Budgeting, Forecasting and the Planning Process

Integrated Approach to Financial Planning

5 Found
Date Duration Venue Fees
11-15 Dec 2023 5 Days Dubai - UAE US$3,450 Register
10-14 Jun 2024 5 Days Dubai - UAE US$4,450 Register
16-20 Sep 2024 5 Days Dubai - UAE US$4,450 Register
09-13 Dec 2024 5 Days Dubai - UAE US$4,450 Register

Course Overview

This Budgeting, Forecasting and the Planning Process training course provides the theoretical basis and necessary skills to develop world class strategic planning, forecasting, and budgeting processes. A strategy is a long-term plan of what an organisation is going to do to achieve its overall policy. It will enable the participants to develop a framework that links strategies to annual budget and targets and aims for world class levels of management and organisational performance.

A budget is a short-term plan of how an organisation quantifies the operational activities required to achieve its long-term strategy. It will provide the participants with the skills and forecasting techniques to develop a budget as a plan and use control budgets and analysis of variances to actual to identify areas in which financial performance may be improved.

Course Objectives

After the training course, the participants will learn to:

  • Understand how to improve the ability to think strategically and participate in the integration of the organisation’s strategic management and budgeting processes
  • Know how to use forecasting techniques most appropriate to their organisation’s strategic planning and budgeting
  • Apply the techniques that relate to the key principles of financial management: shareholder wealth maximisation; cash flow; time value of money; risk
  • Appreciate the behavior of costs and identify the costing methods that may best be used in financial planning, budgeting, and budgetary control
  • Understand how to use best practice to develop operating budgets, capital expenditure budgets, and cash flow budgets and forecasts in line with organisational strategic objectives

Target Audience

This training course is designed to be appropriate for anyone involved in budgeting and planning in companies, corporations, and governmental, education, and health service organisations. It is equally valuable for those working in finance and accounting, costing, and treasury departments, and all other financial and non-financial professionals who have budget responsibility or are involved in the planning process.

It is suitable for a wide range of working professionals, including (but not limited to) the following:

  • Line Managers
  • Project Managers
  • Professional Advisers and consultants who would like to further develop their strategic thinking and decision-making, and refresh and update their skill sets relating to planning, forecasting and budgeting, and their linkages

Training Methodology

This training course will combine the presentation of analytical techniques, examples and case studies. Relevant worked examples will illustrate the learning points and tools and techniques in a real-world environment. Group discussion will promote exchange of experiences and ideas.

Course Outline

Day One

Strategic Management and Financing

  • Strategic Analysis, Strategic Choices & Evaluation, and Strategic Implementation
  • The Links between Strategy, Forecasting, Planning, Budgeting, Performance Measurement
  • Strategic Capability and Avoiding the Spiral of Death
  • Shareholder Wealth Maximisation: Corporate and Shareholder Value Creation
  • Financial Strategy, Dividend Policy, the Agency Problem and Corporate Governance
  • Long-term Financing
    • Debt and Equity
    • Cost of Equity using Dividend Growth and Capital Asset Pricing Model (CAPM)
    • Cost of Debt
    • Weighted Average Cost of Capital (WACC)
  • Capital Structure Optimisation Models to Minimise WACC
  • Using Strategy Maps to Link Strategies to Performance Measurement: The Balanced Scorecard
Day Two

Financial Planning, Forecasting, and Risk Analysis

  • The Financial Planning Process and Modelling using Excel
  • Statistical Forecasting Tools and Techniques
    • Time Series
    • Moving Averages
    • Exponential Smoothing
    • Pareto Analysis
    • Trend Progression
    • Linear Regression
    • Correlation
  • Forecasting Long- and Short-term Sales Revenues, and Sales Pricing
    • Porter’s Generic Strategy of Cost Leadership and Differentiation
    • Bowman’s Strategy Clock
    • Full Cost Pricing
    • Marginal Cost Pricing
    • Target Cost Pricing
    • Life-cycle Costing
    • Kaizen Costing
    • Value-based Pricing
  • Using Excel for Optimum Product Mix Decisions
  • Short-term Financing, Working Capital, and the Cash Operating Cycle
  • Direct and Indirect Cash Flow Analysis and Cash Flow Forecasting using Excel
  • Uncertainty and Risk
    • Business Risk
    • Financial Risk
    • Systematic Risk
    • Unsystematic Risk
  • The Choices Available to Minimise and Mitigate Risk
Day Three

Cost Analysis Techniques

  • Cost Behaviour and Activities
  • Fixed and Variable Costs: Direct and Indirect Costs
  • Product Costs and Period Costs
  • Cost Allocation and Absorption of Overheads
  • Absorption or Full Costing
  • Marginal Costing
  • Cost-Volume-Profit (CVP) and ‘What-If’ Analysis using Excel
  • Activity Based Costing (ABC) and Activity Based Management (ABM)
Day Four

Budgeting, Budgetary Control and Performance Improvement

  • To Budget or Not: Purposes and Reasons for Budgets
  • Stages in the Budget Preparation Process
  • Preparation of the Master Budget
  • Activity Based Budgeting (ABB)
  • Responsibility Accounting and Variance Analysis
    • Standard Costing
    • Flexed Budgets
    • Budgetary Control to Measure Organisational and Management Performance
  • Advantages, Disadvantages, and Behavioural Aspects of Budgeting
  • The Conflict between Performance Improvement and the Costing System
  • Lean thinking and integrating continuous performance improvement into the budget process
Day Five

Project Appraisal and Capital Budgeting

  • The Time Value of Money
  • Future Values
  • Present Values
  • Discounted Cash Flow (DCF)
  • Capital investment Project Appraisal
    • Accounting Rate of Return (ARR)
    • Payback
    • Net Present Value (NPV)
    • Internal Rate of Return (IRR)
    • Modified Internal Rate of Return (MIRR)
    • Discounted Payback
    • Equivalent Annual Cost (EAC)
  • Project Risk
    • Sensitivity Analysis
    • Simulation
    • Scenario Analysis
    • NPV Break-even
  • Capital Rationing
  • Capital Budgeting and the Profitability Index (PI)


Upon successful completion of this training course, Newage Certificate will be awarded to the delegates.

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