Discuss the role of Financial Manager in the changing scenario of financial management in India.
Profit choice:- the profit choice has likewise to be taken by the financemanager in the general worldwide situation, portfolio openings in and outsidethe nation and interior monetary needs of the business unit. This has come about into affliction of numerous modern firmswho couldn’t stay aware of the worldwide rivalry in giving merchandise and servicesof the best quality at the most reduced conceivable cost to the shoppers. However,globilisation has come about into the accompanying positive advantages to the Indian industry:1.
There has been support in exchange and commerce.2.
There has been sizeable increment in number of outside collaborationsresulting in exchange of most recent innovations to the country.
Ideal usage of money related, material and HR which hasled to change in general efficiency.
Bigger capital inflows bringing about more noteworthy industrialisation besidesstrengthening the outside trade holds position.
Improvement of infrastructural offices and new budgetary instruments.
Connection BETWEEN FINANCIAL MANAGEMENT ANDOTHER AREAS OF MANAGEMENT
Budgetary administration is a connected field of organization. Each business activityrequires cash and subsequently budgetary administration is firmly related with all otherareas of administration. The connection between budgetary administration and otherareas of administration has been clarified below:FINANCIAL MANAGEMENT AND COST ACCOUNTINGMost of the vast organizations have a different cost bookkeeping division tomonitor consumptions in their operational territories. The cost data is regularlysupplied to the administration for control purposes. The back supervisor isconcerned with appropriate use of assets and hence he is properly concernedwith operational expenses of the firm. The data provided by the cost bookkeeping
is of most extreme significance to him and he makes appropriate proposals to keepcosts under control.FINANCIAL MANAGEMENT AND MARKETINGMarketing is a standout amongst the most vital ranges on which the achievement or disappointment of thefirm depends to exceptionally extraordinary degree. The logic and way to deal with the valuing
arrangement are basic components in the organization’s promoting exertion, picture and deals
level. Assurance of the
suitable cost for the company’s
items is of significance both to the showcasing and back chiefs and, hence, ought to be a joint choice of both. The promoting chief gives data as to howdifferent costs will influence the interest for the
organization’s items in the marketand the company’s focused position while the money related director can supply
data about costs, change in costs at various level of creation and theprofit edges required to bear on the business. Subsequently, the money related managercontributes generously towards detailing of the estimating arrangements of the firm.FINANCIL MANAGEMENT AND ASSETS MANAGEMENTAssets are assets important for directing the matter of the firm. Theyinclude both settled and current resources. The securing of benefits, their propermaintenance, and so on., include funds. Subsequently the money related chief is concerned withboth securing
also, use of the company’s benefits. He together with other officialsof the firm, takes choices in regards to present and future use of the firm’sassets. The opposition or blend of advantages for accomplishing the company’s objectives in the best
conceivable way is additionally a matter of joint choice of the money related supervisor with theother concerned authorities of the firm.FINANCIAL MANAGEMENT AND PERSONAL MANAGEMENTThe enrollment, preparing and situation of staff is the obligation of thepersonnel office. This requires funds and thusly the decisionsregarding these angles can’t be taken by the individual office in seclusion of the back department.The mentality of the firm towards other administration territories is to a great extent represented by itsfinancial position. A firm confronting a basic money related position will devise itsrecruitment, generation and showcasing techniques keeping the general budgetary
position in see. While a firm having an agreeable money related may give flexibilityto the other administration capacities, for example, work force, creation and marketing.Thus, in the previous case, the enrollment, generation and advertising arrangements areadjusted as per the monetary policies.FINANCIAL MANAGEMENT AND FINANCIAL ACCOUNTINGThe data gave by budgetary bookkeeping is utilized by the money related managerto take choices top help the association in accomplishing its destinations. Thus,financial bookkeeping is information gathering process managing exact recording andreporting while budgetary administration is an administrative basic leadership process.Stated quickly, money related bookkeeping is worried about the administration isconcerned with the administration of funds.The principle goal of monetary bookkeeping is to keep an efficient record of thetransactions of the company.Financial administration, then again, is essentially worried about the undertaking of guaranteeing that the assets are secured at ideal cost and include minimumfinancial hazard