Financial Tools for strategic Decision Making in Corporate World

As part of the academic requirements every educational institute organises subject workshops to expose candidates to practical aspects and practical applicability of the theoretical knowledge they learn. This enables to bring students at par with the level of professional excellence and enhance their adaptability skills, to nurture their ability to embrace change as an indispensable ingredient of growth in a global economy.

On the 6^th and 7^th of April 2016 subject oriented workshops were organised at the RNB Global University, Bikaner, for the students of BBA and BCOM.

The 6^th of April 2016 witnessed the first workshop on "Cost and Management Accounting" for the students of BBA and BCOM. The workshop was convened in two parts, the first half of the day, the participants were students of BBA and in the second half the participants were the students of BCOM.

The resource person Dr. Satinder Kaur laid emphasis on the reason why cost and accounting no longer remains just a subject, but has with ease found a place for itself in the corridors of strategic decision making in business houses as Cost and Management Accounting. It is the word Management which as a prefix has brought meaning to the whole concept as a financial tool of strategic decision making.

The objective of the workshop was to clarify the meaning of Ratio Analysis as a process of determining and interpreting numerical relationships based on financial statements. The students understood the role of this analysis aiding the management to find out the overall as well as the department wise efficiency of the firm on the basis of available financial information. Further the analysis also enables the calculation not only of the present earning capacity of business enterprises but also the estimation of the future earning capacity as well.

It can be concluded that the workshop was very well defined and a very simply presented picture of how a standard set of accounting policies, valuation norms and disclosure requirements can be comprehended, on the basis of which financial statements can be prepared. The take home for students from the workshop was “how financial statements can be made more meaningful and comparable to arrive at strategic production, expansion, marketing, recruitment budget allocations and decisions at the end of the financial year and before the launch of new products”