Strategic planning and Financial Analysis Ratios - Coursework Example

Free

Extract of sample
Strategic planning and Financial Analysis Ratios

The strategic plan sets the general direction for the use of management resources and turns the organizational vision into concrete achievements. Strategic planning is therefore the process of setting objectives and determining what should be done to accomplish them (Sadler, 2003). It is not a static process and once the framework is in place and working, it needs to be frequently reviewed in the light of changes in the environment. The difference between strategic planning and financial policy of General Motors is that while strategy determines how the company will accomplish its set objectives and goals, financial policy is concerned with the allocation of resources for example, capital that are to be utilized to achieve company objectives and goals. The purpose of strategy is to take advantage of what the company does well or hopes to do well which will have a benefit on the external environment. The strategy also provides a focus upon which the company mission and objectives can be translated into tactical and operational plans that work and make sense (Sadler, 2003). ...
Download paper

Summary

Strategic planning is the process of developing and maintaining consistency between the organizational objectives and resources and its changing opportunities. The strategic plan sets the general direction for the use of management resources and turns the organizational vision into concrete achievements…
Author : kaylah11
Download 0

Related Essays

Strategic Financial Management - Marks and Spencer
The intention of this study is Marks and Spencer as a brand of retailer group in the United Kingdom leading among several companies. The company provides its customers with clothing and other home products that are superior in quality and provide high value for money to the customers. The company is into the businesses of clothing, home products as well as food. It is also presently known for its environmental friendly activities. The Marks and Spencer company leading in its market in providing its customers with high quality clothing and home products as well high value for the food products...
14 pages (3514 words) Essay
Financial Ratios. Jardine Cycle and Carriage
SWOT Analysis from Financial Perspective 13 5. Conclusion and Recommendation 14 6. References 16 16 7. Appendices 21 7.1 Appendix 1: Profit and Loss Account of Jardine Cycle & Carriage Ltd. (2010, 2009, 2008, 2007) 21 7.2 Appendix 2: Balance Sheet of Jardine Cycle & Carriage Ltd. (2010, 2009, 2008, 2007) 24 7.3 Summary/Workings for Financial Ratios 27 1. Introduction 1.1 Financial Health of the Company Jardine Cycle and Carriage Limited is an investment bearing company. The company is engaged in the processes of manufacturing, assembling, distributing and selling through retail chains various...
14 pages (3514 words) Research Paper
Financial Ratios, Discriminant Analysis and the Prediction of Corporate Bankruptcy
The cost of sales value includes the cost of resources utilized in the manufacturing of the products along with the labor expenses utilized in the production of the products. Thus, the cost of sales can be computed as, Cost of Sales = Opening Stock + Purchases – Closing Stock The computation of the cost of sales of a company does not comprise of any indirect costs involved in the process of sale of the products. Thus, the repair and maintenance charges, costs of depreciation of tools and equipments, rent expenditure, wages and charges of water and electricity have been excluded from the...
9 pages (2259 words) Essay
Financial ratios and their implications along with their usage
This essay discusses that financial ratios have been used by firms around the world to analyse how one firm performs in comparison to the other firm as well as to analyse the performance of the firm over the period of years. Therefore management calculates and uses financial ratios to identify the performance gap of the firm against its own past performances as well as against the performance of competing firms in the industry. In addition to this, management uses to analyse the financial performance of the firm against the average financial ratios of the firms operating in the industry as...
7 pages (1757 words) Literature review
Finance analysis of Whitbread Financial Ratios
Ratio analysis is one of the methods used to carry out a company financial analysis to determine the performance of the company in question in relation to other companies in the industry in which such a company operates and also in relation to its own operations over time. The past performance of the company as shown by the ratio analysis as well as other methods that can be used in the company financial analysis can be used as an indicator of the company’s future performance in terms of the company’s liquidity, profitability, working capital management, asset management, efficiency of the...
9 pages (2259 words) Assignment
Financial Ratios Essay
The financial statement prepared with the help of financial ratios is an aid to find out the efficient operation of the business for the share holders, competitors, and outsiders who are willing to invest in the firm. These ratios play a key role in calculating the dividend to shareholders, interest to debenture holders, as well as the tax payable to government. They also express the risk factor and bankruptcy chances of the firm. Theory of Financial Ratios There have been no convincing theories on financial ratios over the years. Horrigan (1965), writes on how the financial ratios were...
6 pages (1506 words) Essay
Use of Financial Ratios
The paper is an attempt to analyze the accuracy of the statement of Lev and Sunder using some evidences taken from real world, especially by doing the cross sectional analysis of financial ratios. Use of Financial Ratios Financial ratios are used to measure a company’s financial condition or to analyze between two companies’ financial condition. All the stakeholders of the company have interest in company’s future, that is how the company would perform in the short term or long term future, how much it is secure to invest in the company, what type of change should be introduce so that...
4 pages (1004 words) Essay
Got a tricky question? Receive an answer from students like you! Try us!