PROJECT DEVELOPMENT

Project Development



Project Development

Information Needs of Financial Decision Makers

The role of a financial manager cannot be solely the command of the finances; it also needs to include the ability to help the organization achieve its goals. In most governmental organizations? the acceptable leadership approaches have moved away from power-oriented autocratic styles to ones characterized by participatory environments. This shift has occurred within the context of the changing nature of the workforce in recent decades. The increased educational and economic levels of today's workforce have made participatory styles of leadership the preferred models for organizational success? although the definition of the best leadership style ultimately depends upon the situation. Governmental managers must be able to assess the work environment and adapt their style accordingly.

Effective financial managers have developed resource allocation skills for their organizations. One of the most important roles of management is the allocation of resources to achieve the end result. The financial manager is an important participant in the overall goal-setting process for the organization and has a role in working with the chief executive and policy makers to set achievable goals using available resources. The financial manager then becomes part of the process of allocating the resources to achieve these goals. That occurs through the budgetary process and the ongoing financial management of the operation. Financial management reaches out over the entire organization. The financial manager provides a perspective that encompasses the reality check of the attainment of goals that benefits the chief executive and policy makers. It is important for the financial manager to be able to master financial and budgetary management but it is even more important for the manager to be able to communicate this knowledge base to non-financial policy makers. If the lay person must have someone translate the message from the financial manager? the effectiveness of the message is diminished.

Financial planning is not the same as financial advice. It is not a recommendation to purchase a particular product but an evolving action plan, regularly reviewed to ensure that your goals are met. The process involves gathering relevant financial information, setting life goals, examining your current financial status and coming up with a strategy or plan on how you can meet your goals given your current and projected situation.

In practice this strategy will utilise available tax allowances, target liquid assets into appropriate vehicles, ensure your investments are structured correctly and managed professionally. Having created a plan you will be able to understand how each decision you make affects other areas of your finances and you can consider the short and long term effects on your goals. You can also adapt more easily to life changes and feel more secure that your goals are on track. However, the true objective of financial planning is to ensure that this strategy is not neglected and its value is not diminished. Only through regular reviews can you ensure that you remain on track to meet your goals and maximise new ideas and ...