Course Outline:

Module 1: Foundations of Cash Flow Forecasting

• Importance of cash flow forecasting

• Types of forecasts: short-term vs. long-term

• Key components and drivers of cash flow

• Building a cash flow forecast model

• Case Study: Creating a 12-month cash flow projection for a mid-sized company

Module 2: Techniques and Tools for Forecasting

• Direct and indirect forecasting methods

• Sensitivity and scenario analysis

• Integrating budgets and cash flow forecasts

• Excel-based tools and automation

• Practical Exercise: Stress-testing forecast accuracy under different scenarios

Module 3: Understanding and Measuring Liquidity Risk

• Types of liquidity risks in business and finance

• Metrics and KPIs: Current ratio, quick ratio, cash conversion cycle

• Interpreting cash flow statements to evaluate liquidity

• STP Model Application: Segment liquidity drivers; Target critical cash gaps; Position reserves and financing needs

• Case Study: Liquidity risk assessment in a multinational firm

Module 4: Managing Liquidity Risk

• Liquidity risk frameworks and governance

• Liquidity buffers and contingency planning

• Short-term borrowing and investment strategies

• Integration with enterprise risk management (ERM)

• Group Exercise: Designing a liquidity risk management policy

Module 5: Strategic Planning and Stakeholder Communication

• Linking forecasting with strategic and operational planning

• Communicating cash flow insights to stakeholders and leadership

• Aligning treasury decisions with business growth plans

• Using forecasts to secure funding and investor confidence

• Capstone Project: Developing a comprehensive liquidity risk report for senior management