473). Consequently, SoftMagic U.S. CEO must concentrate on finding a balance between the operating plan, the financial execution plan, and the new business strategy. Thus, the creation of a “financial plan” (p. 476) involves several activities. First, the need for a “forecast of financial statements” (p. 476) based on the operation plans (i.e.: sales), including financial ratios and projected profits. Second, a “determination of the amount of capital” (p. 476) needed to realize the operations. Third, forecast the internal funds the organization will generate, and identify any alternative source of funds required for the plans’ fulfillment. Four, develop an understanding and monitoring of market conditions. Five, establish a “performance-based management compensation system” (p. 476) to recognize employees for generating wealth to shareholders. Finally, ensure proper monitoring to ensure the plan will be adapted according to the changes or fluctuations in the
473). Consequently, SoftMagic U.S. CEO must concentrate on finding a balance between the operating plan, the financial execution plan, and the new business strategy. Thus, the creation of a “financial plan” (p. 476) involves several activities. First, the need for a “forecast of financial statements” (p. 476) based on the operation plans (i.e.: sales), including financial ratios and projected profits. Second, a “determination of the amount of capital” (p. 476) needed to realize the operations. Third, forecast the internal funds the organization will generate, and identify any alternative source of funds required for the plans’ fulfillment. Four, develop an understanding and monitoring of market conditions. Five, establish a “performance-based management compensation system” (p. 476) to recognize employees for generating wealth to shareholders. Finally, ensure proper monitoring to ensure the plan will be adapted according to the changes or fluctuations in the