This intensive, five-day course is dedicated to business planning and financial modeling issues. The course utilizes Microfin software, used by MFIs worldwide, and is intended for key financial employees, chief managers, and directors of microfinance institutions (MFIs). Business planning for MFIs includes two interrelated processes - strategic and operational planning. Strategic planning determines the global goals of organizations, helps analyze the organization's ability to achieve these goals, and determines the strategy aimed at ensuring market outreach and profitability. Operational planning is used to describe the condition for realizing the strategic plan, specifically as reflected in a detailed finance plan. The course focuses on practical recommendations on strategic and operational plan development for MFIs, using the Microfin model to provide financial predictions. Through practical tasks and case studies, the course will allow participants to improve their skills in using the Microfin model. This course was developed by specialists of the Consultative Group for Assistance to the Poorest (CGAP) and adapted by the Microfinance Center in Central and Eastern Europe and NIS Countries (MFC).
Goals of the course:
- Study the step sequence in strategic planning,
- Learn to determine the right client target group and conduct market segmentation,
- Learn to analyze the environment and determine external opportunities and threats,
- Learn to analyze organizations and determine their key competitive advantages, strengths, and weaknesses,
- Development of strategic and operational plans,
- Development of financial products and sales channels that support the chosen strategy,
- Developing a financial strategy with the use of Microfin.
Brief course content overview:- Business planning - introduction.
- Strategic planning - mission and market.
- Strategic planning - environment, operational planning, and financial modeling.
- Model tuning.
- Financial product development.
- Marketing channels and loan portfolio prognoses.
- Loan losses and loan officer caseloads.
- Personnel and operational expenses.
- Key assets and administrative costs.
- Financial strategy.
- Financial analysis.
