The Role of Financial Management in a Company

The Role of Financial Management in a Company

Executive Summary

The use of the term financial management of a major problem may be regarded as a function or activity, considered as a possible division or department that perform this function (finance), and there is a big difference between financial management as a function, including administrative unit is better mean financial function which concerning the financial aspects of the project and the second means the administrative unit which took over the project. As we have stated that the importance of financial management vary between institutions, small institutions, which is characterized by its large size, therefore, the ways in which different institutions in the organization of financial function vary significantly depending on the nature and size of the institutions where we find the founders small in size, the project owner is solely responsible for all of the function production, marketing, finance and many other functions sometimes In the medium-sized enterprises and large size are found independent management based on the assumed financial affairs and called on this project from the departments of financial management, and called on President Chief Financial Officer should be the chief financial officer to be close to the top of the organizational structure of the institution This is because the great importance of the process of planning and control, which is the chief financial officer is responsible, as it cannot delegate this responsibility to the responsibilities of the least because of the impact of financial decisions on the lives of the entire institution and this is important.

Table of Content

The status of financial management in the enterprise:3

Financial management functions:4

Common Problems that often arises:5

1 - Access to funds (Finance):5

2 - Investment funds:5

3 - Financial Supervision:6

4 - Financial Planning:7

Select Sources Of Funding:8

Criteria for the selection of funding:9

The basic criteria for selection:9

Financial flexibility and cost-effectiveness:10

Flexibility:10

The financial cost-effectiveness:11

Risk and cost of financial resources:12

Risk:12

Risk driver:13

Risk financing:13

Cost:13

Conclusion14

References16

The Role of Financial Management in a Company

The status of financial management in the enterprise:

The use of the term financial management of a major problem may be regarded as a function or activity, considered as a possible division or department that perform this function (finance), and there is a big difference between financial management as a function, including administrative unit is better mean financial function which concerning the financial aspects of the project and the second means the administrative unit which took over the project. But if we look at the financial function overview we found is the same in all institutions and this in terms of manifestations of the main meaning of this is that financial considerations are found in all projects, but the importance of job or financial management depends to a large extent on the size of the project Valparwat small exercise financial function through management accounting, financial management, while emerging as a separate unit has a direct relationship with the Chairman of the Board of Directors through the President of the financial sector and financial ...