Posts

Industry Standards for Measuring Operating Result in In-House Training Programs: A Practical Business Guide

Image
Training, in many businesses, is regarded more as a “support function” – it is considered to be nice to have, but not necessarily directly related to profitability. In fact, it's this approach that has become obsolete. Businesses are held to an ever higher standard today to link learning programs with measurable results, particularly in terms of operating results. As a result, there is greater use of structured frameworks and external professionals and training initiatives such as those provided by Riverstone Training, to help organisations ensure that in-house training is in line with recognised standards. With well-designed and well-evaluated training, it is not only about the skills that are gained, but also about the efficiency, cost control and the bottom line of the business. Let's take a look at how industry standards are reflected in how companies look to measure and enhance operating results via in-house training. industry standards for measuring operating result in in...

Medium Sized Enterprises And Global Trade: Definitions, Roles, And Economic Impact

Image
When it comes to discussing economic growth, large corporations tend to get the vast majority of references. Nevertheless, in actual sense, a big portion of any economy is propelled by small and medium-sized enterprises (SMEs). These are businesses operating in such a scale that is big enough to make a difference, yet still small enough to be able to respond to changes very quickly. Simultaneously, it is global trade, being formed by such institutions as the World Trade Organization, that provides the context in which such businesses operate and develop. The knowledge of the SMEs and global trade regulations provides a better understanding of the way in which the modern economies actually work. Medium Sized Enterprises Definition And Role In The Economy Medium-sized enterprises are businesses , which are neither too small nor too big in terms of size, revenue and workforce. The definition may differ according to each country though they are usually organized and with an increasing mark...

Types Of Moving Consumer Goods In Retail And Business: FMCG Explained Simply

Image
When one considers the things that people purchase virtually without giving it a second thought; snacks, drinks, soap, toothpaste etc. that is basically what fast moving consumer goods (FMCG) are. These are the items that are sold fast, used on a daily basis and require a daily replenishment. Owing to this, the business behind FMCG is one that is all about the volume, speed and consistency. FMCG is an enormous factor in the retail sector since it brings about frequent customers. These goods are a part of every day life, unlike expensive products that people purchase at infrequent intervals, which makes them one of the most competitive and fast-paced industry in the business world. What Are Fast Moving Consumer Goods Explained Simply The products which are sold quickly at a comparatively low price are considered fast moving consumer goods . They do not sell long in shelves since they are constantly purchased by the consumers. The most important concept is the frequency. They are not pro...

Licensing Explained In Business And Intellectual Property: Meaning, Structure, And Strategic Use

Image
  Licensing is a fundamental business and intellectual property (IP) term that enables one party to give another permission to use its resources according to certain terms. This can be anything from logos and patents to copyrights, technologies or even business processes. Rather than transfer ownership, licensing allows companies to monetise their assets while maintaining ownership. Today, licensing is common in a variety of sectors - technology, entertainment, manufacturing, franchising and more. It enables businesses to reach new markets, partner with others and generate revenue from their innovations without having to actively manage the business. What Is A Licensing Agreement And How It Works This right will come with a price and the licensor will charge a fee or royalty. The owner (licensor) of the asset still owns it, but gets compensated for letting others use it. So, it's a win-win-win (licensor, licensee and consumer) situation. Typically, a license fee (royalty) will be ...

Horizontal And Vertical Analysis In Financial Statement Analysis: Concepts, Methods, And Comparison

Image
  Analysing financial statements is key to assessing the performance of a business. One such analysis is horizontal analysis and vertical analysis. Both methods seek to give an indication of how a business is performing, but from different angles - one over a period of time, and the other in the same period. Knowing how they work can help financial analysts, students and entrepreneurs to better understand financial information and make informed decisions. Horizontal Analysis Explained In Financial Statement Analysis Horizontal analysis is a technique for analysing financial statements over time. This type of analysis is used to look for trends in data like revenue, expenses, profits and so on, across multiple years. This approach can be used to answer questions such as: Is it spending more than it's earning? Horizontal analysis shows how these changes have occurred over time and trends in performance and direction. What Is Vertical Analysis And How It Works In Accounting Vertical ...

What Is Earnings Before Tax And How It Is Calculated: Explanation, Formulas, And Comparison

Image
  Earnings Before Tax (EBT) is an important financial indicator, which determines the profitability of the company without taking into consideration the income tax expenses. It is an indication of the profitability of business in terms of the amount that a business makes out of its operations and financing before the deduction of taxes. The significance of EBT is that it enables analysts and investors to make comparisons of companies without the influence of various taxes and regulations. Knowledge of EBT can be used to estimate the fundamental financial performance and efficiency. It is usually used in the income statement and is used to reconcile the operating profit with the net income. Earnings Before Tax Explained In Financial Statements Earnings Before Tax is shown in the income statement immediately preceding the line that shows the tax expense in the financial statements. It is the profit that includes the profit after subtracting the operating expenses, interest expenses ...

Types Of Due Diligence In Mergers And Acquisitions Explained

Image
  Due diligence in mergers and acquisitions (M&A) can be defined as the overall procedure of assessing a target company prior to making a deal. It assists the buyers to confirm information, risks and to ensure that the deal is both financially and strategically sound. Due diligence is an important aspect in the modern business environment such as in Jakarta where business companies are seeking to expand, enter into partnership and cross border investments. Due diligence can be categorized into a number of types, each of which concentrates on a particular aspect of the business. They both give a full picture of the company being acquired and aid investors to make well-informed decisions. Different Types Of Due Diligence For Business Transactions Various forms of due diligence of business transactions are made to assess different aspects of a business. The most widespread ones are financial due diligence, legal due diligence, operational due diligence, commercial due diligence a...