maju pakistan guest talk on business math

Osama AshfaqAlcatel-Lucent

IntroductionDid Engineering from NUST is 2003Worked for NESCOMWorked at LUMSDid MBA from LUMSWorked with UnileverStudent Consultancy with CiscoHeaded Alcatel-Lucent Enterprise Unit –

Pak / AfgCurrently Heading ALU Mobilink Account

What is Business Mathematics?Business mathematics is mathematics

used by commercial enterprises to record and manage business operations.

Mathematics typically used in commerce includes, elementary arithmetic such as fractions, decimals and percentages, elementary algebra, statistics and probability.

Some cases more advanced mathematics such as calculus, matrix algebra and linear programming are also used.

COMMAND CONTROL

How is it used?

It is about giving a direction and leading your enterprise to success.

It is about the future

It is about controlling your enterprise and keeping it in limits to make it a success.

It is about the Present.

BUSINESS DOMAINSFinanceAccountingMarketingSalesProcurementStrategyPlanningOperationsProductionLogistics and Supply Chain

Finance (Management of Money)

Debt and Financing Mgmt(Debt (Long / Short), Bonds, Term Papers, Shares, Equity)

Investment Mgmt (Financial Investments, Asset Investment, Strategic Investments)

Leasing / Insurance MgmtFinancial Business Planning

(NPV, IRR, WACC, Financial Ratios)

Accounting (Keeping Track)

External Reporting (Balance Sheets, Income Statements, Cash Flows)

Internal Reporting (Monthly, Qtrly Reports)

Book Keeping / Transaction Recording

Asset Valuation / Depreciation / Amortization

Management of Taxes and Governmental Liabilities

Marketing (Developing and Promoting Products)

Consumer / Business Behaviors, Segmentation and Profiling

Channel Design, Channel Mix and Channel Value Proposition

Price Elasticity, Demand & Sales Forecasting

Concept Testing & Test Marketing for Product and SKU launches

Brand & Advertisement Research

Sales (Art of Selling)Evaluating Sales ROIStatistical Analysis of

Territory / Verticals to evaluate focus areas.

Evaluating Channels of Delivery (Retail, Direct, VAD, Telesales, Online)

Sales Promotions / Evaluation of Sales Promotions

Sales Team Planning / Incentive Plans

Customer Churn Control

Procurement (Best, Cheapest, Fastest)Benchmarking, Cost Targets, TCOVendor Scorecards / Selection

ProcessesProcurement Process / Tendering

ProcessCost – Benefit Analysis, Cost –

Utility AnalysisEvaluation of Consolidated Buying

vs Decentralized Buying vs Outsourcing

Fraud Detection

Supply Chain / Logistics (Moving Stuff)Logistical Trade offs in the Supply

Chain (Optimized Paths) – Network Diagrams

Demand Planning and Forecasting (Through out the Chain)

Inventory Planning (Raw, WIP, Finished Goods)

Cash Flow Planning Strategic Decision: Make / Buy,

Where to make, Competitor Benchmarking, Size and Paths of the Supply Cycle

Planning and Decision Making (Art of Action)BudgetingForecasting (Covariance, Correlation,

Regression)Decision Analysis (Decision Trees, Stochastic

Ordering / Dominance)Linear Programming / Optimization / Multi

Criteria Evaluation / DesignRisk Analysis (Composite Risk Index)

Operations / Production Management (Engine of the BusinessLean Manufacturing /

Processes (Muda (Waste), Mura (Unevenness) & Muri (Overburden)

Total Quality Management / Kaizen

Six Sigma (99.99966% defect Free), Statistical Process Control

Project ManagementServices Management

Economics (Using Scarce Resources)

Demand / Production Optimization

Price elasticity estimations, and choosing the optimum pricing method.

Capital Investment decisions

OSAMA ASHFAQALCATEL-LUCENT