ADVANCED FINANCIAL MANAGEMENT

SHE Level 5
SCQF Credit Points 30.00
ECTS Credit Points 15.00
Module Code MMN426596
Module Leader Edward Thompson
School Glasgow School for Business and Society
Subject Finance and Accounting
Trimester
  • A (September start)

Summary of Content

This module develops upon students' prior knowledge and skills from prior learning of financial management and prepares students to advise management and/or clients on complex strategic financial management issues facing an organisation. It will explore the role and responsibility of a senior executive or advisor in meeting competing needs of stakeholders within the business environment of multinationals. The syllabus will focus on the impact investment and financing decisions, with the emphasis moving towards the strategic consequences of making such decisions in a domestic, as well as international, context. Students will be required to develop further advisory skills in planning strategic acquisitions and mergers and corporate re-organisations as well as the existence of risks in business and the sophisticated strategies which are employed in order to manage such risks.

Syllabus

A Role of senior financial adviser in the multinational organisation; the role and responsibility of senior financial executive/advisor, financial strategy formulation, ethical and governance issues, management of international trade and finance, strategic business and financial planning for multinational organisations, dividend policy in multinationals and transfer pricing Advanced investment appraisal; discounted cash flow techniques, application of option pricing theory in investment decisions, impact of financing on investment decisions and adjusted present values, valuation and the use of free cash flows, international investment and financing decisions Acquisitions and mergers; acquisitions and mergers versus other growth strategies, valuation for acquisitions and mergers, regulatory framework and processes, financing acquisitions and mergers Corporate reconstruction and reorganisation, financial reconstruction, business re-organisation Treasury and advanced risk management techniques, the role of the treasury function in multinationals , the use of financial derivatives to hedge against forex risk, the use of financial derivatives to hedge against interest rate risk

Learning Outcomes

On successful completion of this module students should be able to:1. Critically evaluate the role and responsibility of the senior financial executive or advisor in meeting conflicting needs of stakeholders and recognise the role of international financial institutions in the financial management of multinationals.2. Critically evaluate potential investment decisions and assessing their financial and strategic consequences, both domestically and internationally.3. Assess and plan acquisitions and mergers as an alternative growth strategy.4. Evaluate and advise on alternative corporate re-organisation strategies.5. Apply and evaluate alternative advanced treasury and risk management Techniques.

Teaching / Learning Strategy

The programme is focused on the development of both theoretical and practical financial management skills, and aims to engage students in analysis, research and discussion of contemporary, real life issues. The teaching and learning strategy aims to embed these attributes. All of the modules will be delivered on a campus-based and distance learning mode. For campus-based students, face to face contact involves four hours of class contact per week: normally a 2 hour lecture and 2 hour seminar. Lectures will be used to highlight the key issues in a specific topic and point the way towards relevant journal articles and other appropriate literature. Students will be then expected to prepare for following week's lectures on each topic by engaging in literature searches, undertaking relevant reading and preparing responses to questions. The lectures will adopt a variety of teaching styles including seminar style contributions such as group discussion to enhance intellectual, critical and analytical skills. For more applied topics, students will be required to attempt relevant problem or scenario based questions prior to the lectures taking place, providing the basis for deepening professional skills, knowledge and understanding. Module classes are conducted in workshop format providing a mix of tutor led, student led and group learning. Distance learning students access the same resources as on-campus. All students are provided with lecture slides, lecture notes and additional reading all of which is available online. GCU Learn is used in this way as a repository, to provide students with essential learning material. It is also used as a platform for student discussion around the weekly seminar topics. Using Padlet, wikis and blogs both on-campus and distance students will have the opportunity to engage with each other and discuss the weekly lecture topics online. In additional Collaborate Ultra is utilised to provide students with synchronous learning opportunities and provide more directed support throughout the module. Students are provided with formative and summative feedback via a variety of mechanisms. Feedback on coursework is provided within 3 working weeks of submission. At the end of the module, students will be provided with 12 hours of revision classes to prepare them for their ACCA 'strategic professional' exam. Students will undertake two courseworks which will be scenario-based and the requirements come from different areas of the syllabus. The question normally requires candidates to perform complex computations, evaluate and analyse information, discuss and assess various options, and make judgments, possibly based on explained and justified assumptions. The questions are substantive and analytically complex and require reasoned recommendations, to varying degrees. The courseworks have been designed to adequately prepare students for the ACCA exams.

Indicative Reading

Advanced Financial Management (latest edition): Kaplan Publishing, London Drury, C. (2012) Management and Cost Accounting, 8th edition, Thomson Learning, London Horngreen, C., Harrison, W., and Oliver, M. (2009), Financial and Managerial Accounting, 2nd edition, Prentice Hall, Essex Young, D. and Cohen, J. (2012) Corporate financial reporting and analysis, a global perspective, Wiley Journals: Management Accounting Management Accounting Research Journal of Management Accounting Research Journal of Business Finance and Accounting Accounting Horizons Accounting Organizations and Society.

Transferrable Skills

The main transferable skills developed in this module are: 1. Critical thinking skills which are reflected in engagement with the lecture material and the necessary preparation for the assessments. 2. Communication skills which are reflected in discussions 3. Independent working which is reflected in the preparation for the lectures 4. Problem solving which is reflected in preparation for lectures. 5. Planning, monitoring, reviewing and evaluating own learning and development which is reflected by the structure of the module which is designed to foster the development of these skills.

Module Structure

Activity Total Hours
Lectures (FT) 32.00
Assessment (FT) 40.00
Seminars (FT) 32.00
Tutorials (FT) 12.00
Independent Learning (FT) 184.00

Assessment Methods

Component Duration Weighting Threshold Description
Course Work 02 n/a 50.00 45% Scenario based questions requiring students to perform substantive and analytical complex computations and evaluation of information
Course Work 01 n/a 50.00 45% Scenario based questions requiring students to perform substantive and analytical complex computations and evaluation of information