Quality Financial Management: The essence of total quality management

In the present world of mind-boggling, swift changes and cutthroat competition, no business organization can justify its existence without showing reasonable degree of Profits. Here, the concept of Quality Financial Management becomes inevitable. The state of financial management shows the quality of skills and the degree of success achieved in the performance of different operations and management of an enterprise.

The dexterity of the any business organization lies more in the financial management rather than in the management of other resources. The procurement of ill planned funds, unsound disbursement policy and the absence of scientific internal financial control are symbols of defective financial administration and may even lead the organization to liquidation. On the other hand, an efficacious management of finances strengthens the financial position of the enterprise, enables the firm to withstand seasonal reactions and business ups and downs, helps in enlisting the support of the shareholders and facilitates procuring funds from different sources at competitive and reasonable terms and conditions. Here lies the true importance of a quality financial management.

The present article attempts to highlight the importance of 'quality financial management' in the overall prosperity of a business concern. A critical financial management concept gives an inner perspective of an organization exposing both its strengths and weaknesses.