Many non-financial personnel find finance is mystical and somehow cannot comprehend financial information.
The 8 parts of the presentation are designed to help the non-financial personnel to look at finance from their own view point. Instead of learn finance from finance perspective, we learn our own perspective.
This is because your goal is to improve your current work not to become a qualified accountant. Crash courses usually can’t provide sufficient knowledge for you to understand finance.
Designed from business’s viewpoint, different from other approaches found in the market. Hopefully, we can equip non-financial personnel with business driven financial knowledge.
By end of the 8 presentation:
1. You can create your value to increase financial value
2. You can interpret financial reports to make decisions
3. You know how to work on budget
4.You can propose your ideas in terms of dollars & cents
5. You produce the financial numbers that your boss likes
6. You can communicate well with finance department
7. You make collaboration with accountant possible instead of just for the sake of formality
Marel Q1 2024 Investor Presentation from May 8, 2024
Finance for non financial personnel - part 3
1. Finance For Non-Financial Personnel Part 3
Business Driven Finance Insights For Laymen
How To Record
Accounting Information
2. £ ¥ € ₳ ₨$
The Structure of Finance
For Non-Financial Personnel
educational: free distribution
Part 1
Part 2
Part 3
Part 4
Introduction and explain the importance of
learning business driven finance
Misconceptions - to describe the common misread of the
laymen about the accounting department and it practise.
Fundamentals of financial knowledge-set your perspective.
Records - understand the principles that used in
recording transactions & how your activities related to
them. Very important but have been ignore by many.
Reports- learn evaluate financial information, perform
critical ratios analysis, and read different reports. From
your perspective, how to use the reports in the best way.
8 presentations altogether, if you cannot find all the links, kindly email care@3cthinktank.com to request
3. £ ¥ € ₳ ₨$
How to record
accounting
information?
educational: free distribution
4. £ ¥ € ₳ ₨$
Principle 1
Each financial record
reflects two aspects:
1) source of fund, and
2) how the fund is applied
Debit:
Fund
applied
Credit:
Source of
fund
Show off to your
Chartered Accountant
Remove mystery of
double-entry system
educational: free distribution
5. £ ¥ € ₳ ₨$
Principle 1
Each financial record
reflects two aspects:
1) source of fund, and
2) how the fund is applied
Sell Computer In Credit Term
Remove mystery of
double-entry system
educational: free distribution
Debit: Debtor
Debtor formed
where fund
applied, i.e. buy
debtor at this
point of time.
Debit:
Fund
applied
Credit:
Source of
fund
Credit: Sales
As not yet
receive money at
this time, source
of fund come
from the sales.
6. £ ¥ € ₳ ₨$
Principle 2
Types of input data for
Accounting information:
1. Historical
2. Estimate
Historical => Actual
Estimate => Budget/ forecast/ plan
Only these two. Not
that much right?
Do you
estimate?
Record
history to
appraise
results
educational: free distribution
7. £ ¥ € ₳ ₨$
Principle 2
Types of input data for
Accounting information:
1. Historical
2. Estimate
Only these two. Not
that much right?
Do you
estimate?
Record
history to
appraise
results
educational: free distribution
Actual: What had happen
Budget: What had committed
Forecast: What I think will happen
Plan: What I hope to happen
Historical => Actual
Estimate => Budget/ forecast/ plan
8. £ ¥ € ₳ ₨$
Principle 3
Transaction types:
1. Cash
2. Sales
3. Purchase
4. Others (catch-all)
All transactions MUST
fall within these types
Cash
Any
record
touch on
cash
Sales
Record
Sales
Others
Notional;
adjustment
; allocation
Purchase
Record
Purchases
To remove myth, you
need to see big picture.
educational: free distribution
9. £ ¥ € ₳ ₨$
Cash
Any
record
touch on
cash
Sales
Sales with
credit term
Others
Notional;
adjustment
; allocation
Purchase
Purchase
with credit
term
educational: free distribution
10. £ ¥ € ₳ ₨$
Cash
Any
record
touch on
cash
Sales
Sales with
credit term
Others
Notional;
adjustment
; allocation
Purchase
Purchase
with credit
term
Try to relate: Cash
sales, cash
purchase, traveling &
entertainment &
claim …
educational: free distribution
11. £ ¥ € ₳ ₨$
Cash
Any
record
touch on
cash
Sales
Sales with
credit term
Others
Notional;
adjustment
; allocation
Purchase
Purchase
with credit
term
Can you relate your
CRM, Sales funnels,
and invoicing to the
credit sales
numbers?
educational: free distribution
12. £ ¥ € ₳ ₨$
Cash
Any
record
touch on
cash
Sales
Sales with
credit term
Others
Notional;
adjustment
; allocation
Purchase
Purchase
with credit
term
Relate from your
SCM, PO issue to
vendor invoice
recording to
approving payment
educational: free distribution
13. £ ¥ € ₳ ₨$
Cash
Any
record
touch on
cash
Sales
Sales with
credit term
Others
Notional;
adjustment
; allocation
Purchase
Purchase
with credit
term
Most laymen confuse
here. As a manager,
you need to know
what affect the
presentation of your
department’s
performance
educational: free distribution
14. £ ¥ € ₳ ₨$
Cash
Any
record
touch on
cash
Sales
Sales with
credit term
Others
Notional;
adjustment
; allocation
Purchase
Purchase
with credit
term
Can you relate your
CRM, Sales funnels,
and invoicing to the
credit sales
numbers?
Try to relate: Cash
sales, cash
purchase, traveling &
entertainment &
claim …
From your SCM, PO
issue to vendor
invoice recording to
approving payment
Most laymen confuse
here. As a manager,
you need to know
what affect the
presentation of your
department’s
performance
educational: free distribution
15. £ ¥ € ₳ ₨$
● You know the principles behind your activities recorded
● You can relate your activities to the transaction types
● You can visualize why your activities affects the finance
department’s operations
educational: free distribution
Are You On Track?
Look For Next Presentation:
Finance For Non-Financial
Personnel - Part 4
16. £ ¥ € ₳ ₨$
educational: free distribution
care@3cthinktank.com
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maximizing revenue, liquidity, & profit while designing highly effective organization.
We had been recognised by many as Trusted Advisor, Growth Driver, Turnaround Expert,
Exceptional Motivator, Strategist, Business Designer, and Dynamic Change Agent
For more information: www.3cthinktank.com
8 presentations altogether, if you cannot find all the links, kindly email care@3cthinktank.com to request
All the 8 presentations are the overview, PLEASE
email us if you like to get more benefits from them.