4.8
stars
855 ratings

Miguel Antón

30,190 already enrolled

Offered By

IESE Business School

About this Course

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When it comes to numbers, there is always more than meets the eye.  In operational finance, you will learn how to read the “story” that the balance sheet and income statement tells about the company’s operations. The insights you gain from this “financial story” will then become a tool for short-term decision-making at the top management level relating to current assets, current liabilities and the management of working capital. Finally, by the end of the course you will understand the financial consequences of managerial decisions on operations, marketing, etc.

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Approx. 14 hours to complete

English

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Skills you will gain

Dupont Analysis
Management Accounting
Business Analysis
Finance

Flexible deadlines

Reset deadlines in accordance to your schedule.

Shareable Certificate

Earn a Certificate upon completion

100% online

Start instantly and learn at your own schedule.

Approx. 14 hours to complete

English

Could your company benefit from training employees on in-demand skills?

Try Coursera for Business

Instructor

Instructor rating

4.88/5 (163 Ratings)

Miguel Antón

Offered by

IESE Business School

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Syllabus - What you will learn from this course

Content Rating97%(3,829 ratings)

Week

Week 1

4 hours to complete

Course Overview & Week 1

Welcome to Operational Finance: Finance for Managers. In this course you will learn the basics of operational finance to help you make sound financial decision or to run a robust business! Before you get started with this week's video content, please have a look at the course syllabus. In this first week, we'll discuss what operational finance is all about by looking at a business case. What do the numbers on the Balance Sheet and P&L Statement tell us about its performance and future prospects? If you were a bank, would you approve a half million euro loan for this business? Why or why not? Course objective: To get an overview of operational finance and the types of analyses necessary to develop solid financing decisions.

4 hours to complete

16 videos (Total 82 min), 6 readings, 1 quiz

16 videos

Welcome to the Course: Intro Video2m

1.- Operational Finance: Course Outline1m

2.- Introduction: Operational Finance2m

3.- Polypanel Case: What to do?7m

4.- Polypanel Case: What to do? (continued)5m

5.- Business Analysis Part 1: Sales7m

6.- Business Analysis Part 1: Sales, (continued)3m

7.- Business Analysis Part 2: Strategy and Management5m

8.- P&L Analysis Part 1: Sales and Gross Margin6m

9.- P&L Analysis Part 1: Sales and Gross Margin, (continued)3m

10.- P&L Analysis Part 2: OPEX, EBITDA and Financial Results6m

11.- P&L Analysis Part 2: OPEX, EBITDA and Financial Results, (continued)2m

12.- What is a Balance Sheet?7m

13.- Polypanel's Balance Sheet8m

14.- Polypanel's Balance Sheet, (continued)7m

15.- Brief Recap3m

6 readings

Course Overview & Syllabus10m

About Week 110m

Required Reading Week 11h 20m

Optional Reading10m

Financial Terms & Definitions10m

Quiz Week 1 Solutions & Explanations10m

1 practice exercise

Quiz 130m

Week

Week 2

3 hours to complete

Week 2: Operational Ratios and Forecasting

In week 1, we looked at Polypanel’s Balance Sheet and P&L Statement. In the Balance Sheet, we noted that receivables increased from €188,000 in 2004 to €649,000 in 2007. We left off with the question: Is this difference due to an increase in sales or delays in payments from customers?

In week 2, we will introduce operational ratios, the tools we need to disentangle both effects and understand what’s going on below the surface. We will also conduct a forecasting exercise of Polypanel to understand how well it will be positioned to pay back a potential credit line in the future. Objectives: By the end of the session you will understand the different types of operational ratios (Days of Collection, Days of Inventory and Days of Payables) in order to analyze how well a business is performing. You will also learn how to use forecasting to support financing decisions.

