FINANCE DEPARTMENT
It is a department where every body counts!
Finance department is an integral part of an organization, providing the fuel to keep it moving forward and its objectives are to:
- To minimize the finance cost
- To effectively manage funds
- To manage payables and receivables
- To coordinate between ACWECA’s departments.
- To increase the return on investment.
- To create an effective internal control of funds and operations.
Importance of Finance Department
Finance is the lifeblood of an organization. Every organization should maintain adequate amount of finances for its smooth running to achieve the desired goals. Sound financial management should results in:
- Financial planning & Acquisition of Funds
- Proper Financial Decision & Usage of funds
- Improved Profitability
- Promotes savings
- Investment and Growth
- Value addition
NB: Successful growth of an organization depends on the financial management efficiencies and properly aligned strategies
Roles & responsibilities of BM in Financial Management
- Responsible for overseeing funds from donors and ensuring those funds are being used for their intended purpose.
- Managing assets.
- Monitoring and Managing Financial Resources-that is monitoring of income & expenditures
- Reviewing financial Reports and Appointment of Auditors
- Reviewing and Approving of Annual Budget
- Securing adequate financial resources for the organization to fulfill its mission
- Ensuring that proper financial controls are in place
- Orienting these new members, and periodically evaluating staff performance
- Adhering to legal and ethical standards and norms
Basic internal control activities
The three basic control activities that protect your associations from financial loss are:
- Authorization of transactions
- Recording of transactions
Custody of assets: Each of these activities should be performed by different persons