Return on Investment (ROI) Analysis for Manufacturing

Revenues, depreciation, cost of capital, inventory ... How to know if a major investment is right for your organization

Created by: Ray Harkins, The Manufacturing Academy
Senior Manufacturing Professional, Online Educator

What Will I Learn?

• Capital investment justification (equipment, new processes, building, etc.)
• Accounting principles such as balance sheets, COGS, accounts payable, accounts receivable, and gross margin.
• Net Present Value (NPV), Cost of Capital and the Time value of money
• Free Excel templates to build your own capital justification model
• Net Working Capital and the typical business cycle.
• Financial modeling and analysis

Requirements

• Fundamental knowledge of manufacturing
• Basic Excel skills
• Basic math skills

Target audience

• Anyone that wants to improve their business finance knowledge skills
• Industrial and Manufacturing engineers and managers
• Project managers
• Anyone interested in financial modelling