Finance for Strategic Decision Making demystifies and clarifies for non-financial executives the basics of financial analysis. It shows how they can make important financial decisions that can critically enhance their institution's ability to respond to competitive challenges, undertake new projects, overcome financial setbacks, and most importantly, create shareholder value. Written by M. P. Narayanan and Vikram K. Nanda--two of the country's leading authorities on financial strategy--this book offers a practical guide for using financial analysis to enhance strategicdecision making. The book includes a coherent framework that outlines practical and intellectually sound guidance for executives who must make strategic decisions. Finance for Strategic Decision Making Explains the role of finance in corporate strategy Offers guidance on resource allocation decisions Explores how to determine the right balance of debt and equity capital to maximize firm value Demonstrates how to use payout policy as a strategic tool Clarifies if a merger, acquisition, or divestiture is in the best interest of an organization Shows how to manage risk
Reveals how to measure value created and the effectiveness of upper level management
As a non-financial manager that had only learned the financial aspects of management "by osmosis" (as the authors say), I've felt this book closed several gaps of financial knowledge, with excellent to-the-point explanations, always backed up with realistic cases. I feel much more confident to make some decisions now, and to defend my points against my CFO (and know when to agree with his). I strongly recommend that book to every manager without an academic background in finance.
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