Introduction
In the public sector, public sector accounting and government budgeting are vital to ensure financial transparency and efficiency in resource allocation. This advanced course is designed to provide an in-depth overview of the fundamental principles and key functions within the ever-evolving field of public sector finance. Non-financial employees and managers in public institutions are increasingly required to contribute to the budgeting process and interpret financial information presented in departmental reports.
This training will serve as a practical introduction for non-financial managers, as well as an invaluable refresher and update for finance professionals working in the public sector. The course also includes important updates on International Public Sector Accounting Standards Board (IPSASB) guidelines and recent developments in the field of New Public Management (NPM), with a focus on the approaches and reasons behind the rise of New Public Financial Management (NPFM).
Course Objectives
By the end of this course, participants will be able to:
- Understand the role of financial accounting in public sector management.
- Prepare financial statements in compliance with the IPSASB framework.
- Analyze and interpret public sector financial reports effectively.
- Use forecasting techniques to plan for income and expenses.
- Actively participate in the government budgeting process.
- Understand and apply capital investment appraisal methods within the public sector.
- Implement strategies for effective public finance management.
Course Outlines
Day 1: Fundamentals of Public Sector Finance
- Basic principles of macroeconomic and fiscal policy.
- Types of public sector financial decision-making.
- The purpose of public sector accounting and budgeting.
- The dimensions of New Public Management (NPM) and its impact on public finance.
- Financial accounting basics:
- Key concepts in financial accounting.
- Cash vs. accrual accounting in the public sector.
- Qualitative characteristics of financial statements.
Day 2: Financial Reporting in the Public Sector
- Comparing the IPSASB framework with the IASB framework.
- Distinctive characteristics of public sector financial accounts.
- The five elements of financial statements in public sector reports.
- Reporting standards relevant to public sector financial reporting.
- Assets and liabilities: Principles for recognition and measurement.
- Nature and classification of public sector income and expenses.
- Key principles of public sector financial management.
Day 3: Financial Analysis of Public Sector Accounts
- Understanding and analyzing cost behavior in the public sector.
- Cost-volume-profit relationships and their impact on financial analysis.
- Why analyzing financial statements is critical for public sector decision-making.
- Tools in the financial analyst’s toolkit.
- Interpreting financial ratio analysis of public sector financial reports.
- Strategies for managing and improving spending deficits.
Day 4: Public Sector Budgeting
- Setting goals and outcome requirements in government budgeting.
- Financial and non-financial performance measures.
- Objectives of public sector budgets and how they align with public service goals.
- Outcome-focused budgeting in the public sector.
- Layers of budgeting in the public sector.
- Forecasting income and costs using effective techniques.
- Human aspects and dysfunctional budgeting behaviors.
- Principles of capital budgeting in the public sector.
Day 5: Capital Investment Decision-Making
- Characteristics of capital investment decision-making in the public sector.
- Investment appraisal techniques for public projects.
- Principles of discounted cash flow analysis (DCF).
- Understanding Net Present Value (NPV) in investment decision-making.
- Outsourcing services: Objectives and decision criteria for public sector decisions.
- Public-Private Partnerships (PPP) and Private Finance Initiatives (PFI): Decision-making criteria and objectives.
- Reforms in public sector financial management.
- Understanding the need and purpose of financial reforms in the public sector.
Why Attend This Course: Wins & Losses!
Attending this course offers significant benefits to your career and organizational effectiveness:
- Gain a comprehensive understanding of public sector accounting: Learn what public sector accounting means and why it is crucial for managing public finances.
- Master government budgeting: You will learn how to prepare a government budget, focusing on both financial and non-financial performance measures.
- Develop key financial planning skills: Understand the techniques for financial planning in the public sector, including income forecasting, capital budgeting, and investment appraisal.
- Stay up-to-date with IPSASB standards: Get the latest updates on government accounting standards and how to apply them in real-world scenarios.
- Sharpen your financial analysis skills: Learn how to analyze public sector financial reports, interpret financial ratios, and assess fiscal health.
- Enhance decision-making in public finance: You will learn to apply key principles of public finance management, enabling you to improve budgeting processes and financial governance.
- Professional certification: Receive a certification recognized in public sector finance, enhancing your credentials for future opportunities in the public or private sector.
This course will provide you with the tools and strategies necessary to improve the financial management and accountability in any public sector institution, whether you are a financial or non-financial manager.
Conclusion
Public sector accounting and government budgeting are fundamental to the successful management of public finances. This course offers practical skills in both areas, including how to apply international government accounting standards, analyze financial data, and effectively manage budgeting processes. Whether you're a non-financial manager aiming to understand how to engage in the budgeting process or a finance professional seeking to update your skills in the latest public finance management trends, this course is designed for you.
Don't miss the opportunity to enhance your expertise in public sector finance. Enroll today and start mastering the financial tools and strategies that will enable you to drive effective fiscal management in your organization.
