Course Introduction
In today’s highly competitive business environment, Key Performance Indicators (KPIs) have become a fundamental strategic tool for assessing an organization’s financial efficiency and effectiveness.
This course aims to equip participants with the knowledge and skills necessary to accurately measure and analyze financial performance using quantifiable and data-driven indicators. By doing so, participants will enhance financial decision-making processes, optimize resource utilization, and achieve organizational strategic objectives.
Throughout the program, theoretical concepts will be integrated with hands-on applications using financial analysis tools, Microsoft Excel, and interactive dashboards. The course will emphasize linking financial analysis with operational and strategic performance to provide a holistic understanding of organizational success.
General Objectives
- Enable participants to understand the fundamental concepts of financial performance indicators (KPIs) and their role in improving institutional performance.
- Develop participants’ ability to analyze financial data and derive relevant performance indicators.
- Enhance the ability to design and implement an integrated financial performance measurement system aligned with strategic goals.
- Equip participants with the skills to build effective financial dashboards for monitoring and analyzing performance.
- Strengthen participants’ competencies in analyzing financial variances and making data-driven corrective decisions.
Course Outline :
Day 1: Introduction to Financial Performance Measurement
- Understanding the concept and importance of financial performance measurement.
- Differentiating between types of performance indicators (financial – operational – strategic).
- Identifying the relationship between organizational goals and financial performance measurement.
- Understanding the characteristics of effective indicators (SMART KPIs).
- Defining financial performance and the overall framework of performance management.
- Structure of organizational performance indicators.
- Workshop: Preliminary design of financial KPIs for an accounting department.
Day 2: Financial Analysis as a Foundation for KPI Development
- Reading and analyzing financial statements (Balance Sheet, Income Statement, Cash Flow Statement).
- Applying horizontal and vertical analysis techniques.
- Calculating and interpreting key financial ratios (profitability – liquidity – leverage – efficiency).
- Linking financial analysis to KPI development.
- Understanding the relationship between traditional financial analysis and KPI-based analysis.
- Practical Workshop: Applying KPI analysis using real company data or a case study.
Day 3: Designing Financial Performance Indicators (KPI Design)
- Identifying appropriate indicators for various financial departments.
- Establishing a methodology for selecting indicators aligned with strategic goals.
- Determining data sources and addressing challenges in financial measurement.
- Creating KPI Cards and understanding their structure.
- Steps in designing financial KPIs and criteria for selecting suitable indicators.
- Building key indicators such as ROA, ROE, ROI, Current Ratio, Debt-to-Equity, etc.
- Group Workshop: Designing financial KPIs for a real or simulated organization.
Day 4: Financial Analysis Tools and Dashboards
- Understanding the concept of financial dashboards and their role in control and analysis.
- Learning how to create visual analytical reports using Excel or Power BI.
- Using indicators to measure variances and support financial decision-making.
- Introducing the Balanced Scorecard framework and its applications.
- Components of a financial dashboard and tools for building interactive dashboards.
- Practical Exercise: Developing a financial KPI dashboard.
- Analyzing financial performance variances between planned and actual results.
Day 5: Practical Application and Strategic Financial Performance Analysis
- Integrating theoretical and practical concepts in a comprehensive financial performance analysis.
- Preparing a financial performance report using selected KPIs.
- Presenting strategic recommendations for improving financial performance.
- Assessing participants through an applied practical project.
- Case Study: Comprehensive financial performance analysis of a financial or industrial organization.
- Evaluating results and developing a performance improvement plan.
- Participant presentations and discussion of recommendations.
- Final evaluation and summary of key lessons learned.
