Strategic Planning, Management Control, and Budget Optimization (10 Days)

Introduction:

Given the rapid change and uncertainty surrounding the business environment, the need for professionalism and organizational control cannot be underestimated. The Strategic Planning, Management Control, and Budgeting Workshop is designed for individuals seeking to enhance organizational performance and their value-added contributions, as well as for those tasked with team-based responsibilities.

This Strategic Management Control and Budgeting Conference offers a systematic and coherent framework that provides meaningful solutions to the challenges practitioners encounter in both their day-to-day and long-term responsibilities.

The Strategic Planning, Management Control, and Budgeting Workshop is essential for those who plan the future and development of their business units and are responsible for ensuring that processes, activities, and operations are performed cost-effectively.

Participants in this workshop will acquire integrated and comprehensive knowledge and skills necessary to successfully manage people, programs, and processes in a highly competitive environment where budgeting is closely tied to strategic planning, management, and costing.

Objectives:

At the end of this strategic planning workshop, participants will be able to:

• Evoke a considerable respect and understanding of strategic management and management control systems.
• Comprehend how these processes interconnect to formulate an overall approach to managing an organization, from strategy development to execution.
• Detect, control, and assess risks effectively.
• Understand the leadership qualities needed to maximize the potential of all team members.
• Determine competitive advantages that consistently lead to market success.
• Identify opportunities to add value to customers and shareholders through strategic processes.
• Link the organization's strategic goals with financial planning efforts.
• Recognize the role of project management, evaluation, and planning.
• Analyze traditional and modern budgeting, project-based, and activity-based budgeting techniques.
• Understand critical strategies, essential performance indicators, and financial information that require monitoring.
• Consider the shortcomings and challenges associated with budgets and explore alternative management approaches.
• Balance financial and non-financial measures in project management.
• Relate budgeting processes to quality management and business process reengineering.
• Identify learning needs and prioritize areas for further development.
• Apply a consistent framework to any organizational activity, process, or change.
• Identify the necessary elements to ensure a plan is executed and achieves the desired outcomes.
• Acquire skills to synthesize, organize, and execute effectively with deliberation.
• Anticipate and prepare for contingencies and changing circumstances.
• Build confidence in interactions with superiors, colleagues, and subordinates.
• Develop project management skills.
• Leverage financial management systems in planning, budgeting, and controlling actions.
• Handle various cost categories and appreciate their relevance in decision-making.
• Address the issue of overheads and explore how Activity-Based Analysis can aid pricing and decision-making.
• Choose an appropriate system for measuring actual performance.
• Understand the connections between cost, strategy, and performance measurement.
• Explore advanced tools of planning and management beyond traditional budgeting methods, such as the balanced scorecard, Six Sigma, and Business Excellence.
• Gain a broad understanding of the factors affecting business success.
• Provide direction and competently manage the complexities of organizational realities.

Training Methodology:

• Interactive lectures
• Case study analysis
• Group discussions
• Hands-on exercises
• Role-playing scenarios
• Problem-solving workshops

Course Outline:

Unit 1: Strategy

• Introduction to strategy: General concepts, historical development, and major ideas in the field.
• Strategic orientation.
• Systematic approach to strategy development.
• Overview of the hierarchy of vision, mission, and strategy.
• Sequential actions required to achieve strategic goals.
• Developing a plan aligned with the strategy.

Unit 2: Risks

• Understanding the role of risk management in strategy.
• Defining the limits of acceptable risks.
• Managing risks effectively.
• Preparedness planning.
• Implementing actions to mitigate risks.

Unit 3: Negotiation

• Key aspects of the negotiation process.
• Integrating problem-solving into negotiations.
• Separating personal issues from the negotiation at hand.
• Maintaining a cool-headed, objective approach.
• Using stronger or more influential figures to reach agreements.
• Addressing complaints strategically.

Unit 4: Leadership

• Understanding the context and circumstances around leadership.
• Differentiating between leading and managing.
• Applying leadership concepts and principles in real-world scenarios.
• Maximizing team productivity by fully utilizing every member.
• Inspiring and motivating team members.
• Developing a personal action plan for future leadership development.

Unit 5: Strategic Leadership

• Developing self-management skills.
• Fostering effective followership.
• Applying strategic leadership to enhance team performance.
• Cultivating creative leadership.

Unit 6: Financial Language and Budgeting

• Appreciating the importance of budgeting and control in modern organizations.
• Providing value-added services in the 21st century.
• Understanding the cross-functional processing logic of an organization.
• Distinguishing between financial and managerial accounting.
• Familiarizing with performance processes and financial conventions.
• Identifying essential processes and projects within the organization.

Unit 7: Budgeting and Cost Control

• Understanding cost basics, including key definitions.
• Differentiating between various costs for different purposes.
• Familiarizing with fixed and variable costs, and the Cost-Volume-Profit analysis model.
• Applying the Contribution Margin methodology.
• Distinguishing between manufacturing and non-manufacturing costs.
• Understanding period costs and product costs, with a focus on inventory management and control.

Unit 8: Traditional vs. Advanced Techniques in Cost Control

• Exploring the implications of lowball pricing and overpricing on profitability.
• Improving costing systems.
• Analyzing direct and indirect costs: Traditional vs. Activity-Based Costing.
• Understanding cost hierarchies and their drivers.
• Connecting materials, actions, and management.
• Transitioning to Activity-Based Planning (ABP) and Activity-Based Planning Management (ABPM).

Unit 9: Master Budget, Flexible Budgets, and Variance Analysis

• Identifying the master budget and discussing its organizational benefits.
• Differentiating between static and flexible budgets.
• Calculating variances from flexible budgets and sales volume variances.
• Understanding the behavioral aspects of budgeting.
• Offering suggestions for improving the budgeting process.
• Exploring alternative methods for budgeting and costing.

Unit 10: Beyond Budgets: Balanced Scorecards and Six Sigma

• Moving beyond traditional financial indicators to explore non-financial metrics.
• Designing and deploying Six Sigma frameworks for performance improvement.
• Exploring key concepts of top-down countermeasures.
• Pioneering the Balanced Scorecard framework and Strategy Maps.
• Implementing Six Sigma methodologies for enhanced business outcomes.