Integrated financial and operations management

This course aims to provide students with theoretical knowledge needed for comprehension of management models that integrate financial and operational decisions. Students will understand how such models support decisions and control in operations and logistics. Starting from prerequisite knowledge, students will develop appropriate understanding of corporate financial management. We will then further integrate financial and operational decisions through analyzing supply chain settings through a financial lens and investigating different supply chain finance instruments. We finally study the financial interface with consumers through pricing and revenue management strategies. We give particular emphasis to topics that will be relevant to future operations and logistics managers in today’s globalized world.

Topics central in this course:

1. Operational Performance and Financial Measures
2. Financial Metrics and Accounting Numbers
3. Financial analysis & planning.
4. Basic valuation techniques

• Strategies for Operational and Financial Alignment
• Introduction to Cash Flow Analysis
• Trade Credit Analysis
• Supply Chain Finance Instruments
• Financial interface with consumers
• Financial and operational risk management
• Demand models and consumer behaviour
• Capacity allocation to heterogeneous consumers
• Variable pricing mechanisms

After successful completion of this course

• Students will be able to understand the financial performance metrics and relate them to operational strategies

• Students will be able to analyze different inverstment opportunities.

• Students will be able to evaluate and compare various supply chain finance strategies

• Students will be able to analyze financial and operational risks and identify the right mitigation actions

• Students will be able to understand how various financing alternatives affect operational efficiencies.

• Students will be able to develop appropriate quantitative models that trade-off operational efficiencies and financial metrics.

• Students will be able to analyze various pricing strategies and their implications on revenue management.

You must meet one of the following collections of requirements

• Collection 1
• Completed Final examination Bsc program
• Completed none of the course modules listed below
• Financial Management (1CM22)
• Collection 2
• Completed Pre-Master
• Completed none of the course modules listed below
• Financial Management (1CM22)

• Principles of Corporate Finance, by Brealey, Myers, and Allen.
• Notes and selected scientific publications will be provided