Impact of effective financial management on corporate performance

Abstract

All organisations are set up to achieve certain set targets and objectives. The ability of a fum to achieve their set objectives is referred to as corporate performance. A ftrm can only achieve its objectives if it applies effective ftnancial management practices which involve the planning, operating and monitoring of the ftnance function of the organisation. Given the rapidly changing and competitive nature of the business environments in which modern organisations operate, if firms are to survive, corporate managers must appreciate the need to develop and make full use of ftnancial management tools. Effective ftnancial management has a direct and positive impact on corporate performance. That is, a good ftnancial management system will lead to better and improved corporate performance, and simila