What is referred to as Financial Management? Financial management refers to the strategic planning, organizing, directing, and controlling of financial undertakings in an organization or an institute. It also includes applying management principles to the financial assets of an organization, while also playing an important part in fiscal management. Financial managers are responsible for the financial health of an organization. The primary goal of initial management is to maximize the wealth of owners. All businesses aim to maximize their profits, minimize their expenses and maximize their market share. They produce financial reports, direct investment activities, and develop strategies and plans for the long-term financial goals of their organization. Financial Management takes financial decisions under three main categories namely, investment decisions, financing decisions, and dividend decisions. There are four recognized elements of financial management: (1) planning, (2) controlling, (3) organizing and directing, and (4) decision making. The four divisions are based on the purpose of each task.

Rohit Senan C

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