Modern Financial Management Research Articles

Implementing New GL in SAP S4 HANA Simple Finance

The implementation of the New General Ledger (New GL) in SAP S/4HANA Simple Finance represents a transformative shift in how financial data is managed and reported within enterprises. This research paper delves into the intricacies of the New GL in the SAP S/4HANA environment, exploring its capabilities, benefits, and the critical steps involved in its successful deployment. Unlike traditional GL systems, the New GL offers enhanced flexibility, real-time data processing, and streamlined reporting functionalities, making it an essential tool for modern financial management. The paper begins by outlining the evolution of the GL from classic SAP ECC to the New GL in SAP S/4HANA, emphasizing the architectural and functional advancements. One of the key features of the New GL is its ability to support parallel accounting, providing organizations with the capability to maintain multiple ledgers for different accounting standards without redundancy. This is particularly beneficial for global enterprises that must comply with various financial regulations across different jurisdictions.

Analysis Of The Effectiveness Of The Internal Control System For Cash Receipts And Disbursements At The Modern Entreprenur Darul Musthofa Islamic Boarding School 2021-2022

This research aims to investigate the effectiveness of the internal control system for cash receipts and disbursements at entrepreneurial modern boarding school darul musthofa. The research employs a qualitative descriptive approach with the research subject is the Entrepreneurial Modern Boarding School Darul Musthofa. Data collection techniques including interviews, observations, and documentation. The findings indicate that the Modern Entrepreneurial Boarding School Darul Musthofa has successfully implemented an effective internal control system for cash inflow and outflow in line with accounting principles. The organizational structure, which segregates duties and responsibilities in cash handling, enhances accountability. Concrete steps such as digitization of records, regular monitoring, and authorization by the treasurer and head of the boarding school ensure accuracy, transparency, and efficiency in financial record-keeping. Structural separation, authorization, detailed recording, and risk monitoring through online financial transactions reflect the boarding school's commitment to modern financial management. The alignment of the internal control system with financial principles demonstrates sound practices. The treasurer's crucial role in ensuring the accuracy of financial records and the implementation of online financial transactions highlights the boarding school's innovative approach. Overall, the Modern Entrepreneurial Boarding School Darul Musthofa serves as a best practice example in financial management.

Relationship between profitability and financial factors of hospitals after a period of austerity and health care reforms: evidence from Greece

PurposeThe reduction of government expenditure in the healthcare system, the difficulty of finding new sources of funding and the reduction in disposable income per capita are the most important problems of the healthcare system in Greece over the last decade. Therefore, studying the profitability of health structures is a crucial factor in making decisions about their solvency and corporate sustainability. The aim of this study is to investigate the effect of economic liquidity, debt and business size on profitability for the Greek general hospitals (GHs) during the period 2016–2018.Design/methodology/approachFinancial statements (balance sheets and income statements) of 84 general hospitals (GHs), 52 public and 32 private, over a three-year period (2016–2018), were analyzed. Spearman’s Rs correlation was carried out on two samples.FindingsThe results revealed that there is a positive relationship between the investigated determinants (liquidity, size) and profitability for both public and private GHs. It was also shown that debt has a negative effect on profitability only for private GHs.Practical implicationsIncreasing the turnover of private hospitals through interventions such as expanding private health insurance and adopting modern financial management techniques in public hospitals would have a positive effect both on profitability and the efficient use of limited resources.Originality/valueThese results, in conjunction with the findings of the low profitability of private hospitals and the excess liquidity of public hospitals, can shape the appropriate framework to guide hospital administrators and government policymakers.

Pelatihan Penganggaran Material: Studi Kasus Pelalu UMKM Di Kabupaten Majene

This service aims to provide knowledge to MSME players to be able to increase the competitiveness and sustainability of their businesses, as well as strengthen their role in the local economy. Apart from that, MSME players can also build efficient local distribution relationships by partnering with local producers or cooperatives to supply raw materials directly, thereby reducing dependence on supplies from outside the city. To overcome these problems, targeted support is needed for MSMEs. This support includes increasing knowledge in budget management, optimizing the use of raw materials, implementing effective procurement strategies, and using modern financial management technology and tools. With concrete and sustainable solutions, it is hoped that MSMEs can increase production capacity, strengthen the local economy, and achieve greater and more sustainable success. Overall, this training succeeded in building a collaborative and sustainable learning community, where participants can continue to share knowledge and experiences for their professional development.

