Management Notes

Reference Notes for Management

Goals of Financial Management – Profit Maximization and Value Maximization | Financial Management

Goals of Financial Management

Financial Management

➦ In any organization, financial management is a vital activity. In order to achieve organizational goals and objectives, it involves planning, organizing, controlling, and monitoring financial resources.

➦ It is a useful method for controlling the financial activities of an organization, including the procurement of funds, the utilization of funds, accounting, payments, risk assessments, and so on.

➦ In other words, Financial Management refers to the application of management principles to a business’s financial assets.

➦ In order for an organization to function efficiently, its finances need to be managed correctly to ensure quality fuel and regular service. An organization’s growth and development might be hampered if finances are not properly handled.

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