By: Frank Fordjour
This blog provides a detailed example of a financial advice presentation, based on a successful consulting project in the manufacturing industry. This “fictional report” offers an opportunity to learn from senior consultants.
Executive Summary
This report is concerned with the processes involved in moving a start-up manufacturing business from making losses to achieving positive cash expansion. The project was executed in four phases: Phase 1, Assessment Phase; Phase 2: Solution Development Phase; Phase 3: Implementation Phase and finally the Review and Optimization Phase together with the Consultant’s readiness to amend, revisit and streamline where necessary any major or other processes as may be required.
Phase 1: Assessment
Purpose: Provide assessment and recommendations with the intention of increasing value to the start-up with expansive procedures in place regarding all operations.
Key Activities:
♣ Cashflow labour, technology, and personnel were examined, and information compilation was commenced with the view of formulating proper management procedures.
♣ Slow learners, old techniques and out-of-date CRM were also observed.
Results:
♣ Cashflow management, on the other hand, does not show effective well-defined techniques.
♣ There is no sound and active CRM in place within the organization.
Phase 2: Solution Development
Purpose: Generate a primary cashflow direction in the form of cash flow strategy with budgets and cost limitations at the minimum
Key Activities:
♣ The finance and accounting team were provided with cash modern management principles and fundraising formulas.
♣ Installation of the customer relationship management software was made.
♣ A new cash flow theory where customers are emphasized more was developed.
Recommended Actions:
♣ The training in projecting cash flows immediately.
♣ Integration of an improved CRM system.
♣ Reengineering the cashflow processes with the primary focus being the customers.
Phase 3: Implementation
Objective: Complete the developed cashflow strategy.
Key Activities:
♣ Contracted Annual Recurring Revenue (CARR ) conducting team training sessions for each department.
♣ Reconstruction and adjustment of the new CRM system.
♣ Smoothing the shift to a new cashflow procedure.
Implementation Steps:
♣ A full team training approach.
♣ CRM system configuration and installation.
♣ Gradual changeover procedures on guidance
Phase 4: Review & Optimization
Objective: Assess and reconstruct the new cashflow strategy.
Key Activities:
♣ Assessment of performance metrics during the analysis of the metric.
♣ Considered what steps had to be taken to improve metrics.
♣ Worked with the client to reposition cashflow drivers.
Outcomes:
♣ Clear improvement in cashflow performance gains.
♣ Overall globalization of the finance and accounting department/ team.
♣ General enhancement of the economic position of the company.
Conclusion
The net cashflow strategy of the client was a success due to the systematic procedures implemented by the consultant. The life cycle of the project demonstrates the need for careful evaluation, purposeful planning of a solution, accurate and timely execution, and periodic assessment as well as improvement of the solution
