Finance fornon-financial managers

Contact us:

WarszawaKatarzyna Babiarztel. +48 502 444 012katarzyna.babiarz@pl.ey.com

Wrocław & PoznańRenata Michalaktel. +48 508 018 460renata.michalak@pl.ey.com

Promotion to a higher position is a natural path of career development. President of theboard, director of operations or department manager are positions requiringorganisational skills, decision making skills, power of influence. The management are notcompletely unaware of financial issues. A director does not have to be a finance personbut without financial knowledge he will not be able to fully understand the consequencesof his decisions.

All managers should be comfortably able to read the balance sheet, income statementand statement of cash-flows. After participating in the course managers should be betterable to communicate with financial staff.Our training is intensive and practical. During workshops we work on real life financialstatements of trading and production companies.

It is possible to participate in chosen modules only. However we recommend for a betterunderstanding that you attend all modules.

► Reading and interpreting financial statements (2 days)► Analysis of an entity’s financial statement (2 days)► Tax & Law for Managers (2 days)► Investment project evaluation. Managing financial risks. Introduction to financial

markets (2 days)

► Management Accounting with MS Excel (2 days)

► ProfitQuest – strategic management business simulation (2 days)

Who is it for?This training module is addressed to

participants without formal training orbackground in finance, who, as part oftheir work duties, are required to applyand interpret information contained infinancial statements.

The training module is especiallyrecommended to:

► Owners of companies

► Managers of non-financial functions► All persons wishing to broaden their

understanding of finance

► Specialists

Training goals

► How financial statements arecreated?

► How major balance sheet and incomestatement positions are valued?

► What the cash flow statement shows?

► Why companies use differentaccounting policies and how financialreporting differs from taxaccounting?

► Why the auditor show up at thecompany and how to interpret his/heropinion?

► Can reported earning be improvedwithout moving from behind thedesk?

If yes, then this course is for you!

Programme► Methods of constructing the balance

sheet and income statement –interrelationships and dependencies(case study).

► Key balance sheet and incomestatement positions – rules forrecognition and measurement(exercises), including:

• Property, plant andequipment,

• Intangible assets,

• Inventory,

• Financial instruments,• Provisions,

• Receivables and payables,

• Accruals and prepayments,• Income tax (including

deferred tax)

• Rules for recognising incomeand expenses,

► Major financial accounting regulationsin Poland and globally (Polishaccounting act, InternationalFinancial Reporting Standards and USGAAP) – what they are and whoapplies them?

► The cash flow statement and thestatement of changes in equity – whatthey show and how to link them toinformation presented in the balancesheet and income statement(exercises).

► Standalone and group accounts –basics of consolidation (exercises).

► Comprehensive interpretation offinancial statements (case study).

► What can you find out by reading theauditor’s opinion?

► Creative accounting – what to lookout for when reading financialstatements? (exercises)

Benefits

After completing this training module,you will be able to:

► Understand how business decisionsmade by you impact key elements ofyour company’s financial statements.

► Feel more confident when talking topartners from the financedepartment.

► Reach for the financial statements ofyour own company, as well as thoseof your counterparties andcompetitors in order to find neededinformation

Key features

► We train using a mixture of lectures,discussions, short exercises andcomprehensive case studies.

► We illustrate theory with numerousexamples derived from real financialstatements.

► We do not require any ‘upfrontknowledge’ on the topic of finance.We do not avoid difficult topics butalways try to present them in a clearway.

Module:Reading and interpreting financial statements (2 days)

A precondition for participation in themodule is knowledge of the basicmechanism underlying theconstruction of financial statements ata level assumed after completion ofthe first module of this training cycle:“Reading and interpreting financialstatements”.

Program• Methods and types of financial

analysis

• Financial ratios –construction,interpretation, advantages anddisadvantages of principal ratiosrelating to(exercises):

► Profitability► Liquidity

► Efficiency

► Capital structure• Evaluating working capital

management (exercises).

