Strategic Financial Planning and Budgeting for Performance

 Objectives:

By the end of this program, participants will be able to:

1. Understand the principles of strategic financial planning and its alignment with corporate strategy.

2. Apply advanced budgeting techniques to improve financial performance.

3. Develop long-term financial plans that support sustainable growth.

4. Analyze key financial metrics to measure performance and decision-making.

5. Implement performance-based budgeting (PBB) to link resources with results.

6. Identify risks and incorporate scenario analysis into financial planning.

7. Design effective monitoring and reporting systems to track financial outcomes.

 Course Outline:

 Introduction to Strategic Financial Planning

• Role of financial planning in corporate strategy

• Difference between traditional and strategic financial planning

• Key components of the strategic financial planning process

Budgeting as a Performance Tool

• Traditional vs. modern budgeting approaches

• Zero-Based Budgeting (ZBB), Rolling Forecasts, and Beyond Budgeting models

• Linking budgets with Key Performance Indicators (KPIs)

Long-Term Financial Planning

• Capital structure and investment planning

• Forecasting revenues, costs, and cash flows

• Aligning long-term plans with shareholder value creation

Performance-Based Budgeting (PBB)

• Concept and principles of PBB

• Linking resources with outcomes and results

• Case studies on successful implementation of PBB

Risk Management and Scenario Planning

• Identifying financial risks in planning and budgeting

• Scenario analysis and sensitivity testing

• Contingency planning for uncertainty

 Monitoring, Evaluation, and Reporting

• Tools and techniques for budget monitoring

• Variance analysis and corrective action

• Financial dashboards and reporting systems for decision-making

Practical Applications and Case Studies

• Best practices in strategic financial planning

• Benchmarking and performance evaluation

• Group exercises: Designing a performance-oriented budget