EFFECTIVE BUDGETING & COST CONTROL

OVERVIEW

In order to formulate effective business strategies and take informed strategic decisions, one must properly analyze the situation and its outcomes along with the benefits and risks in the background of profitability and cost. In order to equip you with these skills, Xceed Academy brings you the thoroughly-researched budgeting and cost control training course.

COURSE OUTLINE

This course was developed with the purpose to impart learners with the understanding of budgeting and control processes using various improved techniques and strategies. This budgeting and cost control course will offer detailed insights into how managers can improve a company’s financial performance.

Meticulously curated this budgeting and cost controlling program allow its attendees the opportunity to gain and deploy improved ideas and skills to achieve enhanced financial strategies and operations to efficiently work with financial models, budgets, and corporate KPIs along with cost control procedures in the organization.

LEARNING OBJECTIVES

Once you complete this wide-ranging training program successfully, you can:

  • Interpret the significance of a well-defined budgeting process; you will be able to create budgets pertinent to your company to ensure informed decision-making
  • Comprehend the budgets and models as key constituents of financial strategy and management
  • Understand strategies to control financial costs by analysis, KPIs, modeling, and cost drivers’ reviews
  • Learn to execute analysis of risks, opportunities, and rewards with regards to Capital Projects
  • Acquire knowledge of theory as well as practice in techniques, practicalities, and strategies of intelligent cost control and budgeting in the organization

WHO SHOULD ATTEND THIS COURSE?

  • The course is specifically designed for business leaders, senior managers and executives, CFOs, Functional Heads, Accountants, IT Managers, Internal Auditors, Procurement Managers, and Finance professionals who are responsible for increased profitability using effective budgetary and cost control
  • Corporate practitioners such as managers, consultants, specialists, supervisors, and employees having related experience and want to improve their financial competence and expertise.

INSTRUCTIONAL METHODOLOGY

  • Instructor-led and Group Live Classroom track
  • PowerPoint presentation having pointed breaks to encourage discussion among participants
  • Classroom activities to stimulate group participation include:

     

    • Energizers and Ice Breakers
    • Management Case Studies
    • Guided Group Discussions
    • Live Subject-centric Exercises

ASSESSMENT OF COURSE

  • Pre-assessment will be conducted to measure the current level of understanding and tailor delivering of the program accordingly
  • Session-based reflective quiz, practical exercises and peer-group notes sharing, and peer assessment
  • Final assessment, conducted in a test environment to capture overall course learning and information retention.

COURSE STRUCTURE AND AGENDA

Module – 01

FINANCIAL CONTROLS AND THEIR IMPORTANCE

  • Introduction to accounting principles and related methods
  • Financial accounting vs management accounting
  • Relationship between financial management and business management
  • How budgetary control fits into the bigger picture
  • Role of cost management in improving the financial position of an organization
  • Important aspects of managing working capital
  • Practical Case Study
Module – 04

TECHNIQUES OF COSTING

  • Concept of Full Costing
  • Marginal Costing
  • Activity Based Costing
  • Comparing of full and marginal costing
  • Direct and indirect costs in budgeting for decision making
  • Role of costs in pricing strategies
  • Activity Based Costing (ABC)
  • How to manage cost control
  • Practical Case Study
Module – 02

CAPITAL BUDGETING & INVESTMENT APPRAISALS

  • Understanding the concept of the time value of money
  • Introduction to Appraisal Techniques
  • Net Present Value (NPV)
  • Payback period
  • Internal Rate of Return (IRR)
  • Stress Tests and Value at Risk (VaR)
  • Probability Models (Monte Carlo)
  • Sensitivity Analysis to evaluate projects
  • Strategic considerations in evaluating Capital Projects
  • How to create an effective Capital Budgeting framework
Module – 05

BUDGET DEVELOPMENT

  • Importance of Budgets
  • Nature and purpose of budgets for planning and control
  • Types of budgets
  • Types of budgeting
  • How to create KPIs for financial and non-financial performance
  • How to develop a Live Budget
  • Budgetary control and variance analysis
  • Budgeting for non-financial measures
  • Concept of Balanced Scorecard
  • Implications of the Balances Scorecard
  • Connecting the dots
  • Practical Exercise
Module – 03

COST ANALYSIS AND MANAGEMENT

  • Introduction to cost structure and behavior
  • Costs as a relationship to outputs – cost/volume/price relationship
  • Understanding the concept of contribution margin
  • Break-even analysis for planning and control
  • Cost allocation and apportionment
  • Cost-Benefit analysis
  • Practical Case Study