scholarly journals Cash flow management practices: An empirical study of small businesses operating in the South African retail sector

2014 ◽  
Vol 4 (2) ◽  
pp. 87-100
Author(s):  
Augustine Oghenetejiri Aren ◽  
Athenia Bongani Sibindi
Keyword(s):  
Cash Flow ◽  
Financial Management ◽  
Small Businesses ◽  
Management Practices ◽  
Business Failure ◽  
Retail Sector ◽  
Flow Management ◽  
Cash Flow Management ◽  
Remedial Actions ◽  
Small Business Failure

The small, micro and medium business enterprises (SMMEs) sector is universally acclaimed for fostering economic growth in many economies. The health of this sector is largely premised on the observance of prudent financial management tenets, mainly cash flow management. In this study we interrogate the influence of cash flow management practices on the survival or growth of the SMMEs by conducting a survey amongst the SMMES operating in the retail sector of Pretoria in South Africa. We find evidence that cash flow management is extremely important to the survival of a business, particularly small businesses, and poor cash flow management can also lead to small business failure. We also proffer policy advice as to the remedial actions needed to safeguard this sector.

LATE AND NON-PAYMENTS ISSUES IN THE MALAYSIAN CONSTRUCTION INDUSTRY: PERSPECTIVE OF BUILDING MATERIAL SUPPLIERS

2020 ◽  
Vol 6 (1) ◽  
pp. 39
Author(s):  
Mohd Fisal Ishak ◽  
Kartina Alauddin ◽  
Mohd Shahrol Hafiz Ibrahim
Keyword(s):  
Construction Industry ◽  
Cash Flow ◽  
Financial Management ◽  
Building Material ◽  
Building Materials ◽  
Management Team ◽  
Flow Management ◽  
Cash Flow Management ◽  
Main Effect ◽  
Klang Valley

Payment in the Malaysian construction industry has generally been an issue of concern. Late and non-payment problem is endemic in construction and needs to be addressed. The aim of this study is to investigate the issues related to late and non-payment based on the building materials suppliers’ perspective. Questionnaires were distributed to suppliers of building materials in the Klang Valley. Findings from the study shows the main cause of late and non-payment is the paymaster’s poor financial management while the main effect of late and non-payment is problem with the cash flow.  The most recommended possible solution to cope with the issue is for the paymaster to conduct training on financial and cash flow management to the management team in the company.  

Managing cash flow. Practicum

2019 ◽  
Author(s):  
Павел Жуков ◽  
Pavel Zhukov
Keyword(s):  
Corporate Finance ◽  
Cash Flow ◽  
Financial Management ◽  
Cash Flows ◽  
Educational Programme ◽  
Flow Management ◽  
General Manager ◽  
Cash Flow Management ◽  
Financial Profile

Textbook "managing cash flow" is based on a similar discipline which is part of the educational programme of the Financial University for training Bachelors to direction of preparation 38.03.02 "management", financial profile. Discipline treats all topics of general courses in financial management and corporate finance. Difference of discipline is that it focuses on cash flow management (rather than capital, profitability, etc.) and consequently, the discipline examines corporate finance and financial management in terms of cash flow management. Cash flow management is usually the essence of the work of a Finance Manager, and it treats activities of an Organization in terms of cash flows. That is usually a feature of outlook of financial manager and distinguishes it from other managers. Due to the nature of their work, financial managers must also bear in mind the issues of competitiveness, efficiency, profitability and sustainability of the company, which commonly are the focus of the General Manager. The workshop aims to develop the skills necessary for this activity.

scholarly journals Is good corporate governance practice the panacea for small-to-medium businesses operating in the South African retail sector?

2015 ◽  
Vol 12 (2) ◽  
pp. 579-589 ◽  
Author(s):  
Athenia Bongani Sibindi ◽  
Augustine Oghenetejiri Aren
Keyword(s):  
South Africa ◽  
Corporate Governance ◽  
Cash Flow ◽  
Retail Sector ◽  
Flow Management ◽  
Cash Flow Management ◽  
Good Corporate Governance ◽  
Governance Practices ◽  
Governance Practice ◽  
Corporate Governance Practice

The small, micro and medium business enterprises (SMMEs) sector is universally acclaimed for fostering economic growth in many economies. The health of this sector is largely premised on the observance of good corporate governance tenets. The purpose of this paper is to determine whether good corporate governance practice has been firmly embedded in the small-to-medium enterprise (SMMEs) sector in South Africa. In this study we interrogate the influence of good internal control systems, with a special focus on cash flow management practices on the survival or growth of the SMMEs. This paper utilised qualitative research methods and employed the survey technique amongst the SMMES operating in the retail sector of Pretoria in South Africa. We find evidence that good corporate governance practices enhance cash flow management processes. This is extremely important to the survival of a business, particularly small businesses, and poor corporate governance practices lead to weak cash flow management systems, which can thus lead to small business failure. We also proffer policy advice as to the remedial actions needed to safeguard this sector

scholarly journals Engineering of business processes in accounting support of cash management

