IMPACT OF FINANCIAL MANAGEMENT ON PERFORMANCE IN PUBLIC SECT

 SOLD BY: Excellent Project| ATTRIBUTES: Title, Abstract, Chapter 1-5 and Appendices|FORMAT: Microsoft Word| PRICE: N3000| BUY NOW |DELIVERY TIME: Within 24hrs. For more details Chatt with us on WHATSAPP @ https://wa.me/2348055730284

IMPACT OF FINANCIAL MANAGEMENT ON PERFORMANCE IN PUBLIC SECTOR

(A Case Study of Federal Polytechnic Nasarawa)

ABSTRACT

This project work explores the impact of financial management on performance in public sector. The work is necessitated by the need to find solution to financial management problem in public sector. Federal Polytechnic Nasarawa was selected to represent public sectors in Nigeria. The research work is aim to analyze the effect of financial management practices on performance of federal polytechnic Nasarawa. Resource Based Theory (RBT), Complexity Theory (CT) and Theory of budgeting were the theories used in this research work. The study used primary and secondary data collected from Federal Polytechnic Nasarawa with the use of structured questionnaires to collect data on financial management on performance. Tables, pie chart and bar chart were used in analyzing the data collected in the course of the research. The result of this study has shown that financial management is indeed a crucial problem in Nigerian public sector. It is recommended that for Federal Polytechnic Nasarawa to be effective in its operations and service delivery they should recognize contribution of annual budget process. They should also improve their financial reporting and tracking by automating their record keeping.

CHAPTER ONE

1.0     INTRODUCTION

1.1     BACKGROUND OF THE STUDY

This project explores how public financial management can be improved and strengthened in public sector. It explores common issues, lesson learnt and effective practice through a number of case studies. There is an increasing focus on improving the quality of financial management in public sector. The public sector landscape is rapidly changing with an increasing emphasis on fiscal management and discipline, prioritization of expenditure and value for money. Public financial management is that aspect of administrative function that concerns planning and controlling of public financial resources. The main focus on financial management in public sector is how to efficiently and effectively utilize public resources to meet the needs of the public in an equitable manner. In a situation that proper public financial management is not observed, there is always poor implementation of development projects in the public sector.

The rapidly changing of today’s external environment continuously creates a need for business strategy, process improvements and organizational transformation to ensure survival in today’s highly competitive market. Today, businesses are under constant pressure to develop, implement and rapidly reverse their financial management strategies (Suah, 2009). Strategic financial management is defined in the CIMA official terminology as “the identification of the possible strategies capable of maximizing an organization’s net present value, the allocation of scarce capital resources among the competing opportunities and the implementation and monitoring of the chosen strategy so as to achieve stated objectives”. To do this, businesses need to develop and implement financial strategies to manage risk and improve financial performance and capabilities as depicted in the resource based theory.

The financial management process of not for profit organizations such as instructions of learning are generally dominated by conditions of resource scarcity such organizations have limited opportunities for generating additional income, but are faced with an ever increasing agenda of programme and activities on which such funds could be spent. Meanwhile the resource allocation activities and management of these organizations have received relatively little attention in economic literature. Maintenance of sound internal controls for public organization is a fundamental aspect towards attainment of internal financial sustainability of the available funds. Failure to follow internal control procedures can have negative impact on any organizations strategic financial management. Financial management is one of the most important practices that an organization can be skilled in – with the challenges of financial sustainability facing today’s public organizations, an understanding of the best financial management practices can help to ensure that their organizations are financially stable as postulated in the theory of budgeting (Dorothy, 2009).

1.2     STATEMENT OF PROBLEMS

Financial management in public organizations is concerned with ensuring funds are available when needed and that they are obtained and used in the most efficient and effective way to the benefit of the citizens (Waddell, 2000).

Financial management practices requirements can impose a significant burden on public organizations. Managing the movement of funds in relation to the budget is essential for the public sector performance. But experience reveals that the financial management processes of public institutions are generally weak and dominated by conditions of scarce resources (Oladipo, 2001).Posits that while the financial management system in the public academic institutions in Africa is improving, there are still cases of weak financial systems and procedures.

The main problem of financial management in public sector is the poor financial management system in the public sector.

There has been an issue of delay of supply of services due to mismanagement of funds that eventually causes poor performances in the public sector.

In a paper presented by ACCA (the association of chartered certified accountants) states problems associated with financial management as the lack of strong leadership and political support, staff strategies, training and retention, poor reward systems and the lack of public financial management infrastructure.

1.3     RESEARCH OBJECTIVES

          The objectives of the study are as follows:

1. To determine the impact of financial management practices in the public sector.
2. To ascertain the ways public financial resources are being utilized.
3. To analyze the effect of financial management practices on performance of federal polytechnic Nasarawa.

1.4     RESEARCH QUESTIONS

This study will make use of these various research questions below:

1. Does effective financial management provide solution to specific problems of administration?
2. Does financial management enhance qualitative and quantitative decision-making in the administration of Federal Polytechnic Nasarawa?
3. Does financial management affect the performance of the polytechnic?

1.5     STATEMENT OF HYPOTHESIS

There is a relationship between the two variables. The independent variable in this study is financial management and the dependent variable is the performance.

H₁:    There is a significant relationship between financial management and performance and solving administration problem.

H₂:    There is a significant relationship between financial management and performance in the public sector.

H₃:    There is a significant relationship between financial management and performance and quality of decision making in the public sector.

1.6     SIGNIFICANCE OF THE STUDY

This study is significant to the extent that findings would assist public sector organizations in improving the way its funds is being utilized. Implementation and application of good financial management system in the public sector.

1.7     SCOPE OF THE STUDY

This study is restricted to the impact of financial management on performance in federal polytechnic Nasarawa.

1.8     DEFINITION OF TERMS

FINANCIAL MANAGEMENT: Is the effective and efficient way in which the funds of an organization can be utilized to achieve the goals of the organization.

PUBLICSECTOR:This is the part of the economy concerned with providing various government services. Public sector includes such services as the military, police, public transit, public education, along with health care and those working for the government itself, such as elected officials.

PERFORMANCE: The act or process of performing or carrying out a duty.

FUNDS: This is a permanent stock of something ready to be drawn upon e.g. money resources.

POLYTECHNIC:This is an institution concerned with the provision of technical knowledge and vocational skills necessary for the world of word to increase opportunity for productive worth and sustainable livelihood.

 SOLD BY: Excellent Project| ATTRIBUTES: Title, Abstract, Chapter 1-5 and Appendices|FORMAT: Microsoft Word| PRICE: N3000| BUY NOW |DELIVERY TIME: Within 24hrs. For more details Chatt with us on WHATSAPP @ https://wa.me/2348055730284