Teaching guide
IDENTIFICATION DETAILS
Academic year: 2019-2020
Degree: Business Analytics
Field of Knowledge: Social and Legal Science
Faculty/School: Legal and Business Science
Course: Business Organization and Management I: the Role of Business Analyst
Type: Basic Training ECTS credits: 6
Year: 1 Code: 5311
Teaching period: First semester
Area: Business
Module: Basic training
Teaching type: Classroom-based
Language: English
Total number of student 150
study hours:
Teaching staff E-mail
Jose María Castiella López-Arostegui jm.castiella@ufv.es
Robert Heron Maxwell robert@finintelsolutions.com
SUBJECT DESCRIPTION
The subject of Organization and Business Administration I: the Role of Business Analyst is divided into three parts:
1) introduction to business organization, 2) introduction to finance, and 3) the role of business analyst. After
studying all the functional areas of organization, the subject focuses on the economic-financial areas of the
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company, as well as financial aspects that affect the management of personal finances. Finally, it is studied the
roles and responsabilities of a business analyst.
Regarding the financial part, it is divided into three parts too:
The first part focuses on the analysis and interpretation of the balance and the income statement of a company
and in view of these, know how to analyze the situation in which the company is and to make a diagnosis of it. To
do this, each of the items in the financial statements is analyzed, making them see what they represent and their
balanced relationship with the rest. Students are made to understand the most important and significant ratios and
to read them together in order to gain a complete idea of the company's situation.
In the second part focuses on students understand that a euro today is not equivalent to a euro within a few years
and they know how to establish the equivalence of different amounts of money at different times in time. This
allows them to address the problem of different financial operations as
loans, capitalizations, valuation of shares and financial evaluation of real investments. This part is also very useful
for the management of personal finances. They are prepared in this way to understand the essentials of the
financial subjects they will find throughout the degree.
In the third part, the student will understand the concepts of fixed and variable cost to be able to apply them in
making decisions in the company. You will see how the benefits of the company depend on its cost structure, ie
the ratio between fixed and variable costs, making them reflect on the situations in which it may have advantages
or disadvantages having a structure more or less biased towards costs fixed or variable.
GOAL
It is intended that upon completion of the course, students will have reached sufficient capacity, knowledge, and
skills to participate in the day to day of the financial management of the company, making valuable financial
decisions. This is a must in an increasingly complex environment where managers can´t lose sight of the
company´s financial requirements, and consequently, it is necessary to have a solid financial preparation to
combine it with management skills, to make the best strategic decisions.
Furthermore, students will be able to make decisions about their wealth.
PRIOR KNOWLEDGE
No prior knowledge is required. This course is designed for Bachelor students without previous knowledge of
finance.
COURSE SYLLABUS
UNIT 1. INTRODUCTION TO BUSINESS ORGANIZATION (4 sessions)
What is a company?
An introduction to functional areas of organizations.
The environment of companies.
UNIT 2. INTRODUCTION TO FINANCE (21 sessions)
First Part: Analysis of Financial Statements.
•Investing vs. Financing
•Balance Sheet: Definitions. Assets: current and non-current assets. Liabilities and Equity. Internal vs. External
Financing. Working Capital.
•Introduction to financial markets. Money, bonds, and stock markets. Primary and secondary markets.
•Income Statement: Definitions. Accounting Principles. Types of profits. Costs and expenses. EBITDA vs. EBIT,
amortization, and depreciation. Write-downs. Write-offs.
•Statement of cash-flows: Definitions. Sections: Operating, financing, and investing.
•The basics of a financial analysis report.
•Analysis of profitability: Ratios. DuPont analysis.
•Analysis of liquidity and solvency: Ratios. The Cash conversion cycle.
•Income statement ratios: Margins.
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Second Part: Valuation.
•Time value of money. Present and Future value of money. Present value of an investment opportunity: Discount
rate. The opportunity cost of capital. Risk and present value.
•Methods to accept/reject investments: Net Present Value. Payback method. Internal Rate of Return.
•Present value and rates of return. Rules for capital investment.
•The treatment of inflation.
•Valuation of companies. Discounted cash flow method: The free cash flows. Gross operating cash flow,
investment in capital expenditure, and investment in working capital. Perpetuity cash flow.
•Present value of free cash flows. The weighted average cost of capital. Cost of equity. Cost of debt.
•Enterprise value and equity value.
•Multiples for comparable companies. Venture method of valuation for start-ups.
Third Part: Costs and exploitation decisions.
Fixed and variable costs.
Contribution margin.
Breakeven point. The importance of leverage.
Decisions of exploitation with idle capacity.
Decisions of exploitation at full capacity.
UNIT 3. THE ROLE OF BUSINESS ANALYST (5 sessions)
Roles and responsibilities of a business analyst.
Skills of a business analyst.
EDUCATION ACTIVITIES
IN-PERSON ACTIVITIES
All classes will be participatory and will have a practical component. Students will have at their disposal, via PDF
file, the subject being studied. After the subject of study has been introduced, a discussion will be encouraged
between them.
Excel will be routine and the students will master the use of different tools adapted to the subject. It is advisable to
bring the computer to class.
