2. BUSINESS FINANCE FOR EVERYONE Service

3. ”Invite people to think like business owners…
… so they can base their future decisions on sound business thinking.”

4. The purpose To develop business acumen:
To create a common frame of reference
To explore and discover the key value drivers
To realize the potential for improvements

5. The seminar in a nutshell
General information
Target groups
Middle and first line managers as well as co-workers.
Time
6 to 8 hours.
Number of participants
Virtually unlimited. Typical seminar: participants (5-6 teams)
Simulation
Board based
Facilitation
Trainers certified by Celemi

6. The seminar at a glance – the flow
Opening – setting the scene
Your own organization:
What are we up against?
The Service simulation
Scenario:
”From mediocrity to excellence in 3 years”
Next steps – the way forward
Back to your own real world:
What is our potential for improvements?
What can we do to tap them?

7. This is how business finance comes to life
The model company’s finances are represented by value markers and value carriers which allow the teams to imitate the circulation of capital during the financial year.

8. This is how business finance comes to life

9. The scenario
Year 1: Focus on use of resources – reducing working capital and improving utilization of staff
Reduce inventory; turn ”unproductive capital” to cash
Improve utilization of staff; better procedures for forecasting and planning
Profit M
Utilization 90%
Contribution
Something to ponder
The truth is that even small improvements often have a huge impact on the bottom line.
Utilization + 10%
Profit + 100%

10. The scenario
Year 2: More demanding customers – a threat and an opportunity
Plan of action, three strategic initiatives:
Expand the product portfolio
Make delivery more efficient
Create awareness among targeted customers

11. “Profit is an opinion. Cash flow is fact.”
The scenario
Year 2: Focus on cash
“Profit is an opinion. Cash flow is fact.”

12. The scenario Focus area
Year 3: Focus on the customer base – creating long-term value for all stakeholders
The ability to make profit in the coming years
The value according to the Balance Sheet
Focus area

13. The next steps activity
The way forward
Link to own area of responsibility:
Identify the potential for improvements.
How would tapping this potential affect your profitability?
Determine how the improvements may affect the bottom line.
What could be done to tap the potential?
The main purpose of this activity is to secure that the learning gained results in sustained and useful knowledge!

14. The next steps activity

15. All in all Through the simulation participants learn how:
Daily decisions impact the company strategically and financially.
Small changes in operations can significantly improve bottom line results.
Their business generates profits today – and how it will need to generate profits in the future.
… This will pave the way for sound future business decisions.
” Celemi Apples & Oranges successfully supports our efforts to establish a value oriented culture among all employees. That’s what will make the difference in performance in the marketplace.”
– Michael Kutschenreuter, CFO, Siemens Business Services

16. Concepts in the simulation
Business finance
KPI´s
Balance sheet
Profit and loss statement
Cash flow
Working capital
Value drivers
Utilization of staff
Delivery efficiency
Multi skilling
Tangible and intangible assets
Market value

17. The guiding principles behind
“You cannot simply absorb other people´s knowledge…
…you must create your own.”

18. Client references - examples
> employees
> employees
> employees
> employees
>3 000 employees
“Pursuing the Value Management programme has saved the Group around €1 billion in costs... We could not have accomplished this without Celemi Apples & Oranges.”
– Jürgen Hambrecht, CEO, BASF