STRATEGIC FINANCIAL
MANGAMENT
CHARACTERISTICS OF STRATEGIC
FINANCIAL MANAGEMENT
1. It is concerned with the long term management of fund with a strategic perspective.
- In this characteristic we can use tools to have a long term fund also in a financial fund
operation every strategic has a tool to be success.
2. It aims at maximization of profit and wealth of the concern.
- This characteristic main purpose is to maximize the financial value and profit for the
operation, so it means a lot that the profit and wealth is the concern of every management that will
have.
3. It is both structured as well as flexible.
- Management is very important in a business, they plan, control and also a guide to be
successful. Planned strategy for a good operation to have a flexible strategy is a must to be great
and have a good result.
4. It promotes growth, profitability and existence of the firm in the long run and maximizes
shareholder value.
- In a good way, we must have the strategy to promote to grow and have a good result of profit
also if it is exist.
5. It is an evolving and continuous process that constantly tries to adopt and revise strategies in order to
achieve strategic financial objectives of the firm.
- Flexible strategy, plan, information and teamwork is a great way of having a continuous good
business or company that you have. Adopting and revising is also way of having things that gives
opportunity to achieve goal.
6. It is involves innovative, creative and multidimensional approach for finding solutions to the problems.
- All problems has a solution, all things make happen possible, positive or negative. Being creative is
adding essentials and a figure of something that helps. Finding solution is example of we need to cooperate
and fix all the wrong doing that we done.
7. It helps to formulate appropriate strategies and facilities constant monitoring of action plans to
match with the long term objectives.
- Formulating strategies is a way of expessing, presenting and exposing a strategy of what will
happen for a better. Especially we must do the monitoring for the plans and whatever needed in this
kind of situations.
8. It makes use of analytical financial techniques with qualitative and quantitative judgment of
factual information.
- It is the formula in everything by having this it must have to those in finances, and also in the
circulation of profit.
9. It is result oriented combining of resources, especially of financial and economic resources.
- The strategy in this level is having a good result for the resources especially in financial and
economic resources. Financial resources is liquid assets of an organization, including cash, bank
deposits, and liquid investments. In economic resources is land, labor, capital and entrepreneurial
ability which are used in the production of goods and services. This could be oriented because of
combining resources in this field.
10. Strategic Financial Management offers a number of solutions while analysing the problems in
the organizational context.
- Choices is in this situation, why? Because in every problem there is a solution, in every
solution there is your choice to find what will bw the exact solution you may choose to have god
result. Analyzing the problem is the first move that can be done before you have to decide what
will happen next.
