Finance and Commercial Skills for Managers in the Telecoms Industry

A two-day In-house guide to develop effective financial and commercial skills for non-financial managers working within the telecoms sector.

Sample Programme

MODULE 1 – The world of finance and financial data

  • Business and telecoms in the 21st century
  • The ‘business person’ approach to management
  • A demand driven world
  • Seeking to add value
  • The role of the financial manager

The Business Finance Cycle Applied to the Telecoms Industry

  • Sources and characteristics of finance
  • Equity debt and capital leverage measurement
  • Factors influencing the levels of leverage chosen
  • Relating financial risk to operational risk
  • The weighted average cost of capital (WACC) as a criteria rate
  • Risk and the Capital Asset Pricing Model (CAPM)
  • Matching finance and investment
  • Rewarding investors

The major accounting statements used by telecoms companies – Their contents and layout

  • Accounting concepts and the formulation of standards
  • Telecoms industry standards
  • Capex or Opex?
  • The balance sheet – A summarizing picture at a point of time
  • Depreciation, Depletion and Amortisation (DD&A)
  • The operating statement (profit account) for a period of operation
  • Cost and revenue recognition in the world of telecoms
  • Accounting for R&D, licensing, JV’s and mergers
  • Creating financial reserves and provisions
  • Relating the major accounting statements together
  • Published accounts and management accounts
  • Where can it go wrong?
  • International Financial Reporting Standards (IFRS’s)

MODULE 2 – Financial analysis-Reading the figures

Comprehensive Financial Analysis Based on a Leading Telecom Company’s Accounts

  • What do the City analysts look for?
  • An intensive working analysis exercise analysing a telecom company’s published accounts
  • Profitability; liquidity; structure; operational performance and Investor’s returns
  • Analysing the cash flows
  • Checking corporate viability in cash terms
  • Absolute v relative measures
  • Measuring Economic Value Added (EVA)
  • Specialist measures and ratios applied to telecom operations

MODULE 3 – Understanding costs and costing

  • Alternative views of costs – absorbed – marginal
  • Costing for cost control and costing for decision-making
  • A quick look at break-even
  • Contribution management – The vital significance of volume
  • Case work on contribution and volume analysis

MODULE 4 – Planning and budgeting to exercise control

Corporate Planning and Budgeting
  • Techniques and models for business planning
  • The planning role of managers at all levels in the company
  • Defining the financial objectives
  • Quantifying the funds required for the plan
  • Checking the overall viability of the plan and assessing the risks
Budgetary Control
  • What goes wrong with budgeting and why does it?
  • Making it work for you and your company
  • Things you should never do and things you must always do with budgets
  • Is budgeting more about psychology than about finance?
  • Forming a Business Profit Plan

Continuing professional development

This course qualifies for the following CPD programmes:

  • Certificate

Bespoke training

We can customise this course to meet the requirements of your organisation. Contact us to discuss your training requirements.

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