BSBFIN501

Established five years ago, King Edward VII College is a Registered Training Organisation (RTO) that provides training to students in business and management.

Our principal purpose is to provide high quality training services to satisfy students’ needs.

Our training is nationally recognised and accredited to meet vocational and educational standards. Courses are designed by highly qualified staff with extensive industry and training experience to achieve teaching and learning excellence, flexibility and personal satisfaction.

We draw on our established relationships with industry and other stakeholders to ensure our courses are appropriate to the demands of our clients and consistently meet their expectations.

Quality is maintained in compliance with the national VET Quality Framework and through our continuous improvement system.

A key objective is to develop the required knowledge and skills for clients to be job ready and competently undertake their chosen role in a wide range of business areas.

Mission

King Edward VII College provides high quality industry training that engenders participation and achievement.

Strategic Objectives

To be a leader in innovation in the vocational education and training sector

To establish and maintain high quality infrastructure supporting clients and staff

To be well led, high performing, profitable and accountable

To develop our people and resources

Values

The core values underpinning our activities are:

Sustain excellence in training and assessment.

Promote innovation across all of our business operations.

Be a collaborative and caring community.

Embrace difference and diversity.

Demonstrate integrity and equality of opportunity in all activities.

Operate with openness and accountability.

Overview

This new business plan reflects our approach to the coming years. We commenced operations five years ago with relatively low student numbers which then increased significantly.

We do not expect these numbers to increase significantly over the period 2021 – 2023 as we are currently nearing capacity in our Melbourne and Sydney campuses.

We also expect stable costs for our existing campuses with no major increases expected. However, there will be significant financial investment required for the new campuses.

Resourcing

Financial

Due to the success of the College to date, there are significant cash reserves to fund the new campuses, plus general initiatives, including quality training and assessment and continuous improvement and innovation.

Our financial objectives are to maintain these cash reserves, whilst still investing in the future.

Our sales targets are $5,000,000 per year.

Maintain a net profit ratio of at least 40%.

Staffing

Regarding staffing, existing staff will perform key functions across the new campuses such as human resources and marketing. They will also perform any new functions arising such as responsibility for quality and innovation.

Operational Objectives

The following identifies the operational objectives we plan to achieve in pursuit of our strategic objectives.

Market characteristics & conditions

King Edward VII College has two broad segments to its target market consisting of people wishing to gain entry to the industry, as well as people already working in business and management who want to formalise or develop their skills.

Workforce needs for this sector have been identified as the need to develop an adaptive, responsive and diverse workforce, keep up with technology and to build effective leadership and management skills.

This has informed King Edward VII’s choice of course delivery.

We also intend to capitalise on market needs for delivery of blended (classroom and online), as well as online courses.

There are many training providers in our sector and King Edward VII seeks to offer a point of difference through our competitive pricing structure, innovative teaching methods and state of the art facilities.

Situation Analysis

Marketing Strategies

Potential students make their decisions based on the reputation of the organisation, quality of courses, pricing, employment options and personal recommendations amongst other factors.

Our strong vocational emphasis and continual industry consultation will ensure our courses are appropriate to develop the skills and knowledge currently demanded by employers and students.

Our market decisions are based on extensive and continuous market research, targeting market segments and clients within industry. We collect our data from a variety of sources including current and potential clients, VET and business sectors, competitors, media and government along with many other sources.

We plan to develop our market share by:

Offering online and blended learning

Providing face to face information sessions

Improving our web site

Continually improving the quality of service given to clients’ pre-enrolment, during course delivery and through the provision of support services while remaining price competitive

Focusing on the provision of courses required by industry

Maintaining effective communication channels with all stakeholders to ascertain industry requirements and then develop products and manage services accordingly

Continually improving communication channels with all our stakeholders, ensuring a flow of timely and accurate information to facilitate effective planning and decision making

Consistently satisfying individual client needs and demands at the same time as developing the knowledge and skills required by industry

Targeting identified growth markets with planned, market appropriate campaigns employing a variety of promotional strategies and advertising mediums

Offering attractive fee structures to our clients

Continually improving the skills, knowledge and effectiveness of King Edward VII College through our commitment to training and development

Regularly reviewing the effectiveness of all our operations and making improvements when and where necessary.

King Edward VII College Budget Policy and Procedures

King Edward VII College will operate in a financially sustainable manner balancing revenue and expenditure.

Our financial planning process are as follows:

Financial objectives set for each year.

Budgets set for each year.

Procedures

Budgets are set for each applicable department. Budgets are based on expected sales and expenses. Budgets will be set by the finance team. Each manager must review their budget and may contact the finance team for any revisions. They must present a clear argument for any changes.

A contingency amount is usually included in each budget to account for unexpected costs.

Managers are expected to inform their team of the budget and to provide them with the required resources and systems so as to fulfill their roles. Generally this will include regular meetings to monitor the budget. Team members are expected to report all expenses to managers by providing receipts and so on.

Budgets should be monitored by each Manager every month using our accounting system, Xero, to make sure expenses are on track. Where changes are required, the finance team may be contacted to discuss this. This should also include where contingency amounts need to be varied.

Each manager must review their budget amount versus actual amount at the end of the reporting period. Variances of up to 5% over budget are acceptable. Differences between actual and budgeted amounts must be described, as well as justifications for such.

King Edward VII College Finance Authorisation Policy and Procedures

Purpose of the Policy

All finance transactions as noted in this policy are to be authorised by the noted authorised person prior to the transaction being undertaken.

This policy is to be read in conjunction with other specific finance policies where relevant.

Prior to any of the following finance transactions being undertaken, the authorising person noted must authorise the transaction.

Where additional policy is noted, this policy must also be adhered to when undertaking the finance transaction.

Purpose of the Policy

Issuing Petty Cash

Petty cash vouchers must be completed before any cash is taken from the petty cash float.

Only up to $100 can be disbursed at any one time.

All petty cash vouchers issued must be approved by a Senior Manager.

Once the petty cash is spent, a receipt or invoice should be attached to the voucher and returned to petty cash with any balance of monies unspent

All completed vouchers must have the following details included:

Issue date of voucher;

Name of person who issued the voucher;

Amount of monies disbursed;

Details of expense;

Invoice or receipt

Signature of approval person

Petty cash float is to be reconciled at least monthly. This is the responsibility of {insert relevant job title here}

All petty cash expenditure must be entered into the financial system once the petty cash has been reconciled.

The balance of monies and vouchers must equal the petty cash float amount before reimbursement can be made.

Reimbursement of petty cash will be authorised by a Senior Manager.

Purpose of the Policy

This policy provides guidelines for the issue and use of business credit cards.

An employee will only be issued a credit card once the Credit Card Authorisation Form has been completed.

The business credit card can only be used for travel, authorised entertainment and purchases of small value expenses or equipment up to the value of $500.

No cash advances are to be taken using the business credit card unless authorised by the Finance Manager.

Where a business credit card is lost or stolen, the owner of this card is to notify the Finance Manager, who is responsible for notifying the issuing agency and ensuring the card is cancelled.

The business credit card is not to be used for personal expenses.

All holders of business credit cards are required to reconcile the monthly credit card statement to the expense form, attach all receipts for payments made on the credit card and have the expense statement authorised by the Finance Manager.

Upon completion and authorisation of the monthly expense statement, these documents are to be forwarded to the Finance Manager for payment of the credit card statement.

All business credit cards are to be returned to the business when the person is requested to by the Finance Manager or where they are no longer an employee of the business.

Purpose

All new suppliers to the business must be reviewed and accepted in accordance with this policy to ensure that the supplier service is aligned with the business objectives.

A new supplier must provide our business with quality products, great service, competitive pricing and efficient delivery.

Supplier Selection Background Information

Business Name of Supplier:

Location of Supplier:

Products/Services provided by supplier: (Attach a list if necessary)

Name of business owner/ sales representative:

For how many years has the supplier been trading?

For each new supplier being considered the following checklist must be completed:

Is the supplier pricing competitive?

What are the payment terms for this supplier?

What is the return policy for this supplier?

Does the supplier provide warranties, guarantees etc.?

Are the suppliers’ representatives knowledgeable of the products/services and industry?

Is there an alternative to this supplier, has the alternative supplier been considered?

What are the delivery services of the supplier?

Has a credit check been undertaken for the supplier? (attach to this checklist)

The appointment of a new supplier will be authorised by the Finance Manager.

All relevant details of the supplier will be entered into the financial system by Administration Assistance once approval is obtained from the Finance Manager.

The Finance Manager will review information entered into the financial system and independently verify the bank account or other payment details of the supplier to ensure payments made are to the correct supplier

All purchases from suppliers must be supported by a purchase order.

Payment terms for all suppliers must be reviewed by {Insert relevant job title here} every {Insert timing of review here, recommended at least once a year}. Following this review each supplier must be approached to seek improved payment terms by Finance Manager.

All supplier payment terms must be a minimum of 30 days.

Any variation to the above must be authorised by Finance Manager.

All supplier payments are to be reviewed once a quarter to ensure that payment terms are adhered to. For payments made to any suppliers earlier or later than the agreed terms. The Finance Manager will prepare a report that details the reasons why payment terms have not been adhered to.

This report will be reviewed and authorised by the CEO.

Please review this report in order to be able to complete Section 3 of your Portfolio.

Notes on budget:

No contingency amount factored into the original budget.

Monthly monitoring missed on three occasions.

Staff report difficulty in understanding how to monitor budgets.

Board of directors

CEO

Operations Manager

Sales and Marketing Manager

Human Resources Manager

Sales and Marketing Assistant

Promotions Officer

Student Services Officer

Assessors and Trainers

Finance Manager

Receptionist

Academic Manager

Administration Manager

Office assistant