2020 ◽  
pp. 135-148
Author(s):  
Iryna Zamula ◽  
Mykhailo Prodanchuk ◽  
Tatiana Kovalchuk ◽  
Alla Mуhalkiv ◽  
Kostiantyn Simakov
Keyword(s):  
Cash Flow ◽  
Business Process ◽  
Financial Management ◽  
Management System ◽  
Business Processes ◽  
Process Engineering ◽  
Cash Management ◽  
Flow Management ◽  
Cash Flow Management ◽  
Methods And Techniques

Purpose. The purpose of the study is to develop the accounting aspect of business process engineering as the main tool in management. Methodology / approach. The research uses methods of scientific abstraction, grouping and systematization to identify the current state and outline the directions of development of accounting engineering. Methods of analysis and synthesis, as well as the coefficient method for the development of the analytical component of cash management are used. Results. Engineering is an effective tool for optimizing business processes of enterprises. It should be considered as a way of implementation into a certain sphere of human activity non-specific (foreign) tools, techniques, methods, etc., aimed at solving problems that cannot be solved by the existing tools specific to this area of activity. Accounting engineering is the process of developing, designing and implementing innovative tools, methods and techniques borrowed from other sciences that are used to improve accounting as a system that provides information to the management system. It is a platform for generating the accounting information needed to make strategic management decisions. The effect of accounting engineering is analyzed on the example of cash management, as current trends are focusing more and more on cash flow as the main object of financial management of the enterprise. A cash management mechanism based on accounting engineering is proposed, which includes the following stages: cash flow planning and forecasting, adherence to the schedule of receipts and payments within budget limits, evaluation of cash management efficiency. Originality / scientific novelty. It is proved that the need for engineering for accounting science and practice is necessitated by the need to form special ways to solve problems that have remained unresolved for accounting for a long time and could not be solved due to limited methodological approaches, methods and techniques. The influence of accounting engineering on the efficiency of the management system on the example of cash management is outlined. Practical value / implications. The application of business process engineering in cash flow management of the enterprise by assessing the value of the integrated indicator of cash flow management has identified a number of cash flow management problems, their causes, consequences (risks) for the company and provide suggestions to minimize identified risks.

scholarly journals Examining Financial Management Practices in the Context of Smart ICT Use: Recent Evidence from Croatian Entrepreneurs

2019 ◽  
Vol 22 (s1) ◽  
pp. 107-123 ◽  
Author(s):  
Bisera Karanović ◽  
Gordana Nikolić ◽  
Goran Karanović
Keyword(s):  
Financial Management ◽  
Management Practices ◽  
Critical Factor ◽  
Financial Sustainability ◽  
Valuable Insight ◽  
Flow Management ◽  
Cash Flow Management ◽  
Ict Use ◽  
Ict Tools ◽  
Insight Into

Abstract Recent research demonstrates that entrepreneurs who learn contribute to lower failure rates of their startups. Nowhere is this more evident than in the area of financial management, where the entrepreneurs’ lack of skills and competencies – and their willingness to acquire them - can be a critical factor to the success of the business venture. The purpose of this paper is to examine the financial management practices among Croatian entrepreneurs in relation to budgeting, raising capital, cash flow management, and the use of ICT tools for enhanced efficiency of their businesses. The survey was conducted on a sample of 58 entrepreneurs whose answers provide valuable insight into their grasp of financial concepts in the context of smart ICT use. The ensuing analysis of the level of proficiency in combining smart tools with financial management reveals increased adoption of ICT practices for budgeting and purchasing among Croatian entrepreneurs. Additionally, the findings indicate that the entrepreneurs’ acquisition of skills and competencies for smart financial management presents a sound basis for increased overall financial sustainability of the startups.

scholarly journals CREATIVE INTELLIGENCE IN THE MANAGEMENT SYSTEM OF CASH FLOWS OF THE ENTERPRISE

2019 ◽  
pp. 25-32
Author(s):  
O. Mykytiuk ◽  
T. Onysenko
Keyword(s):  
Cash Flow ◽  
Financial Management ◽  
Management System ◽  
Creative Thinking ◽  
Cash Flows ◽  
Critical Question ◽  
Flow Management ◽  
Cash Flow Management ◽  
Managerial Decisions ◽  
Standard Management

The article deals with the basic concepts of cash flow management taking into account the active use of the concept of creative thinking, based on which the main requirements for the process of cash flow management of the enterprise were formulated under the given conditions. To meet these requirements, all business flows (monetary, informational, material, etc.) must be synchronized. The method of synchronization and system-wide optimization is the latest concept of making managerial decisions in the field of finance. Also, the comparison of monetary flow definitions with Ukrainian and foreign authors has been made. which gave rise to the reflection of the author's definition of the category. Also important is the element of the combination of the latest concept of creative thinking in the financial management segment of the enterprise. In the article the etymology of the concept of money flow is considered and the brief meaning of the concept of creative thinking is given. The system of classification according to the objectives of cash flow management is created in article. We also analyzed the new types of cash flows which are formed in modern economic condition. The main conditions for the use of creative thinking in solving the tasks are reviewed. The necessary elements of creative thinking are determined. The main elements and methods of the creative thinking concept for effective cash flow management are named. In the article the proposed approach to developing an enterprise cash flow management system under risk and uncertainty was presented in the form of a sequence of corresponding steps, and also visualized in the form of a scheme. The critical question of activating the creative thinking of managers in a modern, rapidly changing environment, where standard management methods do not operate and do not have a powerful influence on enterprise activity, are also considered.

