2. Business Reality Check
⢠Economic and Industry Analysis
⢠Strategic Direction
⢠Governance
⢠Management
⢠Track Record & Financial Analysis
⢠Company Valuation
⢠Environment & Sustainability
3. Economic and Industry Analysis
Benefits to be obtained from this section
⢠Empower businesses to base their decisions on the
macroeconomic situation
⢠Identify the direction your industry is heading
⢠Facilitate comparability between companies within that
industry
⢠Identify whether your company is thriving or lacking behind
competitors.
Analysis in this section
⢠Macroeconomic analysis
⢠Economic forecasts
⢠Detail industry analysis
⢠Industry benchmarking
⢠Linking the economic context to business performance
4. Strategic direction
Benefits to be obtained from this section
⢠Understand your business better
⢠Address weaknesses
⢠Deter threats.
⢠Capitalise on opportunities
⢠Take advantage of your strengths
⢠And develop business goals and strategies toward success.
Analysis in this section
⢠Help businesses gather a strategic mindset, to stop just having an operational mindset,
and give planning the priority it serves.
⢠Help businesses understand what their real strength and weaknesses are and also link the
opportunities and threats from the external environment.
⢠Help businesses to determine the companyâs objectives and priorities and how it should
plan to accomplish them.
5. Assessing Governance
Benefits to be obtained from this section
⢠Efficient processes
⢠Smooth running operations
⢠Good reputation
⢠Clarity
⢠Financial sustainability
⢠Clear strategic direction and objectives
⢠Effective response to changes in the external environment
Analysis in this section
⢠Corporate Structure
⢠Relationship between Board of Directors (BOD) and
Ownership
⢠Assessing Companyâs Strategy
⢠Attitudes towards Corporate Social Responsibility (CSR)
6. Assessing Management
Analysis in this section
⢠Attitudes Toward Strategic Planning
⢠Attitudes Toward Risk
⢠Attitudes Toward Growth
⢠Management Attitudes towards Objectives
⢠Attitudes Toward Execution (Responsibilities)
⢠Training needs analysis
Benefits to be obtained from this section
⢠Ensure that the management hold the right
attitudes and qualities to successfully execute any
strategic plans.
⢠Effective employee management strategies will
benefit the company as it will:
⢠Strengthen employee retention, thus lower the
cost in relation to employee turnover.
⢠Keep employees productive and successful, thus
increasing the companyâs profitability.
⢠Foster a positive work environment
⢠Ensure an exceptional working experience
⢠Deliver a Training Needs Analysis to provide what
skills gaps are needed for management to perform
well
7. Business Track Record & Financial Analysis
Analysis in this section
⢠Previous Statements
⢠Budget vs. Actual
⢠Key performance indicators (KPIs)
⢠Financial Trends
⢠Net Cash Flow at Different Stages
⢠Financial outlook/forecasts
Benefits to be obtained from this section
⢠Better debt management
⢠Better cash flow management
⢠Reduce risk exposure
⢠Improve supplier relationship management (if any)
⢠Help owners to identify the best possible investment
opportunities
8. Company Valuation
Analysis in this section
⢠Financial Forecasts
⢠Weighted Average Cost of Capital (WACC)
⢠Discounted Cash Flow (DCF)
⢠Trading multiples
⢠Peer comparable
⢠Change in value over recent years
Benefits to be obtained from this section
⢠Measuring year-on-year company growth and
building comparative data
⢠Compare the business against the industry
benchmarks
⢠Can prepare the business for sale and
establishing a sale price
⢠Help the company secure investment and funding
9. Reduced utility consumption & costs
Demand for eco-friendly goods
Green company reputation
Potential for investors
Grant schemes
Tax benefits
ENVIRONMENT
& SUSTAINABILITY
