Elements and Performance Criteria
- Analyse financial resources
- Identify and incorporate the financial resources required to achieve organisational objectives from the budget
- Forecast additional expenditure requirements and make provisions in the budget as required
- Develop contingency plans for obtaining additional financial resources in the event of a shortfall of available funds
- Interpret financial and economic information
- Analyse financial reports by calculating balance sheet ratios, income statement ratios and cash flow statement ratios
- Identify and evaluate macro and micro economic factors and measure their impact on enterprise financial capabilities
- Review and report financial performance of business units within the enterprise
- Use financial information to support decision making
- Model different financial scenarios to support the decision making process
- Conduct a cost benefit analysis of organisation’s activities to determine viability
- Consult appropriate financial advisers about financial information to support decisions
- Analyse financial information to ensure it is valid and reliable
- Make strategic decisions based on up to date financial information
- Maximise returns on financial resources
- Monitor actual income and expenditure against budgets to ensure available and budgeted resources are not exceeded
- Explain variations and implement corrective action when deviations in budgets occur
- Collect, analyse and report data on the use of financial resources
- Communicate recommendations for improving returns on financial resources to relevant parties
- Agree performance indicators with managers and staff