Abstract

More and more organisations are optimally applying financial management information in strategic decisions. This is largely due to the notion that financial management information is the backbone to any organisations value creation. The purpose of this study was, therefore, to gain an understanding of how management in municipalities uses financial management information in strategic decision-making processes. A qualitative multiple-case study approach was employed to achieve the objectives of the study. Ten senior managers within a District Municipality located in KwaZulu-Natal participated in this study. The results reveal that municipalities experience various fundamental limiting factors that determine the usability of financial information in decision making. Though these decision-makers make informed decisions, the factors raised in the findings, especially quality and accuracy of information, raise a question on the reliability of the information utilised since quality information is critical in the decision-making phase.

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