3 hours to complete

14 videos (Total 72 min), 4 readings, 1 quiz

14 videos

1.- Recap from Week 15m

2.- Recap from Week 1, (continued)6m

3.- Operational Ratios: Days of Collection5m

4.- Operational Ratios: Days of Collection, (continued)3m

5.- Operational Ratios: Days of Inventory3m

6.- Operational Ratios: Days of Inventory, (continued)4m

7.- Operational Ratios: Days of Payment6m

8.- Operational Ratios: Days of Payment, (continued)4m

9.- Forecast of the P&L7m

10.- Forecast of the Balance Sheet (Theory)5m

11.- Forecast of the Balance Sheet (Theory), (continued)5m

12.- Forecast of the Balance Sheet (Polypanel)6m

13.- Forecast of the Balance Sheet (Polypanel), (continued)3m

14.- Brief Recap3m

4 readings

About Week 210m

Required Reading Week 230m

Optional Reading10m

Quiz Week 2 Solutions & Explanations10m

1 practice exercise

Quiz 230m

Week

Week 3

3 hours to complete

Week 3: Diagnosis and Action Plan

By now you have a pretty good grasp of the Polypanel case and the main issues that could impact future financing. This week, it’s time to roll up our sleeves and work out a diagnosis for these issues. We’ll discuss Need of Funds for Operations (NFO) and Working Capital (WC), two concepts that will help us better understand the company’s problems. Finally, with a solid diagnosis we can develop an action plan that will lead to sustainable growth. Objectives: By the end of the session you will have a framework for diagnosing a company’s financial health. You’ll also gain insights into how to develop an action plan to address its problems.

3 hours to complete

13 videos (Total 77 min), 3 readings, 1 quiz

13 videos

1.- Recap from Week 24m

2.- Recap from Week 2, (continued)7m

3.- Diagnosis (I)6m

4.- Need of Funds (NFO) and Working Capital (WC)6m

5.- Need of Funds (NFO) and Working Capital (WC), (continued)4m

6.- Diagnosis (II)4m

7.- Action Plan (I)7m

8.- Action Plan (I), (continued)6m

9.- Action Plan (II)6m

10.- Action Plan (II), (continued)5m

11.- Sustainable Growth6m

12.- Sustainable Growth, (continued)6m

13.- Brief Recap5m

3 readings

About Week 310m

Required Reading Week 345m

PolyPanel Balance Sheet and P&L with Forecast & Solutions to Quiz 310m

1 practice exercise

Quiz 330m

Week

Week 4

4 hours to complete

Week 4: Negative NFO and DuPont Analysis

In this final week, we will introduce the final pieces of the puzzle to give you a complete overview of operational finance. We’ll discuss tools like sensitivity analysis that will help you consider the potential outcome of a decision given different variables. In this session we will also look at other crucial concerns for the firm and its shareholders like sustainable growth and ROE (Return On Equity) plus revisit NFO (Need of Funds for Operations) and other topics. Objectives: By the end of this session, you should have a complete overview of the key aspects of operational finance. You will also understand what tools financial professionals use in order to make decisions to strengthen a company’s position.

4 hours to complete

16 videos (Total 86 min), 3 readings, 2 quizzes

16 videos

Course Conclusion & Congratulations55s

1.- Recap from Week 37m

2.- Recap from Week 3 (Part 2)3m

3.- Sensitivity Analysis7m

4.- Sensitivity Analysis (Part 2)5m

5.- An Example of Sustainable Growth6m

6.- Minimum Cash and Other Elements in the NFO7m

7.- Seasonal Companies6m

8.- Building up the ROE (Part 1)3m

9.- Building up the ROE (Part 2)5m

10.- Building up the ROE (Part 3)4m

11.- Blind Financial Statements5m

12.- Blind Financial Statements (Part2)3m

13.- Blind Financial Statements (Part 3)7m

14.- Brief Recap2m

15.- Course Conclusions6m

3 readings

About Week 410m

Considerations for Final Exam Parts I & II - Week 410m

Final Quiz Week 4 Part I Solutions10m

1 practice exercise

Quiz Week 4 - Part 130m

Reviews

4.8

270 reviews

5 stars
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4 stars
11.68%
3 stars
1.28%
2 stars
0.35%
1 star
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TOP REVIEWS FROM FINANCE FOR MANAGERS

by ACMay 26, 2019

Fantastic course, such a well laid out structure, Miguel sir explained with such enthusiasm, especially the case with Working Capital as to why it's not an asset. An excellent course!!!

by IAAug 14, 2018

It's a great course that helps break components of P&L and balance sheet.

Emphasis is on Receivables, Payables, Dupont analysis and how these variables affect the cash/bank position of the firm.

by TDOct 15, 2018

The course taught was very easy and understandable by any person who is new to financial line. It is a must for all Executives irrespective of any discipline.

by AVJul 13, 2018

One of the best courses possible for a novice in Finance. It's been an honour studying under Prof. Anton. I recommend this course to all the future managers out there...

View all reviews

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