Chapter 2: Activities of a finance professional

• What are the 4 A's? (Function/activities of finance professional)

  1. Assemble (Assemble information. Collate, clean and connect data into information)
  2. Analyse (Analyse information for insights)
  3. Advise (Advise people to influence)
  4. Apply (Apply it all to make an impact)
• What is data and information?

  Data = Raw unprocessed facts and figures

  Information = Data turned into something meaningful
• Cost of obtaining information < Info obtained
• What are the qualities of information?

  A = Accurate

  C = Complete

  C = Cost effective

  U = Understandable

  R = Relevant

  A = Accesible

  T = Timely

  E = Easy to use
• What are the 3 types of Data?

  1. Financial Data - This is standard data that everyone understands.
  2. Enterprise data - This financial data plus operational and transactional data that bolsters analysis and forecasting.
  3. Big Data - Enterprise data + large internal/external data that can give insights into business performance and risk.
• The two types of data collection?

  Informal = Ongoing

  Formal = Specific
• What is environmental scanning?

  Taking data from wide range of sources
• What is data cleansing?

  This is the process of identifying inaccurate data and fixing it.
• What is data analysis?

  Evaluating data against benchmarks to form a conclusion.
• What is insights?


  Indications of the drivers of value for organisation
• What are the 4 level of data analysis?

  1. Reporting - What has happened
  2. Analysis - Why did it happen
  3. Monitoring - What is happening now?
  4. Predciting - What will happen in the future?
• Who are the primary stakeholders?

  • Shareholders
  • Directors/Managers
  • Customers
  • Suppliers
  • Lenders
• Who are secondary stakeholders?

  • Government
  • Local community
  • Environment
• Who are internal stakeholders?


  • Management
  • Employees
• Who are connected stakeholders?

  • Shareholders
  • Lenders
  • Customers
  • Suppliers
• Who are external stakeholders?

  • Government
  • Local community
  • Environment
• Mendelev Matrix: Top Left (LOW power ,LOW Interest?

  Minimal effort = Casual labour.
• Mendelev Matrix: Top right (Low Power, High interest)?

  Keep Informed = Small local suppliers and core employees.
• Mendelev Matrix: Bottom Left (High Power, Low interest)?

  Keep satisfied = Government and Customers.
• Mendelev Matrix: Bottom right (High power, High interest)?

  Key Players: Shareholders, Managers, and suppliers.
• Communication considerations?

  Audience = Who is the target audience and what is their needs.

  Frequency = How often should stakeholders receive communication.

  Format = How and where will stakeholders get this communication.
• What is business partnering?

  Working alongside other areas
• Close partnering?

  As a finance function they have to be close to the following

  • IT function
  • Data scientist
  • Business leaders
• Skillset area: Effective business partnering relationships?

  Skills required:

  • Empathy
  • Communication
  • Challenge
• Skillset area: Contribute insights into drivers of cost, risk and value?

  Skills required:

  • Passion
  • Commercial knowledge
  • Professional objectivity
• Skillset area: Ability to integrate, apply and communicate?

  Skills required:

  • Business understanding
  • Analytical skills
  • Accounting skills
• Data connection tools

  There four key functions of data connections tools:

  1. Data integration - Visualisations can be created as soon as connection established
  2. Pre - Built starter kits - accelerate development time and feature best practice
  3. User friendly function - includes tutorials
  4. Mobile reporting - reports sent to mobiles