Best Practices in Financial and Operational Budgeting

Overview of the Seminar

The importance of a realistic budget cannot be overemphasized. As developing the strategic plan of a business has become imperative, the need to translate the plan into budget becomes critical. Clearly, strategies have to be linked with the budget and targets.

This two-session webinar will provide you with the necessary skills to develop the master budget of an organization. It details the approaches, processes, and contents of the various types of budgets. By and large, the seminar highlights the need to link the budget with performance measurement and explores methods to analyze the variances.


Objectives

At the end of the seminar, the participants will be able to:

       a. Explain the relationship between a plan, the strategies, the budget, and performance measurement
       b. Describe the modern roles of financial management and the essential attributes of the finance managers
       c. Illustrate the whole budget process and prepare the various components of the master budget: operational budget, cash budget, financial budget, and capital expenditure budget
       d. Analyze variances and interpret their causes
       e. Apply budgeting tools and techniques in specific business situations


Course Contents

       1. Plan-Budget Linkage
           Why plan requires budget?
           Translating Strategy Into Targets and Budgets
           Aligning Budget with strategic Plan
           Using Budget to Measure Performance
           Behavioral Considerations in Budgeting

       2. Financial Management in Business Organizations
           Finance Function Transformation
           Finance Function Migration
           Four Faces of the CFO
           Six Key Attributes that Set Leaders Apart
           How Finance Leaders Boost Performance

       3. The Budget Process
           Types of Budgets
           Benefits of Budgeting
           Approaches in Budgeting
           Contents of a Budget
           Forecasting Methods
           The Master Budget

       4. The Cash Budget
           Cash Receipts Budget
           Cash Disbursements Budget
           Interpreting the Cash Budget
           Operating Cycle

       5. The Operational Budget
           Sales Budget
           Production Budget
           Selling and Administrative Budget
           Budgeted Income Statement

       6. The Financial Budget
           Cash Budget
           Budgeted Balance Sheet

       7. The Capital Expenditure Budget
           Nature of Capital Expenditures
           Determining the Cost and Returns of Capital Expenditures
           Evaluating the Capital Expenditures

       8. Variance Analysis as a Budgetary Control
           Analyzing Budget Performance
           Identifying Causes of variances
           Interpreting Variances

       9. Budgeting Applications
           Scenario Analysis
           Scenario Analysis


Who Must Attend:

Business Owners, Entrepreneurs, Chairmen of the Board, Board Directors, CEOs, CFOs, Finance Directors and Managers, Budget Officers, Credit Analysts, Accountants, Financial Analysts, Planning officers, Business Consultants, Budget Analysts, Budget Preparers such as accounting clerks, and assistants.

Anyone interested in professionalizing their budgeting processes are invited. This is open to the General Public.