Uncovering supplier financial distress takes knowledge and finesse with suppliers.
Course Outline:
- Signs of Supplier Distress
- Financial Statement Forensics
- Common Bankruptcy Scenarios
- Predictive Bankruptcy Metrics
- Public vs. Private Company Approach
- Analysis Templates
Exercise Example:
- Supplier Stress Testing:
In this exercise, the class compares financials of three companies to rank which have the greatest risk of insolvency.
Expectations Upon Completion:
- Skills to apply standard metrics for public and private suppliers
- Ability to engage suppliers to review financial distress
- Knowledge to use stress frameworks to organize supplier data
- Capability to identify signs of stress from supplier financials
- Capacity to implement risk mitigation based on supplier scenarios