• Assessing the quality of reportedearnings and balance sheet items(exercises):

► Limitations to income andexpense recognition

► Limitations to asset andliability recognition

• Analytical adjustments required dealwith the above limitations.

• Comprehensive analysis of acompany’s situation based on a setof financial statements (case study).

• Specific issues in credit analysis(exercises).

• Forecasting future performance(exercises).

• Contrasting sources of financing –advantages, disadvantages andcosts (case study):

► Equity capital

► Debt (bank credit, bonds,leasing

Benefits

After completing this training module,you will be able to:

► Assess the financial standing ofbusiness counterparties andcompetitors.

► Identify signals pointing todeterioration in financial condition.

► Understand how your company isassessed by shareholders andcreditors.

Key features

► We train using a mixture of lectures,discussions, short exercises andcomprehensive case studies.

► We illustrate theory with numerousexamples derived from real financialstatements.

Module:Analysis of an entity’s financial statements (2 days)

For who?This training module is addressed toparticipants without formal training orbackground in finance, who, as part oftheir work duties, are required to takedecision based on information containedin corporate financial statements.

This training module is especiallyrecommended to

• Owners of companies• Managers of non-financial functions

• All persons wishing to broaden theirunderstanding of finance

Aims

Do you want to know?

► How to draw conclusions about acompany’s condition on the basis ofinformation contained in the financialstatements?

► How to create and interpret ratiosthat are useful in performing financialanalysis?

► What to look for when analysingcompanies from different sectors andat different stages of development?

► How to evaluate a company’s creditworthiness and liquidity?

► How to assess a company’s sources offinancing?

► Whether a company’s financialstatements tell you how much it isworth? What is not shown in thefinancial statements and how to dealwith this?

If yes, then this course is for you!

For who?

This training module is addressed toparticipants without formal training orbackground in finance, who, as part oftheir work duties, are required to exhibitan understanding of investmentevaluation techniques, methods forhedging financial risks as well as anunderstanding of how financial marketsoperate.

Aims

Do you want to know?

► How to assess whether an investmentproject is worthwhile? How to findinputs for its evaluation?

► How financial markets determineinterest rates, foreign exchange ratesand other financial variables affectingyour company?

► How to use derivative instruments tohedge against price, exchange rateand interest rate volatility?

► Why Polish exporters incurred lossesin connection with foreign exchangerate options?

If yes, then his training module is foryou!

Program► Time value of money – present value,

future value, discounting (exercises).

► Methods for evaluating investmentdecisions – net present value (NPV),internal rate of return (IRR), paybackperiod, real options.

► Cost of capital – weighted averagecost of capital, adjusting for risk,decisions on project financing (casestudy).

► Sensitivity analysis in situations ofuncertainty (exercises).

► Identifying and measuring financialrisks in a company.

► Interest rates – what they are, howthey are determined, why theychange? (case study – decisions of theMonetary Policy Board, central bankoperations and the WIBOR).

► Foreign exchange rates – analysis ofcurrent trends in major currency pairs(case study – a week on the FOREXmarket, the driving forces behindchanges in currency rates).

► Financial markets structure –segments, markets and players.

► Derivative instruments as tools forfinancial risk hedging (exercises):• Forward and futures contracts

• Options

• Swaps► Correct and incorrect uses of multiple

derivative strategies (case study).

► What happens when financial marketsstop functioning rationally?

Benefits

After completing this training module,you will:

► Understand, which of the investmentprojects considered by your companyare worth initiating, and which arenot.

► Feel more confident to take part indiscussions on current financial andeconomic issues.

► Be able to identify financial riskswhich your company is exposed toand propose practical solutions tomitigate them.

Key features► We train using a mixture of lectures,

discussions, short exercises andcomprehensive case studies.

► We illustrate theory using up-to-datedata from domestic and globalfinancial markets.

► We do not require any ‘upfrontknowledge’ on the topic of finance.We do not avoid difficult topics butalways try to present them in a clearway.

