If you are running a business, managing an IT project, designing or improvising a business process, you are very likely to have to deal with financial concepts and financial jargon. Modern processes integrate all aspects of the business from receiving, warehousing, inventory control, production, sales, delivery, invoicing and collection, in fact, all accounting and management. Find out why you need to master finance.
Changing business dynamics
Running a business or business in today’s business environment is challenging and harder than ever. We live in a time when business is becoming more and more competitive, globalization has made the world one big family, and events in one economy are impacting other nations more than ever before, every industry today is becoming Today More and more technology-oriented and the influence of technology on all aspects of our life is increasing day by day. Barriers to entry are lowered and it becomes easier for others to compete with you. There are opportunities to create new wealth, new products, new businesses and new fortunes that have never existed before. All economic activity involves finance. Finance is the backbone of modern business.
Finances impact everyone
If you are running a business, managing an IT project, designing or improvising a business process, you are very likely to have to deal with financial concepts and financial jargon. Modern processes integrate all aspects of the business from receiving, warehousing, inventory control, production, sales, delivery, invoicing and collection, in fact, all accounting and management. Regardless of your particular field or process specialization, dealing with diverse financial processes and backgrounds is exactly what is increasingly being asked of today’s professionals.
Managers of large and small companies, including directors, vice presidents and general managers, are finding that their particular specialties will not get them to the finish line as they might have done in the past and that they must master three key skills. Functional Competencies, Domain Knowledge and Leadership Skills. is the best place to master your most in-demand success skills today and this section teaches you financial concepts in sequential order. You don’t need to have a specialization in finance as we have designed this section for people with or without a background in finance. On the one hand, people with a non-financial background will understand the key concepts of the financial field; On the other hand, finance experts will get a new perspective on how to implement their theoretical knowledge in the practical world.
Today, in today’s world, finance and accounting are impacting many businesses in a way never before seen by managers outside of the finance department. It’s a well-established norm now in an industry that financial incompetence, or lack of integrity, couldn’t create a good career for you. Today’s embedded processes demand a basic financial understanding from every professional, and it’s a key skill to keep their current job. However, to advance in their career, financial acumen is a prerequisite.
key for decision making
Professionals must now delve into the reports they have been receiving regularly for years to a degree never before contemplated. They need to understand financial terminology and accounting methods that they may have previously taken for granted. CEOs now need to be fully aware of what their employees are doing and the financial ramifications because they will no longer be able to credibly say they didn’t know. And finally, the managers of a company, big or small, will have to understand the rules of accounting and the limits of good finance well enough to avoid getting in trouble just because they were aggressively trying to achieve the goals. of their project. As for those who aspire to become managers, they might not even rise through the ranks until they can demonstrate that kind of financial knowledge. provides you with the best knowledge in finance presented here in the form of a series of articles that are very easy to understand, learn, apprehend and put into practice in your professional life. Just start here and continue reading at your own pace.
As you progress in your career, your leaders expect you to manage more and more finance and accounting; it becomes so integrated into your daily responsibilities that you have to master them. For example, consider the new manager who is given the responsibility of leading a project for the first time. The first thing they will be asked to provide is an estimate and budget for their project so that the organization can unlock funding for the project.
Sound familiar, how do you start your budget? How do you anticipate your hardware costs, software costs, vendor expenses, salaries and wages, and the biggest objectionable chunk of travel and living expenses? Well, what about deadlines? How do you start with what you hope to deliver? What are you sure you and your team can achieve? What did your team deliver last year or last month? What will management believe?
And it all has to end with the bigger question, what is the cost-benefit analysis? What are the returns of your program in the short and long term? What do you hope to obtain the authorization to spend? Do you really know what it will really cost? How do you decide how much money or staff you will need to achieve the goals you want to achieve or your boss wants you to achieve?
We all think before we are given this mission, that it is the job of the finance department. However, the reality is quite different. Finance will approve your proposal if you meet all the conditions set by them, BUT, finance will not do this for you!!!!!!!
And the truth is, of course, that even if they want to, they really can’t. Finance can prepare high-level models or projections based on last year’s expenses, something akin to a budget, and in many companies this is what happens. But then, it’s not really your budget; these are their estimates. As managers, we know that each department knows its unique needs and capabilities better than anyone. And we know that a goal must be accepted and owned by the people who will actually do the work, and only then will there be a strong commitment to achieving it. And that is why each department within the organization needs to set its own budget and hence why you as a manager need to learn basic finance skills. We’ve structured this section to provide you with that basic understanding, and yes, you’ll need to be able to answer, at some level, all of the questions we’ve raised above.
Enjoy Learning Finance in the easiest way!!!!!
You may also like What is the Stock Market? Meaning Definition and Characteristics | Financial assets | Financial Institutions | Financial Intermediaries – Custodian | Financial markets | Financial intermediaries – non-depositories | Presentation of the Finance domain | What is the business? The main features of the company | What are finances? Meaning, Definition and Characteristics of Finance | Why Learn Finance Domain?
Creation date Sunday, July 1, 2012 Views 14127