Planning, analyzing, monitoring, reviewing and controlling an organization’s monetary resources. Responsibility for financial management often falls to the finance director, and by extension the financial department.
Within the financial organization chart of the company, the finance director is in charge of planning and organizing the financial strategy, but also, of controlling the financial operations that are carried out in the company.
Therefore, the role of the financial director is vital to the health of any organization, since he or she has to take into account the past, present and future of the organization and the market. Only in this way can he or she avoid past mistakes, evaluate future risks or opportunities, and analyze the current economic-financial situation to achieve higher profit levels.
Good financial management also involves knowing how to adjust collection and payment dates. You must plan your business's cash flow well, to make a forecast of cash inflows and outflows.