When I first enrolled in the Executive Diploma in Financial Strategy at Saïd Business School, Oxford, I was excited about enhancing my financial skills. I had a clear objective: to research the optimum capital structure for a search fund focused on capital-intensive businesses. However, I didn't fully anticipate just how transformative the programme’s Final Integrative Assignment would be, especially in developing my critical thinking skills.
Having spent over 13 years in the capital-intensive oil and gas sector, seven years in manufacturing, and one year in renewable energy, I have become adept at managing large projects with significant financial, operational and engineering challenges. The final assignment provided me with an opportunity to explore cutting-edge financial strategies and the intersection of financial optimisation and business growth, particularly in high-capital industries.
Investigating search funds and capital-intensive businesses
Throughout interviews with over 50 investors, I noticed a tendency to shy away from capital-intensive businesses, often favouring lighter, service-based companies. This intrigued me, as I have always viewed capital-intensive ventures as offering unique growth opportunities when approached strategically.
The final assignment allowed me to delve deeper into this issue. Leveraging the Oxford curriculum, I developed a framework to examine investors' underlying financial concerns, such as the impact of CAPEX on EBITDA, the opportunities surrounding additional leverage and the perceived complexities of operations. Using advanced financial models, including Monte Carlo simulations with over 4,000 interactions, I was able to challenge some conventional assumptions in the investment community.
Key findings from my Final Integrative Assignment
My final assignment simulated a vast amount of data and rigorous financial methodologies to draw a practical assessment. One key insight was that capital-intensive businesses can, in fact, yield superior returns when approached with the right financial strategy. The capital structure plays a critical role in reducing financing costs and enhancing shareholder value.
For instance, by optimising the Weighted Average Cost of Capital (WACC) and carefully managing debt levels, capital-intensive ventures can achieve financial flexibility and competitive advantage. My research demonstrated that contrary to popular belief, these businesses can present excellent investment opportunities with a significant Return on Equity (ROE) improvement using the leverage from assets.
The Final Integrative Assignment as a launchpad for strategic growth
The skills I sharpened during my final assignment have profoundly impacted my thinking. Leveraging the power of financial strategy can help position businesses for long-term growth while effectively managing the inherent risks of capital-intensive operations.
Beyond the Oxford qualification
The value of the final assignment extended far beyond completing the Executive Diploma programme itself; it acted as a launchpad for new thinking and approaches in my career. It reinforced my belief in the importance of rigorous financial analysis and strategic capital deployment. Most importantly, it has enabled me to propose a new narrative around capital-intensive businesses in the Search Fund investment community, highlighting their potential to deliver high returns when managed effectively. The findings caught the attention of the specialised niche Search Fund website, Search Funds News, where I was invited to publish my thesis for the Search Fund community, and I have got some very interesting insights directly from investors.
More than an assignment
The Final Integrative Assignment was not just an academic exercise; it was a thoughtful experience that equipped me with the tools to challenge established norms and make strategic, evidence-based decisions. The insights and skills I gained have empowered me to approach business challenges with a fresh perspective—one rooted in the rigorous financial frameworks I developed during my time at Saïd Business School.
For those considering an Executive Diploma at Oxford, I can confidently say that the final assignment can be a powerful component of the programme if you tackle it strategically. It’s a chance to apply your learning to real-world issues and emerge with actionable insights that can reshape both your career and your industry.
