THE ROLE OF FINANCIAL MANAGEMENT A CORPORATE ORGNAISATION (A CASE STUDY OF NICON INSURANCE COMPANY LIMITED ENUGU, ENUGU STATE)
This project is poised to x-raying the degree of “the role of financial management in a corporate organization”. The main aim of every business is profit maximization. Care must therefore be taken to ensure that available finance for a business is well managed. This role is le in the hands of financial manager. In conducting the research on this topic, the researcher wishes to visit the Enugu office of the NICON insurance corporation NICON PLC and administer questionnaire to the Zonal Director and other top ranked workers in the corporation in a bid to collect proper information. It is purely on oral interview, after which critical analysis of data follows. Regrettably certain factors will tend to limit research for this information. Resources are scarce to meet up with
transportation expenses to various part of the country for information. Lectures will be going on in the class, making it impossible for the researcher to go out every time. In conclusion, the researcher will suggest that corporate organizations in Nigeria will be compared to those in advanced countries if the finance available to them are managed well.
1.1 BACKGROUND OF THE STUDY
Financial management involves all activities of a financial manager concerned with arising of capital, planning cash and credit requirement including the effective control of financial resource. The activities could be segregated as follows: Converting forecasts into plans and budgets Planning the appropriate capital structure
Raising cash from outside the business Forecasting the future availability of and requirement of cash Investing surplus finds Controlling cash balances and flows in accordance with plans and with changing circumstances.
With the emergence of finance as a separate field of study the emphases was more or less on legal matter such as mergers formation of new company’s disposal and consolidation. With most vital problem of the firm was identification of means of raising capital for possible expansion due to increasing ware in industrialization, the
mobility of funds from area of surplus to are of scarcity pose a lot of problems. In the 1930s the stock of depression ushered in an era of conservation, and attention shier to such topics as preservation of capital, maintenance of liquidity, reorganization of financially troubled corporations, and the bankruptcy process the federal government assumed a much larger role in regulating business.