Module:Investment project evaluation, managing financial risks, financialmarkets policies (2 days)

For who?The training is designed for people whomust prepare and use managementinformation as part of their work.

The course is specially recommended for:

► those starting their career in afinancial controlling environment ormanagement accounting function;

► employees planning to develop theircareers in financial controlling andmanagement(ex-auditors, bookkeepers);

► entrepreneurs;

► directors, managers or specialistswho receive information about theperformance of particularorganisational units and about thefinancial condition of the company ona regular basis.

► People not working in any financerelated department, howeverresponsible for budgeting.

Aims

The objective of the course is to presentmanagement accounting issues, sourcesof information and methods ofpresentation and use of this informationin business life using computers and anExcel spreadsheet.

Program

Cost accounting

• Introduction to cost accounting

• Direct and indirect costs. Fixed andvariable production costs.

• Absorption and marginal costing.• Methods of production cost

allocation.

• Activity Based Costing (ABC)

• Throughput accounting

Types and application of budgets

• Budgeting and control – strategic andoperating aspects.

• The objectives of budgeting, theirtypes and application.

Decision making process• Pricing methods and assessment of

product profitability.

• Costs to be considered when pricinga product or service.

• Using relevant costs and opportunitycosts in making short-term decisions.

• Calculation of a minimal price for one-off contracts using relevant costing.

• Optimization of sales mix.

• Making decisions under uncertainty.• Application of theory of constraints to

make business decisions.

• Factors that should be taken intoconsideration during decision makingthat do not influence financial datadirectly.

BenefitsAfter completing the course you will:

► know how to use managementaccounting methods to effectivelymanage your company or department

► know the advantages of budgeting► understand what is the cost of

business operations and how it maydepend on the accounting policyadopted

► be able to prepare relevantmanagement information

► feel more confident talking to thefinancial staff and receive relevantinformation

► be able to obtain financial informationand make more accurate businessdecisions

► know how to use Excel spreadsheetsfor budgeting and analysis offinancial information

Key featuresu The training takes the form of

computer workshops. Eachparticipant works on a seperatecomputer (you can either bring yourown or borrow one from us for theduration of the course)

u The course is intensive and practical.During the workshop, we will beworking on complex examples.Difficult issues will be explained in afriendly and understandable mannerfor all participants.

u Classes are taught by trainers withexperience in the business.

Module:Management Accounting with MS Excel (2 days)

For who?The PROFITQUEST workshop is speciallyrecommended for:

► business owners

► management of non-financialdepartments

► business process project managers

► internal auditors

► all those wishing to expand theirfinancial knowledge

► participants of our training course„Finance for non-financial managers”

► as well as all those wishing to developcompetencies in the area of businessmanagement, finance and strategybuilding

Key assumptions andobjectives

ProfitQuest is a business managementsimulation in which participants developtheir skills in strategic planning andthinking in financial terms and also inmaking business decisions.

The main objective of the workshop is tothrough a comprehensive look at thecompany, develop managerialcompetence in the field of strategicplanning.

The purpose of the simulation is to use inpractice the knowledge and skills ofbusiness management, taking intoaccount the risks associated with theactivities of the market (eg. Competition,or limited resources).

Program

Financial statements

► The objective of financial statements– the users of financial statements,usefulness of information

► The principles of financial statements’preparation

► Elements of financial statements –assets, liabilities, revenues, costs,equity and profit

► The most important elements offinancial statements – rules ofrecognition and measurement

► Analysis of costsMission, vision, strategy

► Discussion of different methodsof analysis: Porter’s Five Forcesanalysis, SWOT analysis, the BCGmatrix, risk analysis

► Practical task – preparation ofmission, vision and strategy for yourown company

► Practical analysis of risks relatingto a company’s environment

Introduction to ratio analysis

► Methods and types of financialanalysis

► Financial ratios – calculation,interpretations, advantages anddisadvantages of the most commonratios

