develop a training program of "finance for non finance middle level managers.

1. Finance for Non
Finance Middle
level Managers

2. 1/29/2015 2
Group 6
Shweta Choudhury (48)
Sudhal Kumar Sethy (54)
Surjya Kumar Das (55)

3. AGENDA
• Introduction
• Training Need Analysis
• Training Objectives
• Training Methodology
• Aids for training
• Breifing the trainees
• Kit for trainees
• Outline of training content
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4. Contd…
• Schedule and session plans
• Evaluation of training program
• Training Budget
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5. Introduction
• D.E.G. Electronics Pvt. Ltd.
• A Consumer Electronics company
• Growth & Expansion
• Mission – Providing quality
electronic solutions at reasonable
prices
• Vission – To channel every member’s
talents towards making the
organisation the market leader in
Eastern India
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6. TRAINING NEED
ANALYSIS
APPLYING FORD’S MODEL
• Surveillance – Observing the situation
- Delay in expansion plans. Strategy
formulation problems.
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7. • Investigation – Assessing the cause
for the prevailing situation
- Inter departmental meetings not
productive
- Finance deptt. claims lack of support
• Analysis
a) Organisational Analysis
Objectives
Resources
Internal environment
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8. b) Operational Analysis
Expected performance requirements
KSAs
c) Person Analysis
Actual performance
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9. Training Objectives
1. To provide comprehensive
knowlwdge on basic concepts of
Finance and Accounts
2. To read and understand the
important and strategic issues in
financial statements
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10. Contd….
3. To understand various financial
dimensions of business, like
alternative sources of financing,
various financial markets and their
features, corporate actions, financial
ratios and various risks
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11. Training Methodology
• Off the job training
• 2 day workshop
• Lecture sessions
• Use of external trainers
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12. Training aids
• Power point presentations
• Hand outs for each session
• Self assessment tests
• Case studies
• Review of company’s financial
reports
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13. Breifing the trainees
This programme is designed for
middle level Managers/Executives of
non finance divisions/functions who
are new to the concepts of finance or
those who wish to update their
knowledge on basic finance
and accounts
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14. Contd……
The 2 day program provides the
managers with a comprehensive
working knowledge of critical
financial principles in an easy to
follow manner that will help them
make better decisions in their
organisation. The Participants learn to
interpret crucial financial data and
take necessary decisions to improve
their performance.
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15. Kit for Trainees
• A kit containing the following items will be
provided to trainess at the beginning of the
training session
- Name cards
- Programme containing detailed session
plan and timing, background of trainers and
their email address
- A handbook of Basic Finance
Terminology
- Strategic Decision Making for Middle level
executives
- Notepad & pen
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16. Outline of Training Content
• Understanding Basic Accounting as a
basis for finance function
• Finance Mix Decision and Leverage
Advantage
• Finance Function and its relation with
other functional areas
• Financial Statement Analysis and its
Financial interpretation
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17. • Cost Measurement; Break-even
Analysis and its Managerial;
Implications – Looking from Non-
Finance Managers’ angle
• Budgeting as a tool of financial
planning and control – Understanding
Revenue and Capital Budgets
• Understanding Working Capital
Management – Cash Management,
Debtors’ Management
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18. • Inventory Management – Enlarging
the understanding of Purchases,
Production and Marketing Executives
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19. Schedule and Session Plans
There will be 4 sessions each on day 1
and day 2
Sessions 1&2 will be conducted in
the morning hours
Sessions 3&4 will be post lunch
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20. Day 1
Session 1 9.30 a.m. – 11.00 a.m.
Mr. P.K.Mohanty
• What is Finance?
• What is Accounting?
• What are Financial Statements?
- Balance Sheet
- P & L Account
- Cash Flow Statements
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21. Session 2 11.30 a.m. – 1.00 p.m.
Mr. P.K. Mohanty
• How to read Financial Statements?
• Understanding financial strengths
and weaknesses
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22. Session 3 2.00 p.m. – 3.30 p.m.
Mr. D.V. Ramana
• Financial Ratio Analysis
• Liquidity versus Profitability
• Overtrading
• Under capitalisation
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23. Session 4 4.00 p.m. – 5.30 p.m.
Mr. D.V.Ramana
• Working Capital Management
- Cash
- Receivables
- Inventories
- Loans and Advances
- Suppliers Management
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24. Day 2
Session 1 9.30 a.m. – 11.00 a.m.
Mr. P.K.Mohanty
• Business as an economic entity
- difference between firm, partnership
and company (both public and private
companies)
• Memorandum and Articles of
Association
• Concept of trading and manufacturing
- value creation.1/29/2015 24

