Mastering Planning, Budgets And Forecasts

Overview

Understand the principles and methodology around financial planning and budgeting and master these tools and techniques to achieve results in your business.

Who should attend

All managers and others who have responsibility for the preparation, control and review of budgets and forecasts.

Course objectives

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

> Understand the purpose and benefits of sound budgeting processes to improve financial performance
> Select the most appropriate approach to budgeting
> Know the techniques to help you prepare reliable budgets
> Master key financial indicators and tools

Course content

Fundamentals of Budgets
> Budgeting as part of the business plan
> The procedures available and steps to implement them
> Communication, management and planning tools
> Assessing the operational and financial benefits

Analyse the Budget Process
> Key budgetary statements
> Compiling the budgets and avoiding pitfalls
> Using budget processes to motivate and build the team
> Negotiating, reviewing and updating the budget

Budgetary Control in Practice
> Tracking sales and monitoring costs
> Implementing checks and balances
> Setting and analysing contractual terms
> Understanding the impact on cash flow

Identify Costing Methods
> Choosing between marginal and absorption costing
> Advantages and disadvantages of each method
> Implementation of chosen costing method

Master Variance Analysis
> Sales and fixed/variable cost variances
> Idle time and overhead variances
> Mix and yield variances - effects on margins
> Interpreting and investigating variances

Analyse Management Accounts
> Selecting and interpreting key performance indicators
> Reactive or proactive approaches and re-forecasting