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Business Acumen Advanced Fact Sheet
Business Acumen Advanced Course Outline
Objective:
For managers and professionals with 5+ years of experience who need to (1) increase finance, accounting and business decision-making knowledge beyond the basics, (2) integrate key financial reports and ratios into a scorecard, and (3) prepare capital appropriation requests to fund new initiatives, programs and projects.
In Finance for Non-Financial Managers, participants learn from finance experts and work in a team with a run a computer business simulation of a start up business, NOT a board game. They choose a business strategy: (1) low cost producer, (2) choose only high value customers, or (3) a blended approach. Each team makes operational and tactical decisions to achieve their strategy within strict time limits. They raise capital, borrow funds, set prices, hire staff and order equipment, with immediate feedback on results. They see funds on screen flow into each account on each report right before their eyes; key ratios are updated on a master spreadsheet.
Day One reviews three basic financial reports and ratios under GAAP accounting. Then participants read, interpret and analyze your company’s financial reports and key performance ratios with insights gained from initial discussion. All these ratios are then integrated together in one model so people can trace and link all performance metrics to build a scorecard. They learn product costs, setting prices, selecting business strategy, and choosing the best decisions to achieve that strategy.
Day Two gets teams to forecast revenues and costs, develop a budget, and manage against their budget. They learn to calculate capital requirements for new products or projects, and compute the cost of capital, define product costs and set prices. They learn to prepare appropriation requests and calculate the time value of money, net present value, payback and hurdle rates. Finally, each team prepares a capital project justification which they present to others for critique.
Compresses one year of business experience into 16 hours of intensive hands-on learning.
Key Learning Points:
DAY ONE
- Review of 3 key financial reports, performance ratios and your company’s latest financials
- Learn how to effectively use the automated spreadsheets and templates
- Set business strategies and make decisions to achieve them
- Define product costs and choose a pricing strategy; set product prices
- Analyze global supply chain and cost implications
DAY TWO
- Understand the Price Elasticity of Demand. Advanced Revenue Recognition and the Pricing Waterfall.
- Set customer service strategy and pricing
- Prepare Forecast of Revenues and Costs – set budget; manage a business against a budget; plan vs. actual
- Identify Capital Allocation Strategies and tools used by senior management
- Prepare Capital Appropriation Requests (CAR) and cost benefit analysis for new products, programs and capital investment projects
- Implement new product or project and see financial impacts
Recommended For:
For Program and Middle Managers, Senior Project Leaders, Product and Brand Managers, or anyone with profit and loss responsibility who manages against a budget and makes or decides on capital investment requests.
Pre-requisite: Basic Finance Course or Bottom-Line Finance Foundations
Length: 16 Hours
PDU Credits: 15