Build an intuitive understanding of financial principles to better communicate with key stakeholders, drive business performance, and grow your career.

  • Format

    On-Demand

  • Time

    35-40 hrs, 6-7 hrs/week

  • Price

    $1,949

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Video duration:1:39

Key Concepts

  • Understand the key financial levers that drive financial performance

  • Discover how and why finance is concerned with cash flow versus profits and why that matters for your business and budget

  • Identify ways to create and measure value in order to evaluate and pitch potential projects

  • Examine how capital markets work and how they affect your business

  • Develop a financial intuition that will give you the confidence to make effective decisions in your career and life

Who Will Benefit

Gain the skills and confidence needed to understand the financial landscape of your business and industry in order to advance your career, especially if you’re in a non-finance role.

In an ever fast-changing world, it is important to keep abreast with how people around the world tackle finance-related issues and the experiences they go through.

Saad Hashmi
Saad Hashmi; Associate Corporate Relationship Mangaer at HSBC Bank Middle East Limited
92%
of learners said they developed increased confidence after completing an HBS Online course
11x
return on investment, with 24% of learners reporting an average $20,466 salary increase
82%
Felt more confident leading initiatives at work

What You'll Earn

Certificate of Specialization

Certificate of Completion
Boost your resume with a Certificate of Completion from HBS Online
Earn by: completing this course

Certificate of Completion

Certificate of Specialization
Prove your mastery of finance and accounting
Earn by: completing any three courses within this subject area to earn a Certificate of Specialization

6 Modules, 35-40 Hours

Download full syllabus (pdf)

Module 1

Financial Analysis

5-7 Hours

Understand the building blocks of financial analysis and develop an intuition for the concepts behind finance principles.
Highlights
Table showing balance sheet percentages, assets, liabilities, net worth, and financial ratios across multiple columns labeled A to O.

Unidentified Industries

Video duration:0:39

Ratios

Concepts

  1. Examining the Balance Sheet

  2. Utilizing Ratios

  3. Finding Meaning

  4. Case: Unidentified Industries

  5. Comparisons

Featured Exercises

  • Categorize financial ratios

  • DuPont Analysis exercise

Module 2

Finance vs. Accounting

6-7 Hours

Identify the fundamental differences between accounting and finance, and examine the use of cash as a measurement of value creation.
Highlights
Video duration:0:33

What Is Cash

Visual of EBITDA equation showing Net Income plus Interest, Taxes, Depreciation, and Amortization equals EBITDA.

Our First Measure of Cash

Concepts

  1. What Is Cash? From Income to EBITDA...

  2. ...and then to Operating Cash Flows...

  3. Cash Conversion Cycle

  4. Time Value of Money

Featured Exercises

  • Balance sheet and financial ratios exercises

  • Calculate net present value

Module 3

Capital Markets

6-7 Hours

Build a strong understanding of the players in the financial services industry and contemplate the financial system, its flaws, and potential solutions.
Highlights
Video duration:0:52

Institutional Investors

Video duration:0:38

Signaling

Concepts

  1. Capital Market Participants

  2. Capital Market Problems

  3. Solutions

  4. Implications for Your Company

Featured Exercises

  • Evaluate perspectives on information asymmetry

Module 4

Creating Value

6-7 Hours

Explore the three pillars of value creation, why capital is costly, and how to use this information to benefit your organization.
Highlights
Video duration:0:34

Three Sources of Value

Video duration:0:38

Weighted Average Cost of Capital

Concepts

  1. How Is Value Created?

  2. Costs of Capital

  3. Cost of Equity

  4. Mistakes

Featured Exercises

  • Market-to-book ratios exercises

  • Match companies to their cost of debt and industries to their betas

Module 5

Valuation

6-7 Hours

Determine how the future affects value today, compare various valuation methods, and discuss potential risks involved in mergers and acquisitions.
Highlights
Line graph of S&P 500 P/E ratio from 1881 to 2016, showing major peaks around 1930 and 2000.

Common Multiples

Video duration:0:40

Spirit Aerosystems

Concepts

  1. Valuation

  2. Multiples

  3. Problematic Methods

  4. Discounted Cash Flows

  5. Intricacies

  6. Mistakes

Featured Exercises

  • Calculate free cash flows, WACC, and terminal values

  • Practice scenario analysis

Module 6

Capital Allocation

6-7 Hours

Discuss capital allocation, analyze the various options companies have for investing their cash, and determine which “type” of money will empower new business ideas to flourish.
Highlights
Chart showing S&P companies’ cash, debt ratio, and Net Debt to EBITDA trends from 2006 to 2016, with rising debt levels.

The High-Class Problem of Too Much Cash

Video duration:0:43

The Capital Allocation Decision Tree

Concepts

  1. The Capital Allocation Problem

  2. How to Grow: Organic vs. Inorganic Growth

  3. Distributing Cash to Shareholders

  4. Distribution Motivations

Featured Exercises

  • Capital allocation decision tree analysis

  • Weigh value of dividends vs. share buybacks

  • Capstone project

Led by World-Renowned HBS Faculty

HBS Online courses are taught by Harvard Business School faculty, bringing the renowned HBS classroom experience directly to you.

Immersive Learning

Stay active by engaging in a new activity every three to five minutes and applying your knowledge through quizzes and a capstone project.

Video duration:0:09

HBS Online courses allow you to immerse yourself in a
dynamic, interactive learning experience. You’ll engage in a new activity every
three to five minutes and apply your knowledge through polls, quizzes, and
problem-solving exercises designed to accelerate and reinforce your learning.

Real-World Connections

Get social by collaborating with a global community of peers before, during, and after your course. Learners who successfully complete an HBS Online program will be added to the HBS Online Community's Official Networking Group and gain exclusive access to events and other networking opportunities.

Video duration:0:08

See how the HBS Online course platform engages you in social learning. You exchange ideas, offer input, and seek out viewpoints from a community of learners gathered from around the globe. In the process, you learn from each other’s experiences and perspectives, and leave the program with a broader outlook on the world.

Real-World Cases

Immerse yourself in real-world, case-based examples brought to life by industry-leading experts from companies like Heineken, Biogen, and Sanford C. Bernstein.

Video duration:0:11

Our courses allow you to apply your learning through
real-world examples and experience Harvard Business School’s signature case
method. Business leaders will share challenges they’ve faced. As the story
unfolds, you’ll leverage course concepts, vital tools and frameworks, and the
diversity of your peers’ perspectives to analyze the problem and determine a
path forward.

Video duration:0:09

HBS Online courses allow you to immerse yourself in a
dynamic, interactive learning experience. You’ll engage in a new activity every
three to five minutes and apply your knowledge through polls, quizzes, and
problem-solving exercises designed to accelerate and reinforce your learning.

Real-World Outcomes

The ROI I've had from taking these classes is amazingly impressive. The beauty is that you learn something the night before and, the next day, you magically find a situation where you can apply it.

Richard Pitts

Chief Medical Officer, CalOptima Health

Individual in a dark suit smiling and holding a framed certificate in a modern glass-walled hallway.

Free E-Book

A Manager's Guide to Finance & Accounting

Learn about the difference between finance and accounting, the financial skills all managers need, and how taking an online course can help you achieve your educational goals and accelerate your career.

Book titled "A Manager’s Guide to Finance & Accounting" from Harvard Business School Online.

Solutions for Organizations

Empower Your Team with HBS Online

Bring HBS Online’s flexible, scalable, and high-impact learning experiences to your organization through shared learning and group discounts for teams of five or more.

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