The Importance of Financial Management for the Success of the Organization in a Challenging Business Environment
The Importance of Financial Management for the Success of the Organization in a Challenging Business Environment

Author(s): Tanja Janaćković, Marko Janaćković
Subject(s): Social Sciences, Economy
Published by: Udruženje ekonomista i menadžera Balkana
Summary/Abstract: The current economic environment poses challenges for the function of fnancial management and the fnancial function in general, on several levels. Organizations are required to change existing priorities, with an emphasis on cash management and forecasting activities, as well as risk management. Challenges in the business environment require organizations to raise additional capital. They need efcient fnancial management that will create an adequate capital structure, in order to react positively to changes in the business environment and use the available fnancial resources optimally and better meet the requirements in terms of obligations. The COVID-19 pandemic poses a challenge to organizations around the world, forcing them to rethink their existing business models as they struggle to survive. The paper frst examines the impact of the COVID-19 pandemic on organizations and their business, and especially on fnances and the process of fnancial management, and then points out the importance and techniques of fnancial management that are necessary for the success of organizations. This paper aims to point out the importance of efcient fnancial management and the application of its essential concepts in order to achieve the success and development of business organizations, especially in a challenging environment.

• Details
• Contents