Modification History
Not applicable.
Unit Descriptor
Unit descriptor |
This unit describes the performance outcomes, skills and knowledge required to review financial and organisational data, determine and implement strategic options and long-term plans and evaluate outcomes for the optimisation of financial outcomes for an organisation. This unit may apply to job roles subject to licensing, legislative, regulatory or certification requirements so Commonwealth, State or Territory requirements should be confirmed with the relevant body. |
Application of the Unit
Application of the unit |
The unit has application to all sectors of the financial services industry. |
Licensing/Regulatory Information
Not applicable.
Pre-Requisites
Prerequisite units |
||
FNSACC503A |
Manage budgets and forecasts |
|
Employability Skills Information
Employability skills |
This unit contains employability skills. |
Elements and Performance Criteria Pre-Content
Elements describe the essential outcomes of a unit of competency. |
Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the required skills and knowledge section and the range statement. Assessment of performance is to be consistent with the evidence guide. |
Elements and Performance Criteria
ELEMENT |
PERFORMANCE CRITERIA |
1. Review data |
1.1. Costs of, and returns from, assets and liabilities are analysed using standard accounting techniques to identify extent of debt and equity financing 1.2. Data is used to identify costs of different forms of capital to the organisation 1.3. Asset and liability estimates and valuation criteria are standardised and regularly adjusted in line with changes to environmental factors |
2. Determine options |
2.1. Long -term and short -term periods are established for the organisation by reference to strategic goals , cash flow requirements and operational objectives 2.2. Long-term financing requirements are identified and costed in line with the organisation's expected revenue returns, cash flows and asset base 2.3. Sources of financing are researched and evaluated to determine compatibility with the organisation's finance strategy 2.4. Investment analysis and financial planning requirements are identified and analysed |
3. Implement strategies |
3.1. Financial plans are structured to meet strategic goals and provide returns within long-term and short-term operational objectives 3.2. Short and long -term objectives for organisation's capital structure are developed in line with operational and strategic plans 3.3. Internal control procedures are established in consultation with stakeholders to support implementation and to meet possible emergencies with portfolio management techniques applied |
4. Evaluate outcomes |
4.1. Interrelationships between long and short-term objectives are monitored to ensure consistency of returns between operational and investment plans 4.2. Costs and returns are assessed to determine ongoing viability of strategy 4.3. Tax efficiency of financial strategy is regularly reviewed to maintain optimal returns from assets |
Required Skills and Knowledge
REQUIRED SKILLS AND KNOWLEDGE |
This section describes the skills and knowledge required for this unit. |
Required skills |
|
Required knowledge |
|
Evidence Guide
EVIDENCE GUIDE |
|
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package. |
|
Overview of assessment |
|
Critical aspects for assessment and evidence required to demonstrate competency in this unit |
Evidence of the ability to:
|
Context of and specific resources for assessment |
Assessment must ensure:
|
Method of assessment |
A range of assessment methods should be used to assess practical skills and knowledge. The following examples, in combination, are appropriate for this unit:
|
Guidance information for assessment |
Range Statement
RANGE STATEMENT |
|
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included. |
|
Standard accounting techniques may include: |
|
Data may include: |
|
Assets and liabilities may include: |
|
Valuation criteria may include: |
|
Environmental factors may include: |
|
Long -term and short -term periods may include: |
|
Strategic goals may include: |
|
Sources of financing may include: |
|
Short -term and long -term objectives may include: |
|
Internal control procedures may include: |
|
Unit Sector(s)
Unit sector |
Accounting |
Competency field
Competency field |
Co-requisite units
Co-requisite units |
||