Financial Management for Projects and Contracts

INTRODUCTION
In today's competitive business landscape, project and contract managers face increasing pressure not only to meet technical and scheduling goals but also to achieve profitability targets and cost-related measures.

At Al-Majd Pathways Centre (APC), our Financial Management for Projects & Contracts training course delves into financial metrics commonly used and explores the often-overlooked financial impact of everyday operational decisions. This comprehensive course equips you with the knowledge and skills to navigate the financial aspects of your projects.

By attending this course, participants will gain insights into:

• Key financial and accounting principles essential for effective project and contract management.

• The significance of the time value of money and cash flow management.

• Evaluation criteria for Requests for Authorisation (RFA).

• Best practices for contract pricing management.

• The correlation between risk, costing, and performance assessment.

TRAINING OBJECTIVES

Our Financial Management for Projects & Contracts course aims to empower participants to:

• Enhance communication with accounting and financial professionals.

• Read, comprehend, and analyse accounting and financial data.

• Expand project scheduling and cost control expertise to include additional financial metrics and tools.

• Minimise financial risks associated with projects.

• Develop and apply tools for comparing financial returns on projects.

• Recognise the influence of finance on organisational decisions and project performance evaluations.

WHO SHOULD ATTEND?

This training course from Al-Majd Pathways Centre (APC) is suitable for professionals involved in project and contract management across various industries, including:

• Project Professionals

• Project Managers

• Contract Professionals

• Commercial Executives

• Project and Contract Personnel seeking a solid foundation in finance for effective decision-making.

TRAINING APPROACH

At Al-Majd Pathways Centre (APC), we employ a dynamic approach to learning. Participants will engage actively through exercises, case studies, practical workshops, syndicate sessions, and group discussions.

TRAINING OUTLINE

Day 1 - Fundamentals of Finance

• Understanding the time value of money.

• Evaluating discounted cash flows.

• Differentiating direct vs. indirect costs.

• Exploring fixed, variable, and semi-variable costs.

• Conducting break-even analysis.

Day 2 - Contract Profitability - Pricing

• Developing pricing strategies and tactics.

• Profit planning techniques.

• Cost estimating and cost-based pricing.

• Market-based and value-based pricing.

• Strategies for optimising contract profitability.

Day 3 - Asset Management - Cash is King

• Managing cash flow and its significance.

• Timing of cash flows.

• Effective management of inventory and equipment.

• Recognising revenue and its timing.

• Exploring financing arrangements.

Day 4 - Risk Management, Terms, and Conditions

• Strategies for managing project risks.

• Scenario and sensitivity analysis.

• Implementing Earned Value Analysis (EVA).

• Variance analysis for better decision-making.

• Understanding contract terms and conditions, including INCOTERMS®2010.

Day 5 - Cost Estimating - What Works Best

• Various cost estimating methods.

• The role of planning and scheduling in cost estimation.

• Analysing historical data for cost insights.

• Leveraging experience curves.

• Establishing the connection between cost estimating and pricing.

• Utilising Excel® for data analysis.

Format: Onsite

Language(s): English and Arabic 

Duration: One Week

Certificate of Completion: Upon successful completion of the course, participants will receive a Certificate of Completion from Al-Majd Pathways Centre (APC).