CLOUD ACCOUNTING UNVEILED: INVESTIGATING CHALLENGES AND PROSPECTS IN MODERN FINANCIAL MANAGEMENT

Cloud accounting has emerged as a transformative force in modern financial management, offering businesses unprecedented opportunities to streamline processes, drive innovation, and achieve strategic objectives. This paper provides a comprehensive examination of cloud accounting, exploring its key features, benefits, challenges, and prospects in detail. The analysis begins by elucidating the fundamental concepts of cloud accounting, highlighting its accessibility, scalability, and cost efficiency compared to traditional accounting methods. It delves into the challenges faced by businesses in adopting cloud accounting, including security concerns, data privacy issues, integration complexities, and regulatory compliance requirements. Despite these challenges, the prospects for cloud accounting are bright, with numerous opportunities for businesses to leverage its benefits and drive growth. The paper identifies scalability, flexibility, cost efficiency, innovation, collaboration, security, and integration as key prospects in cloud accounting, highlighting their transformative potential in reshaping financial management practices. Furthermore, the paper underscores the importance of real-time collaboration, accessibility, and security in fostering a culture of transparency, accountability, and trust within organizations. It emphasizes the role of cloud accounting in creating interconnected ecosystems of applications and data sources, enabling better decision-making and operational efficiency across the organization.

Balancing Profit and Morality: Confucian Insights into Financial Management and Corporate Governance

This study explores the integration of Confucian principles in modern financial management and corporate governance, offering a nuanced perspective on how ancient philosophical wisdom can inform contemporary business practices. By analyzing seminal Confucian texts and reviewing current literature, this research illuminates the alignment between Confucian ethics and ethical business conduct, emphasizing a balance between financial success and societal welfare. The findings reveal that Confucianism, with its core values of Ren (compassion), Yi (righteousness), and Li (propriety), advocates for a holistic approach to business. This approach prioritizes long-term societal benefits and ethical decision-making over immediate financial gains. The study contrasts and compares Confucian perspectives with modern financial theories, highlighting the relevance and applicability of Confucian ethics in today's business world. In financial management, Confucian principles encourage prudent investment strategies and respectful stakeholder relationships, aligning with aspects of portfolio theory and wealth maximization but with an added ethical dimension. In corporate governance, Confucianism promotes leadership based on moral integrity, advocating for a governance model that values trust, mutual respect, and social responsibility. This research contributes to the understanding of how traditional philosophical systems like Confucianism can complement and enrich modern business practices.

Exploration of Innovative Ideas and Strategies for Modern Financial and Economic Management in the New Era

Exploration of Innovative Ideas and Strategies for Modern Financial and Economic Management in the New Era

Essence and development directions of modern financial management of the domestic agricultural industry

Essence and development directions of modern financial management of the domestic agricultural industry

Web-Based Financial Management Socialization And Training In Mushalla Al – Hikmah Rumai – Pekanbaru

Financial management and governance training in mosques has a crucial role in ensuring efficient and transparent financial management. However, mosques often face challenges in managing finances properly due to limited knowledge and access to the latest technology. Therefore, this training aims to provide mosque administrators with a better understanding of modern financial management and to introduce web-based applications as an effective tool for mosque financial management. One of the unique features of this training is the introduction and training on using a web-based application that has been specifically designed for the needs of mosque financial management. This application includes various features, such as digital donation recording, expense tracking, automatic financial reports, and member and donor data management. By implementing this web-based application, it is hoped that mosque administrators can optimize their financial management, increase transparency, and minimize the risk of errors in managing mosque funds. This training was held collaboratively by a team of financial management experts, web application developers, and financial practitioners within the mosque. The results of this training are expected to help mosques achieve their financial goals in a sustainable manner, increase efficiency, and build community trust in the donations made.

