Effect of financial planning control performance

Financial planning is the core of financial management. The purpose of financial planning is to determine where the firm has been, where it is now, and where it is going. This study showed that there is strong relationship between financial planning and financial performance of a firm.

This implies that a percentage change in the financial planning measures will have an effect on the financial performance of a firm. Therefore, it can be concluded that financial planning has an effect on the financial performance of automobile companies in Kenya.

The results of the study indicated that the financial planning measures such as earnings before interest and tax and the capital employed which comprises of fixed assets and working capital had an impact on the financial performance of the firm measured by return on capital employed ROCE.

Financial planning involves analyzing financial flows of a firm as a whole, forecasting the consequences of various investment, financing and dividend decisions and weighting the effects of various alternatives. The design of the study is descriptive research method.

It helps management to avoid waste by furnishing policies and procedures which make possible a closer coordination between the various functions of the business. Finance is concerned with the study of the problems involved in acquisition and use of funds by a business enterprise.

The study gathered primary data. The descriptive design is found to be suitable because it addresses major objectives and research questions proposed in the study adequately. In addition both qualitative and quantitative methods were applied in data collection and analysis.

Primary data was obtained through questionnaires to randomly selected employees from the selected companies.

It also determines deviations from the most likely outcome. The aim of this study was to find out whether financial planning has an impact on the financial performance of the firms in the automobile industry in Kenya.

The use of questionnaires was recommended since it guaranteed confidentiality to the respondents thus they acted without any fear or embarrassment. The success of any business depends on the manner the financial plans are formulated.the effect of budgets on financial performance of manufacturing companies in nairobi county by evans obara onduso a research project submitted in partial fulfillment.

If planning and control is the process of reconciling demand with supply, then the nature of the decisions taken to plan and control an operation will depend on both the nature of demand. Even though planning is also the key to any business because without any proper planning the business cannot survive or give the best results as expected, the effect between financial relationship between planning and control on performance of SMES in Australia.

the effect of financial planning on the financial performance of automobile firms in kenya by joseph mwaura d61// research project submitted in fulfillment for the requirement.

Impact of Inventory Management on the Financial Performance of the firm DOI: /X mi-centre.com 2 | Page. This article aims to explain how finance, financial goals, and financial performance can play a more integral role in the strategic planning and decision-making process, particularly in the implementation and monitoring stage.

Effect of financial planning control performance
Rated 0/5 based on 30 review