Question

Organizations can differ on their view of what strategic financial management encompasses. What is an appropriate definition from your point of view (perhaps augmented by some Internet research)? Is your view consistent with usual current practice? Does the definition/scope depend upon company size, industry, and status as a new or mature industry? Please remember your views now at the beginning of the course in order to see what might have changed by the end of the course.

Answer 1

Strategic financial management is the study of finance with a long term view considering thestrategic goals of the enterprise. Financial management is nowadays increasingly referred to as "Strategic Financial Management" so as to give it an increased frame of reference.

In my view the best definition to strategic finance management is "the application of financial techniques to strategic decisions inorder to achieve the decision makers objectives".

In current practice i came to know that strategic financial management(sfm) is nothing but efficient and effective management of money (funds) in such a manner as to accomplish the objectives of the organization. It is the specialized function directly associated with the top management.

the definition/scope depend upon company size, industry, and status as a new or mature industry, as the market and the world we live in have a different opportunities and threats and various decisions we make will change the course of our oganisations.Strategic Financial management involves planning, organising, controlling and monitoring financial resources in order to achieve organisational objectives.

In my view at the beginning of the course i thought SFM is a planning and controlling of the money and the various ways to invest and get the revenue for companies and oganisations, BUT at the end of the course while i am in practicing i came to know we should see it as a knowledge which is useful in your daily life and it is a basic common sense to where to keep the money and to get more profits. If we see it in a genarlised manner the subject would be lovely.