Overview
Financial modelling is one of the most highly valued but less understood skills in finance. The objective is to combine accounting, finance, and other business metrics to create an abstract representation of a company, forecasted into the future. Financial models serve diverse purposes, from Budgeting, project appraisals, financial statements, or more intricate applications such as making business decisions or making investments. Forecasting a company's operations is complex due to unique business assumptions and calculations. Excel is the most flexible and customisable tool, as customised software can be rigid and hinder adaptability to changing business needs. Why Should an Individual Attend?
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Master Forecasting for Profitability. Learn to build models that accurately forecast budgets, income, expenses, and profitability—essential for running a successful business.
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Respond Swiftly to Change. Gain the ability to create tailored models that adapt quickly to shifting business environments and decision-making needs.
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Simulate Scenarios with Confidence. Develop comprehensive models that visualize multiple scenarios and assess their impact on business performance at a glance.
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Control Scope Creep in Projects. Understand how modelling can highlight scope changes in engineering projects and their financial implications in real time.
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Apply Modelling Beyond Finance. Explore techniques that extend to costing, quotations, tenders, and project lifecycle management—valuable across industries.
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Bridge the Gap in Engineering Modelling. Clarify the difference between general engineering modelling and structured financial modelling, enhancing your technical toolkit.
Outcomes
By the end of the course, delegates will be able to:
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Grasp the 6-step methodology for constructing effective models.
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Distinguish between Financial and Engineering Models.
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Refresh key Excel skills to apply logical structures within models.
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Revisit core financial principles for accurate project evaluation.
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Build and refine a variety of practical models.
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Comprehend how to separate inputs, processes, and outputs, using external variables to simulate diverse scenarios.
Program Outline
Concepts and Skills
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Constants
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Extraneous variables
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No “hard coding”
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Links
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Principles
Excel Skills Review
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Functions
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Logical functions
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Referencing functions
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Financial functions
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Error handling functions
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Arithmetic functions
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Date functions
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Ranking functions
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Text functions
VBA
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Introduction
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Creations of Macros
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Debugging of Macros
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The VBA Editor
Tools and Features
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Formula evaluation / tracing and diagnosis
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Customising the Quick access toolbar
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Customising Excel (Options, the back-stage view)
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Form elements and controls
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Data tables
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Conditional formatting
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Custom formats
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Charts and templates
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Arrays
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Worksheet and workbook protection
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Function Wizard
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Auditing tools
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Keyboard shortcuts
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Basic VBA
Review of Relevant Financial Concepts and Financial Functions
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Discount rate
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Present and future value
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Internal rate of return
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Cost of debt and cost of equity
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Weighted average cost of capital
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Free cash flow to equity and to the firm
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FX rate
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PMT, RATE, PV, FV & NPER functions
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Inflation rate, real and nominal values
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IRR, rolling IRR, hurdle rate, The cost of capital (WACC)
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NPV, XNPV, and XIRR functions
Team-based concept case studies and problem-solving activities scheduled across the two-day period. Who Should Attend?
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Engineers
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Architects
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Project / Construction Managers
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Quantity Surveyors
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Construction Health and Safety
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Executives / Senior Management
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Middle Management
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