Videos about financial aspects of interest and up to date about what is exposed in class will complement the
expositions.
Additionally, mini cases will be raised to be prepared by the students at home and discussed in groups later in
class.
Expository Classes
Resolution of Exercises
Teamwork
Personalized tutoring
Group tutoring
Intermediate tests of evaluation and Final Exam
NON-PRESENTIAL ACTIVITIES
Theoretical study
Practical study
Teamwork
Virtual work
DISTRIBUTION OF WORK TIME
CLASSROOM-BASED ACTIVITY INDEPENDENT STUDY/OUT-OF-CLASSROOM
ACTIVITY
60 hours 90 hours
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SKILLS
Basic Skills
Students must have demonstrated knowledge and understanding in an area of study that is founded on general
secondary education. Moreover, the area of study is typically at a level that includes certain aspects implying
knowledge at the forefront of its field of study, albeit supported by advanced textbooks
Students must be able to apply their knowledge to their work or vocation in a professional manner and possess
skills that can typically be demonstrated by coming up with and sustaining arguments and solving problems within
their field of study
Students must have the ability to gather and interpret relevant data (usually within their field of study) in order to
make judgments that include reflections on pertinent social, scientific or ethical issues
Students must be able to convey information, ideas, problems and solutions to both an expert and non-expert
audience
Students must have developed the learning skills needed to undertake further study with a high degree of
independence
General Skills
Capacity for organising, systematization and planning in identifying problems, levers and models in the context of
big data.
Capacity for leadership and teamwork in the information society.
Capacity for communicating in a native or foreign language in the information society.
Capacity for autonomous learning in the information society.
Specific skills
Know and understand the basic principles of business analytics and its essential concepts and tools, geared
towards identifying and assessing opportunities in all the functional areas of the business: general and strategic
management, human resources, finance, marketing, production and operations.
Know and understand the fundamentals of the administration and management of businesses: organisation,
planning, management oversight and the study of the functional areas of the business.
LEARNING RESULTS
Delimita correctamente las relaciones entre las distintas áreas funcionales de la empresa en un contexto
adecuado.
Desarrolla un pensamiento riguroso frente a los problemas que se presentan en las áreas económico-financieras
de las empresas.
Utiliza con soltura y propiedad el vocabulario de uso habitual entre los profesionales que trabajan en las áreas
económico financieras de las empresas.
Identifica y emite juicios razonados sobre los problemas éticos que pueden presentarse en el ejercicio de la
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profesión de directivo de las áreas económico-financieras de las empresas.
Utiliza con soltura las técnicas correctas en el ámbito de sus finanzas personales, tanto en la obtención y
amortización de préstamos de todo tipo como en lo que se refiere a inversión y ahorro, así como en el ámbito de
las finanzas empresariales.
LEARNING APPRAISAL SYSTEM
*CONTINUOUS EVALUATION SYSTEM:
-ACTIVE AND INTELLIGENT PARTICIPATION IN THE DISCUSSION OF CASES IN CLASS: 10%
-TEAMWORK (presented in the time and form set by the teacher) 20%
-MID-TERM EXAM 10%
-FINAL EXAM (to apply continuous assessment requires a minimum of 5 out of 10 in the final exam) 60%
*ALTERNATIVE CONTINUOUS EVALUATION SYSTEM:
This system only applies for those students who are: repeating the course; have an official dispensation signed by
the Dean of the corresponding faculty; on an international exchange program. It is the student's responsibility to
be informed regarding course requirements, deadlines, and exam dates, as well as to contact his teacher.
-RESOLUTION OF EXERCISES 20%
-WORK: 10%
-FINAL EXAM (to apply the average with the exercises, and requires a minimum of 5 out of 10 points in the final
exam) 70%
*STUDENTS OF SECOND AND SUCCESSIVE REGISTRATION:
In this case, students can choose between any of the two previous systems, after communicating with the teacher
in the first two weeks of class.
*EXTRAORDINARY EXAM
The same criteria will be applied as in the previous cases.
*INFORMATION ABOUT PLAGIARISM
Any plagiarism (*) by the student in an evaluation activity will be sanctioned and will imply a 0 in the qualification of
that part of the subject, canceling the call in progress. This behavior, besides, will be communicated to Direction
that in turn will deliver to the General Direction, following the protocol established by the Francisco de Vitoria
University.
(*) "Plagiarism" is considered any copy of questions or exercises of examination, memories of work, practices, etc.,
either totally or partially, of works alien to the student with the deception of making the teacher believe that they
are own.
BIBLIOGRAPHY AND OTHER RESOURCES
Basic
Brealey, R., Myers, S. and Allen, F. (2017): “Principles of Corporate Finance”. McGraw Hill
Copeland, T., Koller, T and Murrin, J. (2004): “Valuation: Measuring and managing the value of companies”.
Deusto
Robbins, S. and Coulter, M. (2015): "Management". Prentice Hall.
Peterson Drake, P. and Fabozzi F.J. (2011): “The Basics of Finance: An Introduction to Financial Markets,
Business Finance, and Portfolio Management”. John Wiley & Sons.
Kolitz, D. (2016): Financial Accounting. A Cconcepts-based introduction”. Routledge.
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