Explain how you would attempt to analyze the financial functions of an organization, what key areas should be analyzed and what would be your critical recommendations to establish sound financial controls?

Every organization, irrespective of its size or ownership pattern, has to manage its finances. The overall objectives of an organization cannot be achieved in the absence of financial management. Many organizations fail in their objectives because of financial mismanagement and this failure rate is quite high among the small business enterprises. Hence, financial management is vital for all types of organizations, profit making as well as non-profit making. In case of non-profit making organizations also the effectiveness and performance depends on their financial resources management. Explain how you would attempt to analyze the financial functions of an organization, what key areas should be analyzed and what would be your critical recommendations to establish sound financial controls?

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