Cash flow modeling for construction projects

2014 ◽  
Vol 21 (2) ◽  
pp. 170-189 ◽  
Author(s):  
Tarek Zayed ◽  
Yaqiong Liu
Keyword(s):  
Cash Flow ◽  
Financial Management ◽  
Construction Projects ◽  
Mean Value ◽  
Major Step ◽  
Flow Management ◽  
Content Type ◽  
Cash Flow Management ◽  
Cash Flow Forecasting ◽  
The Impact

Purpose – Construction projects are well known for their complexity and ambiguity. These projects carry out higher risk than traditional ones because they entail high capital outlays and intricate site conditions. Poor financial management of these projects may lead to bankruptcy; therefore, effective cash flow management is essential. Although the peculiar characteristics of construction projects, the accuracy of cash flow forecasting has been a long lasting problem. The paper aims to discuss these issues. Design/methodology/approach – Many unforeseen factors affect the cash flow forecasting of construction projects. Therefore, the objective of the presented research in this paper is to examine the impact of these factors on contractor's cash flow. A model has been established by integrating analytic hierarchy process and simulation to examine the impact of various factors on cash flow. Data on the selected factors have been collected through questionnaires from various agencies in North America and China. Findings – Results show that the most significant factors are: change of progress payment, payment duration, financial position of the contractor, project delays, and poor planning. It also shows that the effect of cash inflow factors varied approximately from 9.7 to 16.3 percent with a mean value of 12.4 percent. Research limitations/implications – The implementation of the developed models are limited to few case study projects in testing the models. However, the developed models and framework are sound for future improvement. They are considered as a major step toward a broader cash flow planning. Practical implications – The developed methodology and models play essential roles in decision-making process. Originality/value – The developed model is expected to help contractors realistically forecast project cash flow under uncertainty. This may lead to more dependable and professional cash flow management, which might substantially reduce failures in construction business.

scholarly journals The Impact of Cash Flow Management Practices on Financial Performance of Cement Manufacturing Firms: A Comparative Study of Pakistan and India

2021 ◽  
Vol 7 (3) ◽  
Author(s):  
Muhammad Adil Keerio ◽  
Arifa Bano Talpur ◽  
Tooba Ameen ◽  
Meer Hassan Mari
Keyword(s):  
Financial Performance ◽  
Cash Flow ◽  
Management Practices ◽  
Random Effect Model ◽  
Secondary Source ◽  
Manufacturing Companies ◽  
Flow Management ◽  
Cash Flow Management ◽  
Cement Manufacturing ◽  
The Impact

Purpose: The study examined the impact of cash flow management practices on Pakistani cement firm’s financial performance with comparison of Indian cement sector’s selected firms. Methodology: The Pooled OLS Regression is applied with the Help of EViews software. The data collection is from official websites of the concerned companies from 2009 to 2018 with help of secondary source. The multiple regressions, Random Effect Model and Fixed effect models are used for the analysis of data and confirmed with Husman test. Findings: The finding of this study for both selected countries indicated the influence of cash flow management practices wherein both countries cement producing companies shows significant impact on firm’s performance but in terms of Pakistan Return on Assets have no impact on firm’s Profitability. Implications: Therefore, after a careful analysis study recommended that cement manufacturing companies must reevaluate their practices of managing cash flows in order to generate more profitability and generate enough cash to meet their obligations.

Cash Management in Non-Profit Organizations

2017 ◽  
pp. 94-110 ◽  
Author(s):  
Füsun Kucukbay
Keyword(s):  
Nonprofit Organizations ◽  
Cash Flow ◽  
Financial Management ◽  
Business Failure ◽  
Cash Management ◽  
Non Profit ◽  
Cash Flow Management ◽  
Management Area ◽  
Non Profit Organizations ◽  
Cash Inflow

This chapter tries to contribute to the discussion about nonprofit organizations in the cash management area. The leaders of non-profit organizations are mostly concerned with their primary aim such as charity or such as the eradication of fluorocarbons. Usually, nonprofits' leaders ignore the subject of financial management. However, this ignorance may lead business failure. The cash management, which is an important subject of financial management, is vital for non-profit organizations because these organizations are usually poor in cash and their cash flow fluctuates throughout the year. The finance managers have to plan the cash flow periodically in order to pay current bills on at the appropriate time with an appropriate cost. In this chapter, the cash inflow characteristics of non-profit organizations, the basic concepts of cash flow management such as cash flow statement, cash flow budgeting, cash flow analysis based on financial ratios and cash flow problems and its possible solutions are tried to be explained.

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