► Practical use of ratio analysis in theprocess of business decision making

Exercises: profitability ratios, liquidityratios, efficiency ratios, capitalstructure ratios and solvency ratio

Company evaluation

► Strategy and management in order tobuild up the company’s value froma short- and long-term perspective

► Net assets valuations. Book value ofnet assets and current value of netassets

► Valuation methods based on income

Benefits

Upon completion of the program,participants will:

u Be able to draw up the relevantinformation for managementpurposes

u Be able to accurately make businessdecissions

u Learn the most important principlesof budgeting, sorts and application.

u Be able to anakyze the causes of theresulting devations from the assumedresults

u Undertsnad what the cost of theactivity is and why it may depend onthe adopted accounting policy.

u Be able to use MS Excel spreadsheetsfor budgeting and analyzing financialinformation

Structure

The course is performed as interactiveworkshops. The simulation takes twofull days (16 hours in total).It incorporates workshop sessionswhose purpose is to gain newknowledge and organise knowledgegained. During the simulation theparticipants can draw conclusions fromdecisions made under time pressure,choose a particular strategy andobserve its impact on the incomestatement, cash flows, balance sheetand on a company’s value.

ProfitQuestStrategic Management Business Simulation (2 days)

Timetable and Costs

Net Price

M: Reading and interpreting financialstatements

We organize all courses in Warsaw, some ofthe modules will be organized in Rzeszów,

Gdańsk, Wrocław and Poznań.

Contact our administratorabout the new dates.

2100 zł

Tax & Law for Managers 2100 zł

M: Analysis of an entity’s financial statements 2100 zł

M: Investment project evaluation, managingfinancial risks, financial markets basics

2100 zł

M: Management Accounting with MS Excel 2100 zł

PROFITQUEST Strategic ManagementBusiness Simulation

1890 zł

12 390 zł

Registration

If you would like to participate in thecourse, please fill in the application formand send it by e-mailacademyofbusiness@pl.ey.com

If you would like to receive more detailedinformation, please call 22 701 00 00or e-mail us at:academyofbusiness@pl.ey.com

You will find the application form on thelast page of our brochure.

.

PromotionOur price offer is as follows:

For customers who register for the 12-days program (modules 1-6) and whopay for the programme in advance theprice is 10 900 PLN + 23% VAT perperson

The price includes materials, coffeebreaks and lunch. Payment should bemade before the start of each modulebased on a pro-forma invoice. After thepayment is received a VAT invoice willbe issued to all participants.

All of the courses and workshops inWarsaw take place in our conference andtraining facility in the Focus building.Workshops last from 9:00 am until4:30pm.

Two coffe breaks and a hot lunch breakare planned during the course.

► Negotiation skills workshop – a five-day series of courses of increasingdifficulty level, designed for salesmanagers and trade contractsnegotiators. The participants willlearn how to identify client types,develop individual negotiatingstrategy, apply the methods ofpersonal sales, manage existing andinitiate new business relationships.

► Risk management - a two-day coursedesigned for managers andemployees interested in risk analysisin an organisation as well as for allthose interested in risk management.

► Law for managers - what a managershould know before he calls alawyer/an attorney – a series of fourcourses aimed at broadeningknowledge about the functioning ofan enterprise. The participants willlearn the practical aspects of lawfacilitating their business and privatelives.

► Process management – a four-daycourse consisting of two modules(modelling and process optimization).Workshops use Kaizen process toolsand strategic games, designed todevelop participants’ skills in how toproperly describe a business processand improve the principles of processfunctioning. Additionally, after theworkshops participants receive thetools in order to monitor and improvethe newly mapped processes.

Our courses fulfil therequirements ofinternationalprofessionalorganisations (ACCA,IIA) relating tocontinual professionaldevelopment of theirmembers.

Based on obtainedcertificatesparticipants receiverelevant CPD, PDUpoints etc.

Our recommendations

In order to broaden and consolidate the knowledge acquired we recommendthe following complementary courses: