Content

Financial and Strategic Analysis Workshop for the Pulp & Paper and Related Industries

Benefits for Participants

This workshop will give you basic and sophisticated tools to analyze business operations, estimate financial outcomes and support decision making in the Pulp, Paper and related industries. This intensive course will immediately develop your skills in business and financial analysis, taking your performance to the next level. The Workshop will specifically cover:

• Understanding the critical role of reinvesting in pulp and paper mill assets to ensure long term survival and prosperity
• Learn the basics of capital budgeting, cost of capital (cost of debt and cost of equity) and financial indicators to allow you to use these tools to build financial analyses and sell your ideas, products and services
• Appreciate the importance of cost structure and how you can increase your competitive advantage by managing your costs
• Explain in financial terms the impact of your operation, research, new technique or new product
• Build an entire financial analysis from scratch with the assistance of recognized Business Operation Instructors with decades of experience in business operations in the pulp and paper industry
• Learn the basis for strategic planning and decision-making
  

To register by online credit card payment, please go to: http://store.FB-education.org/

Workshop Overview

This practical workshop in business operations and financial analysis will provide you with the step-by-step procedures and tools to build financial evaluations. These three day workshop will consist of presentations and practical sessions to apply in real time what you are learning.

Who Should Attend

The Financial and Strategic Analysis Workshop is appropriate for technical and non-technical individuals in the pulp & paper and related industries with a desire to evaluate processes, products, services and product development ideas in financial terms.  This workshop will help you to market your ideas, products and services with financial analysis.

The Workshop is Specially Beneficial for:

• Managers at pulp and paper mills and business units  responsible for strategic planning
• Engineering consultants who provide strategic studies to pulp and paper mill clients
• Sales and service personnel who want to sell their ideas to customers and upper level management
• Superintendents and engineers who want to understand how to measure profitability and costs in their operations
• Managers who want to understand the financial outcomes of process improvements and capital projects
• Research and development engineers and scientists looking to calculate the potential financial impact of their research
• Engineers who are new to the pulp, paper and related industries.

Workshop participants do not need a business background.

Learning Outcomes

• Update of the business and operational parameters of the pulp and paper industry (worldwide)
• Overview of global strategy
• Financial statements and cash flows
• Cash flow valuation
• Investment rules
• Financial indicators, net present value, internal rate of return, return on investment, return on equity, earnings before interest taxes depreciation and amortization.
• Cost of debt, cost of equity and cost of capital
• Depreciation
• Capital budgeting
• Cost analysis, profit planning and exposure to volume/price risks: categorizing costs to make better decisions, determining break-even levels of quantity, price and cost
• Build complete financial analysis from scratch
• Learn how to benchmark your business against world class operations

Instructors

Dr. Richard Phillips is Adjunct Professor and Executive in Residence in the Department of Wood and Paper Science (Paper Science and Engineering) at NCSU, having retired as senior Vice President-Technology and Manufacturing from International Paper. In this position, Dr. Phillips was responsible for providing manufacturing and engineering services, as well as oversight of corporate research and development for International Paper Companies. Dr. Phillips was responsible for the establishment of an integrated pulp and paper mill facility in Brazil and was board member of the joint venture between IP and Ilim in Russia. Currently, Dr. Phillips teaches Strategic Business Practices in the Pulp and Paper Industry at NCSU and provides leadership and critical thinking across the Department. Dr. Phillips earned his Bachelor’s, Master’s and Doctorate degrees in chemical engineering from North Carolina State University. Dr. Richard Phillips is a recognized expert in strategic and investment analysis in the pulp and paper industry.

Dr. Ronalds Gonzalez joined the faculty at NC State in the fall of 2011. Before returning to graduate school, he held several positions in the Controlling and Business Department at Smurfit Kappa Carton de Venezuela (an integrated forestry, pulp and paper and packaging solutions company). In his last position, he was co-responsible for daily business operations of an entire Division (purchasing, budget preparation and control, financial reporting, CAPEX analysis, cost control, internal control, strategic analysis). Other experience includes the valuation of assets in accordance to Internal Accounting Standards, establishment of processing facilities and supply chain analysis for several customers, product development and market research. Dr. Gonzalez has provided consultancy services to startup and established companies in the U.S., Mexico, Venezuela and Colombia. Dr. Gonzalez earned a Bachelor’s degree in Accounting and a Bachelor’s degree in Engineering from Universidad de Los Andes, Venezuela, as well as a Masters in Marketing of Forest Products and a Doctorate in Integrated Supply Chain and Conversion Economics from North Carolina State University. Dr. Ronalds Gonzalez is an expert in integrated analysis and financial analysis (supply chain, conversion process and economics and business models).

Dr. Stephen Markham from the College of Management at North Carolina State University is a recognized expert in product development and technology management. Dr. Markham teaches several courses on technology management at the Jenkins MBA Business School. Dr. Markham was founder and chair of the New Product Development Professional Certification Program and is part of the editorial board of the Journal of Product Innovation Management. He received his bachelors and masters in Social Psychology from Provo, University of Tennessee, MBA from University of California and PhD in Technology Management from West Lafayette, Indiana.

To register by online credit card payment, please go to: http://store.FB-education.org/

Workshop Materials

Participants will receive a set of course notes and a flash drive prepared by the instructors to supplement the presentations made during the course. Students will also receive a course polo shirt. Laptops will be available for use during the practical sections (you are welcome to bring your own).

Workshop Location

Course presentations and practical training will be held on the campus of NC State University in the Department of Forest Biomaterials (former Department of Wood and Paper Science), in Biltmore Hall, at the corner of Western Blvd and Dan Allen Drive in Raleigh, North Carolina. The course will start at 8:30 am on October 3rd, 2012 and will end on October 5th at 4:00 pm. The recommended dress code is casual.

Preliminary Workshop Schedule

October 3
Introduction
Pre-class student evaluation
Pulp and Paper Basics
Status of the Pulp and Paper Industry*
Time value of money
Present value applications (compare cash flow alternatives, PV vs. NPV)
In class exercise (time value of money and present value)
Capital budgeting (financial indicators and comparison, investment rules)
Financial statements (income statement, balance sheet and cash flow)
In class exercise (apply the concepts to evaluate investment alternatives)
New Product and Technology Management*(how to establish a bridge between R&D and commercialization)

October 4
World Fiber Supply* (major players in the fiber market, trends and threats)
Cost of capital (understand the components of capital cost)
Depreciation (depreciation schedules, effect of depreciation project profitability)
Cost structure (types of costs, cash and non-cash cost)
In class exercise (depreciation, cost structure, cost analysis)
Reinvesting in the Pulp and Paper Industry*
Cash flow evaluation (build a complete income statementto estimate and evaluate cash flows)
Comparing investment alternatives (based on information provided, built and compare investment analysis)
In class exercise (Cash flow estimation, investment analysis)
Capital expenditure management (how to prepare and manage capital investment)

October 5
Process Simulation* (benefits, connecting process simulation to your financial analysis)
Investment analysis (what to consider when analyzing new investments)
In class exercise (cost of capital, Investment scenario valuation)
Global strategy* (Strategies at the Corporate, Business and functional unit levels, alternatives for continuous growth)
In class exercise (Build your investment analysis)
Sensitivity and risk analysis
Post-class student evaluation
Course Evaluation

Basic knowledge of Microsoft excel is suggested

Registration

The registration fee is $1500. This registration fee includes tuition, materials, refreshment during presentation breaks, a certificate and one dinner.  Lodging is not included in the registration fee. The number of students in the course will be limited in size (to 32) for maximum effectiveness and registrations will be accepted in the order they are received. The registration fee should be received no later than two weeks prior to the course start date (no later than September 18th, 2012).  Contact Mari Asanuma (919-272-0621 or masanuma@nc.rr.com) for class availability after that date. The registration fee cannot be refunded.  Substitute participants can be sent, or the fee can be applied to a course on a later date.

Registration can be completed online and registration fee paid with credit card or by check. The online registration will only accept registrations up to the maximum number of students allowed.

To register by online credit card payment, please go to: http://store.FB-education.org/

To register and pay by check contact Mari Asanuma at 919-272-0621 or masanuma@nc.rr.com for space availability and a registration form.

Hotel

Participants are responsible for their own hotel arrangements. Suites have been set aside at the Embassy Suites Raleigh/Crabtree Valley, 4700 Creedmoor Road, Raleigh, NC 27612, Phone: 919.881-0000. Lodging is not included in the registration fee. The hotel guarantees room availability up to two weeks before the course. Ask for the special NCSU Strategic Business Workshop for Pulp and Paper suite rate of $114.
A breakfast and social hour are included with the suite. The suites have a bedroom, living room and kitchenette area. The hotel provides transportation from the airport, has an exercise room/indoor pool and is walking distance away from a major regional shopping mall.

Additional Information

For answers to questions related to course content, please contact Dr. Ronalds Gonzalez at 919.802-5219 or rwgonzal@ncsu.edu. For questions related to registration and payment, please contact Mari Asanuma at 919-272-0621 or masanuma@nc.rr.com.