Financial Planning & Management

Definition
Financial Planning and Management is the ability to cost activity and manage the budgets set. It involves the planning and delivery of agreed results/outputs within established criteria for budget and timescale, using the appropriate policy and process.

Sub skills
'''Risk Management

Level 1


 * Awareness of corporate/global policies and processes in relation to risk management including business risk management framework tools (BRMF) and know where to locate this information

Level 2


 * Knowledge and experience of corporate/global policies and processes in relation to risk (including BRMF) and how these link to departmental/country/regional level risk management


 * Ability to identify and manage these risks


 * Communicates exceptions at departmental/country/regional level

Level 3


 * Lead on the management of risk, by assigning roles and responsibilities, ensuring reviews take place and risks are managed at a departmental/country/ regional level


 * Ability to identify opportunities and manage any financial risks associated with them


 * Takes responsibility for reporting exceptions to the appropriate senior management forum

'''Planning and Forecasting

Level 1


 * Awareness of financial planning cycle and deadlines and where to locate this information


 * Understanding of process to set up and maximise benefits of an effective management reporting structure (WBS + cost codes) including budgets and commitments


 * Has basic knowledge of the concept of cashflow (movement of money in and out of the organisation) and provides the relevant financial information to budget holder as part of the cash flow forecasting exercise

Level 2


 * Knowledge and application of British Council planning cycle plus policies, processes (FPS) and timetables


 * Contributes to departmental/ country/regional financial plan


 * Uses systems to accurately cost a project/activity


 * Supervises the setting up of a financial management reporting structure (WBS +cost codes for SAP countries) including budgets and commitments


 * Produces a cash flow forecast for project/activity

Level 3


 * Ability to produce a financial plan to support programme of activity for dept/country/region


 * Ability to cost activity, including cost benefit analysis where appropriate


 * Ability to construct pricing structures (e.g. pricing exams, course fees)


 * Use forecasting as a tool to identify patterns/trends in expenditure/income

'''Monitoring and Reporting

Level 1


 * Understand how to access reports and verify transactions posted to budgets, where financial role permits


 * Knows how to create and maintain financial management information records for projects/activity (showing budget, actuals, commitments and forecast outturn)


 * Understands how to review the status of creditors and debtors and know how to escalate problem items as appropriate


 * Has basic knowledge of business risk management tools for monitoring and is aware of their own role in this process

Level 2


 * Understand how to access and process reports, including income and expenditure statements and balance sheet


 * Monitor financial performance against targets and takes action to manage exceptions (e.g. over/underspend on a particular budget)

Level 3
 * Monitor creditors and debtors and report exceptions at business risk management meetings as appropriate


 * Takes lead responsibility for monitoring and reporting at departmental/country/ regional level


 * Able to analyse and interpret complex financial data in order to make appropriate recommendations/proposals to business plans/projects


 * Reports directly and appropriately with internal and external stakeholders on financial matters

'''Receipts Process: Invoiced and non-invoiced

Level 1


 * Knowledge of customer master data - process plus content and data standards


 * Ability to run debtor reports or know where to access them and identify debtor position e.g. check if amounts are overdue


 * Awareness of the concept of reconciliation and ability to prepare a statement of expected income where required

Level 2


 * Knowledge plus application of bad debt policy and process


 * Checks and approves reconciliation of receipts to cash banked (where required)

Level 3


 * Lead on any bad debt applications for write off


 * Takes responsibility for ensuring reconciliation of receipts to cash banked are completed where required

'''Payment Process

Level 1
 * Knowledge of the procedures for setting up vendors on the corporate system (SAP)


 * Awareness of payment system process and document standards, including travel and expenses, or where to locate the information

Level 2


 * Knowledge of, and manages, the risks associated with setting up of vendors

Level 3
 * Ensures payments are processed correctly and creditors are effectively managed


 * Ensure that resources are in place, roles and responsibilities are clearly defined and allocated and that there is compliance with corporate standards, to enable the payment process to run efficiently and effectively

'''Impact of financial transactions on BC statutory reporting plus other reporting obligations

Level 1


 * Has a basic awareness of how transactions impact on corporate accounts


 * Awareness of statutory and internal management principles and practices, including accruals, and where to locate guidance


 * Ability to correct accounting entries and to cross charge between business activities or provide relevant information for the journal to be raised.

Level 2


 * Understands how transactions impact on the corporate accounts


 * Understand internal management principles and practices, including accruals, in the recording of transactions

Level 3


 * Demonstrates an understanding of the wider environment in which the organisation is operating and the impact this has on financial transactions, e.g. devaluation


 * Takes lead responsibility for ensuring that transactions are properly recorded in the accounts

Assessment
Current methods used to assess ability in the skill.

Benchmarks
Statements that could serve as comparators for ability.