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Financial Control
Using the Thinking Planning Implement / Executing Philosophy (TPI/E™)
Game Code:
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While products are being designed and marketing campaigns planned, the Company needs to manage the Cash using the pro-former cash flow. That is accomplished on this finance and management screen. The Finance Manager will be able to request the desired/needed capital from the various sources (equity and debt). Some of the sources have a limit on how much can be taken or requested, others have interest that will be charged or Company ownership dilution. Your decision as the Finance Manager is to select the source and amount that will benefit the Company in 
each of its markets (country's). Remember that money borrowed must be repaid and ownership cannot be rescinded. Funds will also need to be appropriated for facilities such as Inventory Storage, in-country Investments (FDI), HR, etc. It is the teams’ decisions if the Finance Manager is responsible for these corporate expenses, or another manager has been assigned the responsibility. Investments can only be made in domestic, FDI and export countries. Investment in export countries is limited to procurement of storage facilities. Storage facilities are required to store excess inventory. For example, if the marketing manager over forecasts the units to be sold, if there is no storage facility the excess units will be scrapped. This represents a loss to the corporation.
- Cash - Company Bank Account
- Commercial Loan (has an associated expense: Interest on Commercial Loan)
- Investment - Stock Sale (ownership)
- Bond Sale
- FDI - In-country investments
- Inventory Storage Facility (An inventory holding facility that stores QOH)
Other elements to consider when managing cash are as follows:
- Potential Revenue (projected revenue based on the QOH and QOO multiplied by the selling price). It is important to remember this is merely a forecast and not guaranteed revenue. Therefore, as finance manager, it is important to take into consideration when planning capital requirements the potential shortfall of an invalid rejection.
- Product Purchase Cost (cost associated with the purchase of inventory - QOO*Cost). The company will pay for the products that have been purchased for resale however if there is not sufficient storage facilities, in country, then the excess inventory will be scrapped.
- Ad Campaign Budget (total of the Ad Campaign budgets)
Once these decisions have been entered update (click the Update Button). *Have tooltips