Credit Card Fraud Detection for Contemporary Financial Management Using XGBoost-Driven Machine Learning and Data Augmentation Techniques

The rise of digital transactions and electronic payment systems in modern financial management has brought convenience but also the challenge of credit card fraud. Traditional fraud detection methods are struggling to cope with the complexities of contemporary fraud strategies. This study explores the potential of machine learning, specifically the XGBoost (eXtreme Gradient Boosting) algorithm, combined with data augmentation techniques, to enhance credit card fraud detection. The research demonstrates the effectiveness of these techniques in addressing imbalanced datasets and improving fraud detection accuracy. The study showcases a balanced approach to precision and recall in fraud detection by leveraging historical transaction data and employing techniques like Synthetic Minority Over-sampling Technique-Edited Nearest Neighbors (SMOTE-ENN). The implications of these findings for contemporary financial management are profound, offering the potential to bolster financial integrity, allocate resources effectively, and strengthen customer trust in the face of evolving fraud tactics.

MECHANISMS OF COMMERCIAL BANK FINANCIAL MANAGEMENT

Abstract. The article examines the main financial management mechanisms of a commercial bank, as well as the prospect of creating a modern financial mechanism. The article analyzes the approach to the definition of the term "finances" and the focus of management on the placement of financial resources to obtain income. Emphasis is placed on the importance of productive financial relations between the bank and clients through financial management. The role of elements of planning, operational management and controlling in the creation of modern financial management methods is also considered. The stability of the banking sector largely determines the stability of the economy in general and its successful development. Therefore, the primary task of state bodies at the macro level and the management of credit organizations at the micro level should be to ensure such stability through the implementation of a rational monetary policy; assessment and monitoring of the state of the real and financial sectors of the economy; the fall of all types of risks and the acquisition of income, which multiplied aggregate costs. All this will contribute to the modernization and improvement of the quality of banking services provided to individuals and legal entities. An unreasonable and hasty policy in the field of banking business will not only lead to a decline in the financial stability of credit organizations, but will affect the economy as a whole. The article analyzes the financial management of foreign banking organizations, as a result of which the author came to the conclusion that the most important indicators in the development of a bank's financial strategy are the value of a financial organization, the level of bank capital, a certain number of active innovative projects, an increase in the range of products and services provided by banks, an increase management of external and internal risks, as well as development of an effective investment policy. As a result of the study, the relationship between effective financial management and a high level of liquidity management of the bank and the adequacy of its capital was revealed. The theoretical recommendations made by the author can be used by bank managers during the development of tactical measures aimed at increasing the financial stability of the credit organization, as well as during the clarification of the bank's development strategy in the phases of economic growth and decline in the interests of owners and other economic entities that enter into financial relations with banks.

Financial security on cyberspace - PÉNZ7 thematic week

The 9th PÉNZ7 (Money Week) event series, raising financial and entrepreneurial awareness with interactive tools, was organised between 6–10 March 2023. We were happy to welcome this year the 1.5 millionth student participating in the financial thematic week, which was the result of almost ten years’ efforts and relentless work of about 1700 schools. The focus of this year’s PÉNZ7 was on ‘Modern Financial Management and Digital Security’, chosen by consultation with the Ministry of Economic Development, the Ministry of Culture and Innovation, the Ministry of Finance, the Hungarian Banking Association, and the Foundation Pénziránytű and Junior Achievement Hungary together with the responsible project manager Ministry of the Interior. Our paper provides an overview of the different aspects of digital security in finance. Our aim is to share practical knowledge and advice on the topic with teachers and students.

Pelatihan dan Pendampingan Penyusunan Laporan Keuangan di Masjid Pondok Pesantren Al-I’tishom Kubu Raya

