The Essentials of Budgeting & Business Finance

The Essentials of Budgeting & Business Finance

About the Course:  

The Course focuses on the internal view of an organization: strategic decision making, budgeting and cost control. The program will increase your understanding of the overall budgeting process and how it fits in to the strategic objectives of your organisation. The budget is an extremely powerful tool and can be used for many purposes including motivating staff, setting performance indicators, achieving control over costs, maintaining good cash flow and making correct capital project decisions. However, it is important that all managers in every department understand the budget and appreciate that it is a vital component of managing organizations. To do so, it is imperative to create a culture of performance measurement and spread it throughout the organization as finance meet the business.

 

Course Objectives

By the end of this course you will be able to:

  • Understand the importance of linking finance with the business
  • Understand the purpose of budgets and their impact on the organisation.
  • Appreciate the place of the budget in strategic planning
  • Understand the motivational effects of budgets
  • Understand how budgets are used both for planning and for control
  • Understand how budgets can be used for responsibility accounting
  • Develop a true cost awareness
  • Thinking beyond the budget as finance get operationalized

 

who should attend : 

  • The staff person who will be responsible for the budget system
  • Those who want to gain control of the firm's financial standing and obtain a firm grasp on the numbers side of their job.
  • Anyone who wants to understand the basics of budgeting

  

 Course Outline

 

Strategy & Budgeting: Creating a “Business Finance” Culture

  • The complexity of managing contemporary organization
  • Strategic Plan, Budgeting, Costing and Management Control
  • Management Accounting for organizational control systems
  • Responsibility accounting and the process-view
  • The Budget and its role for achieving organizational targets
  • What is it the situation in your organization
  • Problems and Examples - Case study illustration

 

Issues of Budgeting

  • The Budget and its role for achieving organizational targets
  • The limits of the budget
  • The Master budget and it schedules
  • The motivational aspects of budgeting
  • The linkages between budgeting and costing
  • Cost classifications
  • Problems and Examples - Case study illustration

 

Costing for Budgeting Purposes

  • Cost terms and methodologies
  • Inventoriable vs. period costs
  • Manufacturing vs non-manufacturing costs
  • Variable vs. Fixed costs (CVP analysis)
  • Direct vs. indirect cost
  • Under-costing and Over-costing problems
  • Problems and Examples - Case study illustration

 

Flexible Budgets & Variance Analysis

  • The budgets and performance measurement as tools for communications
  • What is it the situation in your organization? How to improve it?
  • The imperative of value-creation: towards value-based budgeting
  • Describe the difference between a static budget and a flexible budget
  • Compute flexible-budget variances and sales-volume variances
  • Integrate continuous improvement into variance analysis
  • Cases, problems and exercises

 

Balanced Scorecards: Tools To Bring Finance In The Business

  • Bringing Finance in the Business by making the strategy visible
  • The balanced scorecard and its four perspective
  • Implementing the balanced scorecard
  • Setting Objectives and KPIs
  • Developing the Strategy Maps
  • Develop a Balanced Scorecard for your organization
  • Exercises and Case study

Certificates

A Certificate of Completion will be issued to those who attend & successfully complete the programme.

Schedule

  08:30 – 10:15 First Session

 10:15 – 10:30 Coffee Break

10:30 – 12:15 Second Session

 12:15 – 12:30 Coffee Break

12:30 – 14:00 Third Session

 14:00 – 15:00 Lunch

Training Methodology:

This interactive training course includes the following training methodologies as a percentage of the total tuition hours:

  • 30% Lectures, Concepts, Role Play
  • 30% Workshops & Work Presentations, Techniques
  • 20% Based on Case Studies & Practical Exercises
  • 20% Videos, Software & General Discussions
  • Pre and Post Test

Fees

 The Fee for the seminar, including instruction materials, documentation, lunch, coffee/tea breaks & snack is: