Finance
 

Finance for Non Finance

In a competitive world, any business organization revolves around ‘money’. The bottom line of the business that decides whether it is a success or failure is its balance sheet. Hence it is imperative that every employee of the organization needs to think and act beyond the realms of an “employee” and start owning his area of activity. Each responsible person of the organization needs to think as a “Business Owner” who would produce profitable results for the organization

This program is aimed at the Operations Executives, who do not have a background in dealing with finance. This workshop gives an insight into the ‘nuts’ and ‘bolts’, in finance and accounting. It deals with the basic concepts and techniques, which have immediate practical applications, and assumes no background in finance. It would equip the participant with sufficient knowledge to have an appreciation of the fundamentals of management accounting like product costing, profit planning and decision making, and applying the same. Working capital management consisting of cash, receivables and inventory management, management of credit sales, effect on cash flows of credit sales etc. is also dealt with.

Duration : Two Days

Objectives:
  • Understand the basic accounting model and its limitations.
  • Analyse and interpret financial statements.
  • Importance of Cash Flow in Business.
  • Understanding Financial Ratios.
  • Understand the Budget process and forecasting techniques.
  • Identify key value drivers to help manage the value of a business.
  • Understand different valuation techniques and respective benchmarks.
  • Link financial objectives to strategy.
  • Understanding Financial Markets and Instruments.
  • Understand what drives some of the most common errors in business and how to avoid them.
  • Apply management accounting tools to business problems.
  • Introduction international financial management.
 
Methodology
Interactive group processes, Case studies, Group exercises.
 

Cost Management.

Cost Management, rejects the notion that “Cost-happen” and embraces the perspective that all costs can and should be managed to meet organizational goals. “Cost Management” identifies & chooses among opportunities for improving organizational performance.Sometimes the focus is directly on managing costs through feedback to managers. Anticipating and managing the drivers of costs is even more effective.This approach to analyzing costs strives to manage costs by modeling the impact of managers’ decisions on cost drivers, cost & profits.

Duration : Two Days

Objectives:
After studying this topic, you should be able to.
  • Understand the concept of Financial Accounting, Cost Accounting and Management Accounting.
  • Understand role of Financial Accounting, Cost Accounting and Management Accounting.
  • Understand the various concepts in the three types of Accounting Systems.
  • Understand the difference between the three systems of Accounting.
 
Methodology
Interactive group processes, practicing all tools learnt.
 

Zero Budgeting.

Modern businesses are an epitome of uncertainty and complexity. Over the period, this uncertainty and complexity in business has led to the development of various managerial tools, techniques and procedures useful in managing business successfully. Of all these, budgeting is the most common and widely used standard device for planning and control. This course provides fundamental understanding of budgeting, budgeting process and includes a practical guide for preparing and mastering financial budgets.

Duration : Two Days

Objectives:
After studying this unit, you should be able to:
  • Explain the concept and meaning of zero base budgeting
  • Distinguish zero base budgeting from traditional budgeting
  • Trace the developments which necessitated the introduction of zero base Budgeting
  • Describe the process involved in implementation of zero base budgeting and
  • Discuss the problems and benefits in implementation in zero base budgeting system
 
Methodology
Interactive group processes, practicing all tools learnt.
 

Capital Budgeting.

Introduction
Companies can make very large expenditures to obtain fixed assets, sometimes so large that an inappropriate investment will place an organization in severe financial jeopardy. To mitigate this risk, companies use a process of analyzing and ranking proposed projects to determine which fixed assets to invest in, which is called capital budgeting.

Duration : Two Days

Objectives:
  • • Describe the role of capital budgeting options in valuing projects.
  • • Distinguish between hard and soft capital rationing
  • • Describe the role of non - quantifiable considerations in capital budgeting
  • • Determining Project Cost and Cash Flow
  • • Understanding of project finance
  • • Understanding different sources of financing
  • • Explain the drawbacks of simple mechanical rules in complex capital budgeting cases
  • • Apply the principles of finance to capital budgeting
 

Derivatives & Risk Management.

