Financial Fundamentals for Non-Financial Personnel Understanding How Financial Issues Impact Business Decision Making

This course is designed for those individuals within Pharmaceutical, Biopharmaceutical, Medical Device and related industries who need a greater understanding of how financial issues impact the corporate decision making process. Those who require an understanding of costs, profitability, and the financial consequences associated with the day-to-day business decision-making process will benefit from this two-day course. Prior participants have included individuals from:

• Engineering
• HR
• IT
• Marketing
• Manufacturing
• Production
• Project Management
• R&D
• Regulatory Affairs
• Sales
• Supply Chain

Learning Objectives

This course has been developed to provide a greater understanding of how financial decisions affect the daily operations of companies involved in the pharmaceutical, biotech and medical device sector. Course content is intended to assist those with limited exposure to financial issues, but will also provide a fresh perspective for those with some experience. Attendees will gain a good overall understanding of the role that finance plays in the corporate decision making process, as well as, the interrelationship of the various functions of the business and their influence on bottom line profitability. Participants will be able to:

• Better understand the financial implications of business decisions
• Link R&D, operational, manufacturing and production issues with financial metrics
• Understand the most commonly used financial statements
• Increase their knowledge of how the intricacies of the market place affect the decision making process
• Make better financial decisions when developing operational strategies and increase their ability to influence the company’s decision making process

Course Description

The content of this course will give each attendee a comprehensive introduction to business and finance. It covers the basics such as where cash comes from and how it flows through and leaves the business, the criteria required to make capital investment decisions, and how the business knows when it is successful in meeting strategic objectives. Real life business situations are introduced that directly reflect company specific performance and provide participants with an opportunity to apply new skills. The course director employs an interactive style, which will engage the participants and provide a lively atmosphere.
________________________________________

COURSE AGENDA

DAY ONE

8:30 – 9:00

Registration/Refreshments

9:00 – 9:15

Introduction
• Participants
• Program
• Business Goals and Objectives

9:15 – 10:30

How the Business Works
• Raising Capital
• Equity & Debt
• Cycle Time
• Profitability
• Dividends
• Taxes

10:30 – 11:00

Accounting Systems
• Cash
• Accrual

11:00 – 12:00

Understanding Financial Statements
• Income Statement
• Balance Sheet
• Cash Flows
• Auditors Opinion
• Trend Analysis

1:30 – 3:00

Ratio Analysis
• Liquidity Ratios
• Profitability Ratios

3:00 – 4:30

Cost Behavior
• Variable vs. Fixed Costs
• Contribution Margin

DAY TWO

8:30 – 12:00

Making Business Decisions
• Cost/Volume/Profit Analysis
• Selling Price
• Sensitivity Analysis
• Incremental Opportunities
• Cost Benefit Analysis
• Break- Even Analysis
• Make vs. Buy
• Return on Investment

1:30 – 2:30

Time Value of Money

2:30 – 4:00

Capital Budgeting
• Capital Investment Proposals
• Cost of Capital
• Discounted Cash Flows
• Case Studies

4:00 – 4:30

Review and Summary