The Management Audit
The Management Audit can be as cursory or detailed as is desired by management. All major functions and activities of management are evaluated and recommendations made for implementing new systems or streamlining and integrating existing systems.

Business Plan Development
For a new enterprise or business thrust, an Integrated Planning Model is developed that allows the development and testing of a number of scenarios that will determine the outcome of the new effort. If there is a currently functioning budgeting system, it is further integrated to be useful as a flexible planning tool. It is then used to develop a number of scenarios that will determine the outcome of the existing effort if certain critical actions are taken. The scope of this work can be determined by management desire and resource availability.

Budget Development
The traditional budgeting system is transformed into Integrated Planning Model (see Integrated Planning Models on the main menu), the sophistication of which is tailored to the needs and desires of management and the availability of resources. This model can tie together financial, operational, economic and human resource factors that influence the success of the enterprise to allow the development of a comprehensive plan for the planning period under consideration and to yield meaningful measures of performance for functional units throughout the organization.

Strategic Plan Development
Strategic Planning as practiced by IQ is an extension of the Budgeting Process. A traditional process of elucidating possible strategic directions is facilitated. Priorities  and the level of resources required are developed. Risks and Opportunities are clarified, and the magnitude of potential benefits are estimated. Then the Integrated Planning Model is extended to allow the introduction of new products, new markets, new divisional structures, and entirely new merged corporate entities that have been identified as attractive strategic alternatives. Traditional profitability measures then help management to see the consequences (both financial and otherwise) of the new direction being contemplated. The complexity of this effort is clearly dependent on the complexity of the desires strategic thrusts that need to be evaluated in the context of the current operation.

Company Valuation
Three valuations are developed that include: 1. The value that would result from a straight sale of the assets, 2. The value that would result from the onging business in terms of a discounted cash flow analysis of future revenues and costs, and 3. the value that would be paid by a strategic buyer that would be comparing the cost of building the functionality of the company "from scratch" versus the purchase of the company. This third value depends on the existence of intellectual property the need of the buyer for that property and the ability of the buyer to utilize alternative pathways that circumvent the company-owned IP.

Decision Analysis
Decision Analysis can address a vast range of management issues with an infinite level of sophistication. The nature of these kinds of efforts are dependent on the needs and desires of the management as well as the resources available for the effort.

Financial Analysis
As a subset of Decision Analysis, financial analysis concentrates on the implications of the decision in terms of future impacts on cash flow and the resulting levels of traditional financial measures such as discounted cash flow, return on investment, return on sales, payback, and internal rate of return. Again the "front end" of the decision tool can be as complex as management requires to clarify the important factors that will influence the outcome of the activity being evaluated.

Benefit/Cost Analysis
Benefit/Cost Analysis is a specialized methodology that requires a detailed understanding of a condition or set of conditions that exist before a change is made in an aspect of a company or organization and the conditions that exist after the change is made. The consequences of the change may be stated in pure financial terms, in which case the analysis devolves into financial analysis, or may involve a host of other costs and benefits that are not easily reduces to financial terms. This kind of exercise is most often useful in government policy decision making but may also be used in the corporate setting if management is concerned about issues that do not immediately translate to the bottom line but may impact the bottom line in the future.

Integrated Budgeting System Development
Once an Integrated Planning Model has been developed, there always develops the need to make changes to the chart of account that support the new understanding of how the quantitative pieces of the corporate puzzle fit together. Thus a chart of account analysis is a natural consequence of developing a tightly integrated budgeting and planning system. Once the proper numbers are being captured, they must flow seamlessly into the budgeting tool each month for management evaluation. Once all information flows into the budgeting process one has an Integrated Budgeting System.

Management System Development
Once the Integrated Planning System is developed, organizational structure is addressed and the position of each employee in the organization is clarified in a comprehensive organizational chart. Employee position descriptions are developed for all key employees (managers) and of classes of like employees (e.g. sales personnel). Standards are developed for each position and then a process is implemented whereby employees in negotiation with there manager develop a set of specific measures of performance for the planning period. Many of these measures will flow from the Budgeting and Planning process. Finally a process is implemented by which managers and employees evaluate and correct performance throughout the planning period. Once all of the planning, leading, organizing and controlling issues have been tied together, one has created an Integrated Management System that has the potential to thrust the organization to new heights of productivity and profitability.

  Created By Leep Sites 2004 2004 IMS Quantum Corp.