Manage organisational finances
Question 1.1 / 1.2 / 1.3 / 1.4
Planning for financial management
Write a paper of 2,000 words explaining why all business organisations must
have effective financial management systems and explaining how the
information held in financial management systems contributes to ongoing
business performance and business planning.
Key points that must be covered:
Why is it important to have an effective electronic financial
Financial management is concerned with developing, controlling, tracking,
and planning economic resources in order to achieve organizational
objectives. You can only have great economic control if you have a legal
business strategy. A plan based on this context method that has defined
goals and has settled, progressed, and assessed the guidelines, strategies,
tactics, and motions to achieve those goals. Financial management
frameworks are vital for any firm, large or small, since they represent
more than just keeping accurate records and balancing your business
inspection account. You must modify your budget so that you do not
overspend and that you remain prepared for all costs as well as earnings
distributions. Your monetary control responsibilities touch all aspects of
your firm. A company that sells well but has poor financial control may fail.
The economic management of an organization plays an important role in
the economic success of a developing corporation. As a result, an agency
should keep in mind that monetary management is an important aspect of
total agency control. Financial control comprises of the planned and
strategic desires related with the business's monetary resources.
Accountancy and clerking, debts payable and receivable, funding
prospects, and risk are some of the primary specific functions addressed
in economic control systems.
List and describe 5 examples of the type of financial data that will be
collected and inputted into the electronic financial management
When establishing any economic control machine, a business must select
whether the machine will be controlled internally or outside. Any
accounting device must measure, categorize, record, and communicate all
monetary data about the organization.
The foundation of an effective accounting tool is proper bookkeeping. A
bookkeeper receives complete and accurate financial information from a
certified public accountant. While the accounting machine examines the
overall financial picture of the organization, bookkeeping provides specific
transactions that occur on a daily basis. The terms clerking and