Posts Tagged ‘finance for non finacial managers’

Myth # 1: You need to be good at maths

People often say to me when speaking about Finance that they need to be good at maths.  Nothing could be further from the truth.  Provided you understand simple arithmetic, things like addition, subtraction, averages, percentages and multiplication you have the base knowledge interpret financial information. 

Myth # 2: Finance is complicated

Actually it is very simple.  The vast majority of managers get a budget statement that will tell them:

Whether they are on target?

Whether they are behind target?

Whether they are doing better than target?

The key thing is to compare the budget (expected position) with the actual position and take action accordingly.

Myth # 3: Finance is for specialists

The recording of financial information, the creation of the systems for planning and management of finances is led by specialists.

Financial management is the responsibility of every manager. 

So what other myths have you come across when it comes to Finance?