Financial Management : An Organization

1353 Words6 Pages

Financial management is very vital because it is related to finance of the projects of company. Financial management guides finance manager to formulate optimum position of funds. With study of financial project management, business can be protected from mismanagement of capital. Financial management works under two theories. One theory controls bad sources of fund. This theory explains that the policy makers should think about cost, risk and control; and these things could be make minimum when money is streamed from other sources. Only financial management constructs excellent financial structure to minimize cost, risk and control of borrowed money for any project. Second theory clarifies that time, risk and return should be thought as some vital factors before investing money.

Financial project management of an organization plays a significant part in the monetary achievements of a business. Therefore, an organization should take financial project management as a key element of the general management of the organization. Project management and finance include the strategic and tactical goals related to the financial resources of the business. Financial planning and project management are not only for assessing the financial statements but also to be responsive about expenses and then manage them in such a way that they must not be a waste.

The report deals with a case of HP regarding their project management. HP Enterprise Services offer clients a variety of
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