The news about the Kapal Munzalan Mosque Foundation, which was considered not transparent in the management of its funds by a community group, became hotter because representatives of the community group insisted that they be brought into the realm of law if financial reports were not provided. The implementation team imagined that this incident could happen to a large foundation in West Kalimantan with modern financial management, especially for mosque administrators whose reporting was still not good. Moving on from this, the implementation team is worried that they will be exposed to bad slander against the management of the Al I'tishom Islamic Boarding School Mosque which will only be established in 2021 with poor financial management. The implementation team identified the financial problems experienced by the Al I'tishom Islamic Boarding School Mosque using the fishbone method which resulted in 4 (problems), namely: low understanding of accounting from mosque administrators (Man Power), no standards used in compiling reports mosque finance (Materials), there is no financial management training for mosque administrators (Method), and there is no financial application used to compile mosque financial reports (Machine). The problem of Man Power, Method, and Material is given a solution by providing training and assistance in preparing financial reports according to financial accounting standards. For the problem (Machine), a solution is offered by presenting a financial application (Ai-Masjid). The output of the activities produced in this activity is the 2021 mosque financial reports and printed financial reports using the Ai-Masjid application. The positive response reached 100% from all mosque administrators at the Al-I'tishom Islamic Boarding School. With this activity, it is hoped that the negative views on the management of mosque funds can be overcome and regain public trust in mosques.

Design and Application of Intelligent Financial Accounting Model Based on Knowledge Graph

With the continuous progress of science and technology, economic globalization has become an important direction for the development of enterprises. In the process of enterprise development, artificial intelligence and machine learning techniques have greatly improved the efficiency of enterprise accounting and financial management and have gradually shifted traditional financial accounting to modern financial management and accounting. Owing to the existing problems of inefficiency, large consumption of time and resources, and low degree of intelligence in the existing computerized financial data prediction systems, this study proposes an intelligent financial accounting and a financial risk monitoring and early warning model based on knowledge graph and deep learning techniques. To validate its performance, the model is trained using financial data of 120 listed companies, and the model is applied to establish the prediction of whether the listed companies are facing a financial crisis, using another 60 companies as the test sample. Results show that the use of deep learning and knowledge graph techniques can significantly improve the regulatory model, enhance regulatory penetration, and alleviate regulatory time lag, thus improving the ability of regulation to detect enterprise problems and prevent risks.

Approximate Valuation of Life Insurance Portfolio with the Cluster Analysis: Trade-Off Between Computation Time and Precision

Valuation of the insurance portfolio is one of the essential actuarial tasks. Life insurance valuation is usually based on a projection of cash flows for each policy which is demanding computation time. Furthermore, modern financial management requires multiple valuations under different scenarios or input parameters. A method to reduce computation time while preserving as much accuracy as possible based on cluster analysis is presented. The basic idea of the method is to replace the original portfolio by a smaller representative portfolio based on clusters with some weights that would ensure the similarity of the valuation results to the original portfolio. Valuation is then significantly faster but requires initial time for clustering and the results are only approximate – different from the original results. The difference is studied for a different number of clusters and the trade-off between the approximation error and calculation time is evaluated.

Model of financial management conceptualization in Romanian agriculture

Agriculture is one of the important sectors in Romania in terms of expanding the cultivated agricultural areas, the number of people working in this field and contribution of the branch to the national economy. Considering the socio-economic dimension of the branch, agriculture represents a viable opportunity in Romania given the qualitative land fund and the pedoclimate’s characteristic still favorable for obtaining financial performance in agriculture. Financial management is a challenge for economic operators in the agriculture. Due to the seasonal character of it, the managerial act of managing cash flow tables is difficult, and managers reach a high rate of indebtedness of the company. The seasonal stage of storage and trading of stocks represents for managers another challenge of financial management and brings with it randomized elements regarding the efficiency of the managerial act in the agricultural sector. The aim of the paper is to conceptualize a modern financial management model timed in agriculture to reduce financial pressure and allow managers to gain more efficiency in managing cash flow charts. The research uses empirical and analytical study methods including literature review, analysis of economic efficiency indicators obtained by agricultural companies in Romania, study of financial projections to identify significant vulnerabilities in cash flows and conceptualization of modern financial agriculture’s management model. The results of the study will be useful to managers of agricultural entities in their approach to efficiency and performance within the development of financial strategies.

