Why MBA in Finance Specialization is such a popular choice among

students???

Maximum number of MBA aspirants specialize in finance these days and this trend is because of the numerous possibilities that an MBA-Finance offers you as far as your career is concerned. An MBA-Finance will include apart from the usual compulsory courses there are courses in Investment Management, Taxation and Tax Planning, Corporate Valuation, International Finance, Management Control System, Insurance Management, Financial Statement Reporting and Analysis and Management of Financial Services.

Course Structure of MBA Finance

Financial Management Strategic Financial Management International Financial Management Investment Management Financial Services Financial Markets and Institutions Financial Derivatives Project Appraisals Corporate Tax Management Banking and Insurance Management Risk Management

Subjects Tought in MBA Finance

Banks / Financial Institutions Mutual Fund Institutions Stock Exchanges Insurance Companies Manufacuring Companies Trading Concerns Knowledge Process Outsourcing Companies Auditing Firms Merchant Banks Research and Developments Organisations

Recruiters

Career Options

Financial Managers or Financial Analysts

A financial analyst researches macroeconomic and microeconomic conditions along with company fundamentals to make business, sector and industry recommendations. They also often recommend a course of action, such as to buy or sell a company's stock based upon its overall current and predicted strength. An analyst must be aware of current developments in the field in which he or she specializes as well as in preparing financial models to predict future economic conditions for any number of variables.

Accounting Managers

To supervise lower-level accountants who handle a company's basic accounting tasks, such as recording income and expenses, tracking tax liabilities and using these data to prepare income statements, cash flow statements and balance sheets, but in a smaller firm, you might perform these tasks yourself. A management accountant will analyze these basic data and make forecasts, budgets, performance measurements and plans, then present them to senior management to assist in its operational decision making.

Corporate Controllers and Tax Managers

A company's controller is the chief accounting officer and heads the accounting department. The controller is responsible for the company's financial statements, general ledger, cost accounting, payroll, accounts payable, accounts receivable, budgeting, tax compliance, and various special analyses.

At larger companies the controller will supervise accountants and other professionals who assist the controller. The titles of the subordinates could include accounting manager, cost accounting manager, tax manager, accounts payable manager, credit manager, payroll manager, and so on. These managers might be supervising accountants who are supervising accounting clerks.

At smaller companies it is possible that the controller will be the only accountant and will be assisted by an accounting clerk and an accounts payable clerk.

Often the controller reports to the chief financial officer (CFO). However, at small companies the controller might report directly to the president or owner.

Chief Financial Officers

The chief financial officer (CFO) or chief financial and operating officer (CFOO) is a corporate officer primarily responsible for managing the financial risks of the corporation. This officer is also responsible for financial planning and record-keeping, as well as financial reporting to higher management.

In some sectors the CFO is also responsible for analysis of data. The CFO supervises the finance unit and is the chief financial spokesperson for the organization. The CFO reports directly to the President/Chief Executive Officer (CEO) and directly assists the Chief Operating Officer (COO) on all strategic and tactical matters as they relate to budget management, cost benefit analysis, forecasting needs and the securing of new funding

Treasurers and Finance Officers

The Treasurer has a watchdog role over all aspects of financial management, working closely with other members of the Management Committee to safeguard the organisation's finances.

In summary, the Treasurer is responsible for:General financial oversightFunding, fundraising and sales Financial planning and budgetingFinancial reportingBanking, book keeping and record keeping Control of fixed assets and stock 

Given these responsibilities, the Treasurer typically acts as an information and reference point for the Chair and other committee members: clarifying financial implications of proposals; confirming legal requirements; outlining the current financial status; and retrieving relevant documentation.

Cash ManagersCash managers oversee an organization’s daily, weekly, and monthly cash flow. The basic goal of a cash manager is to reduce the amount of cash in collectable status while ethically maximizing the amount of time between receiving payable goods or services and disbursing payment, also known as disbursement float.

Cash managers must practice precise data collection and invoicing in order to ensure that payment and disbursement records are correct and in compliance. Although clerks reporting to a cash manager may handle much of the invoicing and purchase order paperwork, cash managers are typically responsible for the actual disbursement of funds.

To perform these job functions, cash managers commonly implement and adjust cash flow processing procedures, analyze and address trends and variances, and coordinate cash management strategy with other managers and executives.

Risk and Insurance ManagersRisk managers or analysts specialize in identifying potential causes of accidents or loss, recommending and implementing preventive measures, and devising plans to minimize costs and damage should a loss occur, including the purchase of insurance. In other words, they coordinate loss control systems for organizations and businesses which may include disaster recovery plans and emergency evacuations.

Risk managers also:direct the purchase of insurance programsmanage claims and loss control activitiesmanage relationships with third party service providers including

brokers and insurersprepare loss analyses and budgets, identify exposures, recommend solutions, implement approved

programs, promote loss prevention, update and monitor compliance with insurance procedures and manage safety/risk management manuals.

Risk managers may work directly for large companies or independently as consultants, providing risk management services.

Management ConsultantsManagement consultants help organisations to solve issues, create value, maximise growth and improve business performance. They use their business skills to provide objective advice and expertise and help an organisation to develop any specialist skills that it may be lacking.

Management consultants are primarily concerned with the strategy, structure, management and operations of an organisation. They will identify options for the organisation and suggest recommendations for change, as well as advising on additional resources to implement solutions.

Consultants operate across a wide variety of services such as:business strategy;marketing;financial and management controls;human resources; information technology;e-business;supply-chain management.

Investment Bankers

Investment Banker is an individual who works in a financial institution that is in the business primarily of raising capital for companies, governments and other entities, or who works in a large bank's division that is involved with these activities. Investment bankers may also provide other services to their clients such as mergers and acquisition advice, or advice on specific transactions, such as a spin-off or reorganization. In smaller organizations that do not have a specific investment banking arm, corporate finance staff may fulfill the duties of investment bankers.

Investment Banking Associates

Associates are typically either folks directly out of top MBA programs or Analysts that have been promoted. First and foremost, the Associate’s role is to check the work of the Analyst.  In reality however, “checking the work” sometimes takes the following form:

Analyst:  “I’m finished with the valuation”Associate: “Is it right?”Analyst:  “I think so”Associate:  “Well, check it again and come back when you are SURE it is right”

In addition to overseeing the Analyst’s work, the Associate will often help write the text for the presentations as well as do much of the modeling work.  On live transactions, the Associate, while also playing an administrative role with the Analyst, will likely have significant ongoing interaction with the client and with the opposing investment bank.

Credit Managers and Specialists

Credit manager manages the team that controls credit offered to the commercial and personal customers of the organisation. Credit manager would check credit histories, assess risk and make decisions on lending.

Remuneration

As a general MBA graduate, Finance Manager gets Rs.20,000 to Rs.30,000 starting salary per month particularly in private sector. In public sector the pay scale is lower than that of private sector. The pay scale may go up depending upon qualifications, ability and experience of the person concerned. At a senior level a MBA graduate with Finance as specialization can well go up to Rs.50,000 to Rs.60,000 per month.

All The Best For Your Future Endeavours.....

Thank You All.....

Mr. Kothakota Venkata Ramana, Assistant Professor (Finance),

MBA Department, GIACR College.