Introduction
The Program is aimed at individuals who require a complete understanding of risk management issues. Our vertical learning approach begins with the introductory quantitative methods material that clients need to understand the more complex topics in risk management. This course breaks down each major topical area (options, futures, swaps, financial modeling) into basic and advanced treatments.

Duration : Two Days

Content :
  • Quantitative Methods for Derivatives
  • Risk: The Basics
  • Options: The Basics
  • Options: Advanced Topics
  • Options - Options Embedded in Other Assets
  • Futures and Forwards - The Basics
    • Introduction and Definitions
    • Payoffs of Futures and Forwards
    • Mechanics of Futures and Forwards
  • Forwards and Futures: Advanced Topics
    • Pricing Forwards and Futures
    • Hedging and Synthetic Portfolios
    • Introducing Forward Rate Agreements
    • The Continuous-Time Model
  • Swaps: The Basics
  • Swaps: Advanced Topics
  • Caps and Floors
  • Risk: Advanced Topics - Financial Risk
 
Methodology
Interactive discussions, Case studies, Group work.
 

Foreign Exchange & Treasury Management.

This course group provides an in-depth understanding of the various risks (transaction, translation and economic exposure risks) a corporate is exposed to, when dealing in foreign exchange. The sources of these exposures and techniques to mitigate them, using different financial instruments are discussed. Various caselets in the form of simulations are provided for better understanding. A 10-point checklist for sharing currency risks in long-term contracts is one of the highlights of this course.

Duration : Two Days

Content :
  • Treasury Management – Scope and Importance
  • Overview of Risk Management
    • Concept of Risk
    • Risk Management Process
    • Determination of Business Objectives
    • Identification of Risks
    • Measurement of Risk
  • Translation Exposure
  • Transaction Exposure
  • Economic Exposure
    • The impact of Forex on Operations
    • Interface with Sourcing, Pricing, Production siting, Marketing and R&D
    • Fixed Vs. Variable costs
    • Exchange Rates:The impact on competitiveness
    • Management of Economic Exposure or Operating Exposure
  • Currency Risk Sharing Agreement
    • Sharing Currency Risk in Long-term Contracts
    • Evaluating Agreements for Currency Risk Sharing
    • Range Forward vs. Currency Risk Sharing Agreement
 
Methodology
Interactive discussions, Case studies, Group work.
 

Taxation.

The various forms of taxation of our country can be very complicated and often confusing. However, taxation affects every business and therefore a basic understanding of the tax system is necessary to ensure compliance with the relevant laws. This course focuses on the two forms of taxation that affects all businesses on a daily basis – direct and indirect taxes.

Duration : Two Days

Content :
  • The concept of Indirect Taxes
  • The broad principles and concept of levy & collection of Indirect Tax
  • The Central (Inter-State) and State (Intra-State) Taxes
  • The importance, calculation & implications of Indirect Taxes
  • Various types of indirect taxes
  • The significance and relevance of various forms under indirect tax laws
  • Implications on the organization
  • Direct taxes
  • Implications to individuals and organizations
 
Methodology
Interactive discussions, Case studies, Group work.
 
Expected participants
Managers, supervisors and professionals who wish to understand NLP, its use and how it relates to their work.
 

ABC Technique.

Activity based costing (ABC) assigns manufacturing overhead costs to products in a more logical manner than the traditional approach of simply allocating costs on the basis of machine hours. Activity based costing first assigns costs to the activities that are the real cause of the overhead. It then assigns the cost of those activities only to the products that are actually demanding the activities.

Activity based costing recognizes that the special engineering, special testing, machine setups, and others are activities that cause costs—they cause the company to consume resources. Under ABC, the company will calculate the cost of the resources used in each of these activities.

Duration : Two Days

Content :
  • The basic concept of Product Costing-pros and cons.
  • The broad methodology of Activity Based Costing.
  • The major costing heads for product costing viz. Material, Labour & Overheads.
  • The concept of Cost Centre, Profit Centre, Activity Centre, Investment Centre etc.
  • The step by step approach for implementation of ABC
  • Using ABC for managerial decision making.
  • Using ABC to maximize overall profitability.
  • Implications for the organization.