Effect of Working Capital Management on The Financial Performance of Banks

Working capital is a measure indicating the level of efficiency and financial soundness of banks and their ability to meet obligations and liabilities in the short-run. The placement of working capital is one of the basic tasks that fall upon modern financial management because of its possible impact on the banking performance. This research aims to study and analyze the effect of working capital management on the financial performance in banks. The study uses secondary data obtained from the published annual financial reports of 15 banks banks listed in the Iraq Stock Exchange during 2005-2018. The collected panel data is analysed through the use of EVIEWS 10. The study found that there is a clear deficiency of some banking departments about defining a management mechanism and allocating working capital and harnessing its components as effective tools in improving the banking financial performance. Moreover, cash conversion cycle is among the factors that have significant impact on the banking performance. Accordingly, some conclusions were presented, including the interest of banking institutions' management in allocating working capital well and with the aim of promoting the reality of banking procedures and taking account the process of evaluating financial performance using efficient methods, including those related to the analysis of working capital components

Application of Blockchain in Financial Management

<p style="text-align: justify;"><span style="font-family: "times new roman";">Blockchain technology is an important achievement of the rapid development of Internet technology. Because of its outstanding performance in data processing and security performance, it is more and more widely used in real life. Financial management is one of the main application fields of blockchain technology. The application of blockchain technology in financial management system can optimize the system in many aspects. "Blockchain + financial management" has become a mainstream trend and plays an irreplaceable role in modern financial management system. In order to further analyze the application of blockchain technology in financial management system, this paper will take this as the main research purpose. This paper is mainly divided into three parts. The first part is the related basic theoretical research. The research and analysis believe that although blockchain technology is not mature enough, it has realized its unique advantages in the financial field. This paper believes that research efforts can be increased to promote the integration of modern technology. The second part is to redesign the financial management system based on blockchain technology, which further strengthens the security performance, and optimizes the existing functional modules with blockchain technology. The redesign of the function module basically meets the development needs of small and medium-sized enterprises. In order to further test the actual performance of the financial system, in the third part of this paper, a number of related experiments are done. From the number of concurrent users and the system response time and other experiments, the experimental data shows that many performances of the modified system meet the current mainstream standards, and show excellent performance. The analysis shows that the system in this paper is an upgrade of the traditional financial management system, and has achieved ideal results.</span>

On Tackling Real-Life Optimization Problems

Most real-world applications are concerned with minimizing or maximizing some quantity so as to enhance some result. This emphasizes the importance of optimization and subsequently the significance of the optimization methods that are able to tackle these real-life optimization problems. There are a number of practical reasons for which traditional optimization and exhaustive algorithms cannot deal with a variety of these real-life optimization applications although there are numerous optimization problems that can benefit from applying these traditional optimization algorithms to handle them. Therefore, their is a need for propsong new optimization algorithms (such as nature inspired optimization methods) and optimize the capabilities of the existing ones (such as hybridization and parallelization) as well. This paper investigates the most recent optimization directions for dealing with the real-life optimization problems with an application to one of the most common and important optimization problems in a variety of financial fields and other fields which is the portfolio optimization problem since it is considered one of the most crucial problems in the modern financial management and has a variety of applications such as asset management and building strategic asset allocation. The computational results were got utilizing benchmark data from the OR library with the use of modern optimization algorithms. In addition, the article highlights the differences and similarities among the utilized optimization methods. In addition, recent advancements to the utilized optimization methods are highlighted.

Protecting the Village Credit Institution: Should Traditional Communities Adopt Modern Financial Management Practices?

A Lembaga Perkreditan Desa (Village Credit Institution or LPD) is a type of financial institution that is associated with a Balinese customary village. LPDs face competing pressures to both maintain their traditional character and align themselves with national standards for financial management. This article establishes the hybrid legal character of LPDs (under Balinese customary law and Indonesian national law) in order to analyse their evident shortcomings, being the vulnerability of some monitoring and protection systems to misappropriation. We rely on normative legal research methods, including statutory analysis and analysis of case studies. We examine the LPD Regulations and Balinese customary law, supplemented by interviews on issues of relevance. We conclude that the recognition of LPDs under the law, given the fundamental basis of the LPD in the customary village, ought to be given primacy to their status under Balinese customary law. However, the monitoring and protection systems of LPDs must be improved and uniform standards must be enforced – otherwise, their customers will simply use other financial institutions. We also conclude that it is possible to improve management practices while respecting the autonomy of customary villages. Therefore, we assert that properly implemented measures will make a direct intervention from government unnecessary.