Reference no: EM132400007
Every Number Tells a Story
Understanding how the three basic financial reports (Income Statement, Balance Sheet, and Cash Flow Statement) correspond to an overall measurement strategy is going to be critical to your future success as a business manager. Berman and Knight (2006) call it Financial Intelligence and tell us that you need to look at the business financial results within a big picture framework and include factors such as competition, regulations, the economy and changing customer needs.
For this Discussion topic, you will select an organization in which you have an interest; for example, you may be interested in learning more about your chosen organization's financial statements for research or investment purposes. Or, your reason for choosing your organization can simply be due to the ready access to data.
Review the financial picture and the current company success/trouble in the marketplace. You may include the financial statements as an attachment, but the main focus of this discussion response is to present a picture of the company and talk about success using the numbers as a base. Include the following data points in your response as a base and include additional information as you deem important to the response:
Main Response
- Company Name and relevant information.
- How did the numbers provide information to you as a base about areas of success, opportunities for improvement?
- What other factors did you research (i.e. recent relevant events, for example a merger or an expansion) to increase your understanding of the numbers.
- Is this company operating under the principles of Conscious Capitalism?
- If you were to be called in as a consultant to the company leadership, what recommendations would you have to increase company success using the numbers as a base?
Response to Peers
Select at least one peer response and conduct additional research to add depth to the information that is posted. Include insights that you have gained from reading the peer post and from the additional research you completed.
Reference
Berman, Karen & Knight, Joe & Case, John. (© 2006). Financial intelligence: a manager's guide to knowing what the numbers really mean. [Books24x7 version]
Using your readings, the Marketplace Microsimulation - Fundamentals of Accounting, the information from prior courses, including, GB518: Financial Accounting Principles and Analysis, GB519: Measurement and Decision Making, and GB550: Financial Management and personal experience will be helpful to you in this Discussion topic response.