Financing the Business: Understand the Debt vs. Equity Options

  • How a Business Gets Financed
  • Short-Term Debt
  • Long-Term Debt
  • Convertible Debt
  • Capital Stock
  • Attracting Outside Investors
  • The Entrepreneur’s Path
  • The Start-up Company
  • Professional Investors
  • Venture Capitalists
  • The Initial Public Offering
  • Strategic Investors:
  • Acquisition

Course Duration:

2 days

  • The course is offered in-house and can be custom made to include specific examples and exercises based on the organisation’s activities.
  • The course is wholly interactive combining theory with role play, team exercises and group interaction.
  • Evaluation happens through participation and group discussion

Who should attend:

  • Managers
  • Project managers
  • Sales people

Contact us for more Information or to Book Training