25. Session 2 11.30 a.m. – 1.00 p.m.
Mr. P.K. Mohanty
• Discussion on authorized capital,
subscribed capital, issued capital, paid
up capital etc.
• Extensive discussions on common
shares, preference shares, debentures,
hybrid instruments like convertibles,
warrants, money market instruments
like CPs, bank financing, factoring,
forfeiting, bill discounting etc.1/29/2015 25

26. Contd…
• Comparative analysis of various
sources of funds - competitive
advantages and disadvantages
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27. Session 3 2.00 p.m. – 4.00 p.m.
Mr. B. Pattanayak
• Understanding corporate actions like
bonus, split, consolidation, right,
dividend, buyback etc.
-the underlying rationale for each and
their impact on the balance sheet and
the share price of the company.
• Concept of gearing / leveraging
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28. Contd…
• Cost of capital (investment avenues
for individuals and companies
• Fundamentals of sound investing.
Valuations of the business entity
- market value
- liquidation value and book value
• Intangibles like brands, human
resources, patents and their valuations
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29. Session 4 4.30 p.m. – 6.00 p.m.
Mr. B. Pattanayak
• Risks, Introduction to Financial
Markets (Capital Markets and Money
Markets), Distinctive advantages and
disadvantages
• Major players - Their roles in the
market Products
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30. Contd…
• How to raise funds through the
Primary Market (capital and money
market)
• How the secondary markets operate
both money and capital markets
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31. EVALUATION OF
TRAINING
PROGRAM
KRIKPATRICK’S MODEL
REACTION:
o COLLECT THE IMMEDIATE REACTIONS OF
TRAINEES.
o TOOLS ARE : FEED BACK
QUESTIONNAIRES AND INTERVIEW
LEARNING:
o MEASURES THE LEARNING OF PRINCIPLES,
TECHNIQUES AND SKILLS .
o TOOLS ARE: PAPER & PENCIL TESTE, SKILL
TESTS .

32. BEHAVIOUR ON THE JOB
o MEASURES TO WHICH EXTENT SKILLS AND
KNOWLEDGE ARE TRANSLATED AS JOB
PORFORMANCE.
o TOOLS ART: OBSERVATION BY SUPERVISORS
OR PEERS, BEFORE AND AFTER TRAINING
COMPARISONS.
BUSINESS RESULTS
o MONITORING ORGANISATIONAL
EFFECTIVENESS FACTORS SUC AS COST
REDUCTION, QUALITY OF PRODUCTS.

33. TRAINING BUDGET
• STUDY MATERIALS:
– TRAINING SCHEDULE, TEACHING
MATERIALS, PLASTIC FILES, NOTE
BOOK, BALL POINT PEN.
» RS 60*20=RS 1200/-
• ACCOMODATION COST:
– TRAINING HALL RENT, HOTEL
ROOM RENT .
» RS 30,000/-

34. • FOOD COST:
– LUNCH, REFRESHMENTS ETC.
» RS 800*20= RS 16,000/-
• TRANSPORTATION COST:
– AIR TICKET, OTHER
TRANSPORTATION COSTS.
» RS 25,000/-
• TRAINER’S FEE:
» RS 2,000 *8=RS 16,000
• TOTAL EXPECTED
EXPENDITURE: RS 99,000/-

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