Course Description

INTRODUCTION

This GLOMACS Essentials of Corporate Finance training course is focusing on the knowledge and skills necessary for making sound financial decisions in today's dynamic world. Making a sound financial decision requires skills and understanding of the underlying problem. All businesses are becoming more complex in structure due to rapid changes in technology, intense competition, and challenging strategic choices. A company's relationships with potential investors and partners are now becoming more demanding than ever. Hence, the managers are required to be fully equipped with a higher standard of appraisal and a greater focus on value creation than has been the case in the past.

Likewise, it aims to equip the participants with the knowledge and skills ready to deal with day to day challenges facing an organization. The skills and decisions which will enable to remain competitive, analyzing competitor's actions, minimize costs, maximize revenues, and mitigate or control business risk associated with uncertainty.

Objectives

By the end of this GLOMACS training course, the participants will develop knowledge and skills in finance, enabling them to:

Make and contribute to strategic financial decisions

Evaluate the most efficient finance options available

Analyze capital investment and financing decisions using appropriate discount rates

Use the consistent application of Payback, ARR, NPV, Discounted Payback, IRR and MIRR using Excel® and provide recommendations for action

Identify the key success factors / critical factors, investment opportunities and threats within their sector

Make decisions in a competitive environment.

Course Outline

Day 1

Financial Management

The Role & Scope of Corporate Financial Management

Managing International Trade including:

Methods of Payment such as Letters of Credit, Collections

Benefits & Risks

The Objective of the Organization and Stakeholder’s Needs

The Financial Environment Post Banking Crisis

Corporate Social Responsibility (CSR) and Corporate Governance

Day 2

The Financing Decision

Long-Term Sources of Finance

Types of Equity Capital

Types of Debt

The Optimum Capital Structure / Leverage – Equity or Debt?

Weighted Cost of Capital (WACC) and The Capital Asset Pricing Model (CAPM)

Calculating Your WACC and CAPM

When & How to Use WACC and CAPM

The Dividend Decision

Short-Term Sources of Finance

Day 3

The Investment Decision

Establishing the Forecast Cash Flows

International Issues, e.g.

Exchange Rate Risk

Transfer Payments

Evaluating the Capital Investment Decision using:

Payback

Accounting Rate of Return (ARR)

Net Present Value (NPV)

Internal Rate of Return (IRR)

Analyzing the Investment Decision using:

What if Analysis

Sensitivity Analysis

Simulation

Day 4

Risk and Treasury Management

Identifying Financial Risks

Internal (SWOT Analysis)

External (PESTLE Analysis)

Measuring Financial Risk

Developing and Implementing a Risk Management Strategy

Establishing a Treasury Department

Treasury and Risk Management Techniques

Day 5

Corporate Strategy

Corporate and Financial Strategy

Growth Strategies

Joint Ventures, Merger, & Acquisitions

Valuation

Risks & Benefits

Financing a Merger or Acquisition

Capital Reconstruction or Restructure