Financial Practices Research Articles

Innovative financial strategies for achieving cost reduction and revenue growth in non-profit organizations

Non-profit organizations operate in a challenging financial environment, requiring innovative strategies to ensure sustainability and maximize their impact. This review paper explores essential financial strategies for non-profits, focusing on cost reduction, revenue growth, strategic financial planning, and leveraging technology. Cost reduction strategies, including operational efficiency, process streamlining, and technology implementation, enable non-profits to optimize resource allocation. Revenue growth is achieved through diversifying funding sources, expanding donor bases, and adopting social enterprises and digital fundraising methods. Strategic financial planning and management, encompassing robust financial plans, regular audits, and risk management, are foundational for financial health. Leveraging technology, such as financial management software, data analytics, and blockchain, further enhances financial efficiency and transparency. This comprehensive approach empowers non-profits to achieve financial stability, improve resource management, and enhance their mission-driven impact. Future directions recommend exploring new financial management practices and technologies to maintain competitiveness and sustainability in an evolving landscape.

Financial management practices and challenges among food cart businesses in Nueva Ecija, Philippines: Insights and Implications

Financial management practices and challenges among food cart businesses in Nueva Ecija, Philippines: Insights and Implications

ANALISIS AKUNTANSI DALAM PROSES PENGADAAN BARANG DAN JASA DI KANTOR KECAMATAN SUKARAJA KABUPATEN SUKABUMI

In the era of globalization and rapid development of information technology, financial management and accounting have become crucial aspects for organizations, including government agencies. In Indonesia, procurement of goods and services is a vital component in supporting the implementation of government programs, where efficiency and transparency in the procurement process greatly affects the quality of goods and services obtained, as well as accountability for the use of public funds. The Sukaraja Sub-district Office, Sukabumi District, as part of the local government, has the responsibility to effectively manage the procurement of goods and services. However, accounting and financial management practices in the sub-district often face challenges that affect the effectiveness and efficiency of budget use, as well as the quality of public services. This research focuses on analyzing the accounting system used in the process of submitting payment for goods and services at the Sukaraja Subdistrict Office. The accounting system is an organization of forms, records, and reports that are coordinated to provide financial information needed in management. An in-depth understanding of this accounting system is very important because this system serves as a financial control mechanism, which if implemented properly, can improve the efficiency and effectiveness of regional financial management. This study shows that although the existing accounting system at the Sukaraja Sub-district Office is quite good, there is still room for improvement, especially in terms of integration of modern technology and training of officers in the use of the system. Accurate and timely financial data is needed for effective decision-making. In addition, transparency in public financial management is expected to increase accountability and reduce the potential for corruption. In this regard, measures to ensure that financial information is easily accessible to the public are crucial. This study concludes that the improvement of the existing accounting system, including the utilization of technology and the improvement of officers' competencies, is essential to improve financial performance in Sukaraja Sub-district Office. Thus, a strong and transparent accounting system will drive increased accountability, efficiency, and better quality of public services, which will ultimately support overall local economic development

Analysis of Sharia Partnership Program Implementation, Sustainability Management, and Green Technology Use on Sustainable Economic Development in Banten

This study examines the impact of the Sharia Partnership Programme, sustainability management, and green technology use on sustainable economic development in Banten. Employing a quantitative approach, data were collected from 170 respondents using a Likert scale and analyzed using Structural Equation Modeling-Partial Least Squares (SEM-PLS 3). The results indicate that all three factors have significant positive effects on sustainable economic development, highlighting the importance of integrating ethical financial practices, sustainability management, and technological innovations. The findings suggest that these strategies play a crucial role in promoting sustainable growth, offering valuable insights for policymakers and business leaders seeking to enhance sustainability efforts in Banten and similar regions. This study contributes to the theoretical understanding of sustainable development and provides practical recommendations for fostering economic growth that aligns with social and environmental goals.

A Case Study on the Innovative Development of Digital Supply Chain Finance Based on MYbank in China

Small and medium-sized enterprises (SMEs) play a critical role in promoting the development of China’s real economy and improving national productivity, but their financing still faces challenges. In recent years, supply chain finance (SCF) has become one of the most important solutions to SMEs’ financing difficulties. Promoting the digital and innovative development of SCF can better meet the financing needs of SMEs. This study is based on a case study of Zhejiang MYbank Co., Ltd. (MYbank) in Hangzhou, China, which is a representative institution of digital supply chain finance development in China and committed to realizing the digital innovation development of SCF. Based on MYbank’s financial index data from 2018 to 2022, the implementation effect of MYbank’s digital supply chain finance is quantitatively analyzed from the perspectives of SMEs and MYbank. The main findings are as follows.(1) In the practice of digital supply chain finance, MYbank implements the new concepts of SCF decentralization and full coverage of supply chain links while enhancing the sustainability of SCF. (2) For SMEs, MYbank’s digital supply chain finance development has led to an increase in the financing scale and financing availability of SMEs. (3) The analysis of MYbank’s comprehensive benefits shows that the digital innovation development of SCF effectively increased the overall economic value of the enterprise during the period of 2018–2022. Based on these findings, this study provides implications for commercial banks and other financial institutions to develop digital supply chain finance.

Financial management, efficiency, and care quality: A systematic review in the context of Health 4.0.

This article investigates the intersection between innovation, Health 4.0, and financial management in the healthcare industry, emphasizing the importance of operational efficiency and quality of care. The study aims to analyze how financial management processes in healthcare relate to Health 4.0 and enhance care quality. It begins with a thorough theoretical grounding, proposing a framework that connects Health 4.0 with financial management practices. A systematic review of the literature was conducted, identifying trends, challenges, and opportunities in the financial management of Health 4.0. The results highlight selected articles on responsible innovation, Health 4.0 technologies, investments in health, hospital efficiency, performance forecasting, and high-cost patient management. These articles were clustered into "Data Analysis and Machine Learning in Healthcare" and "Health Management and Sustainability," providing a categorized understanding of the topics. The study reveals that Health 4.0 offers significant opportunities for process efficiency and cost reduction without compromising service quality. It highlights strategic advantages in addressing contemporary healthcare challenges by optimizing processes, improving financial projections, and incorporating advanced technologies efficiently. The successful implementation of Health 4.0 can lead to substantial improvements in service quality, adding value to patients and driving local economic development. This article offers valuable insights for healthcare professionals and managers, emphasizing the transformative potential of Health 4.0 and outlining strategies for its effective implementation. The clustering of articles provides a clearer understanding of current research in Health 4.0, contributing significantly to the field and guiding future research directions.

Research on the Development and Influence of Internet Supply Chain Finance on Enterprises

In todays digital era, the evolution of internet supply chain finance presents trans-formative opportunities and challenges for enterprises worldwide. This research explores the development and influence of Internet supply chain finance on enterprises, examining its impact on financial management, operational efficiency, and strategic competitiveness within supply chain networks. The study delves into the growing adoption of Internet supply chain finance solutions by enterprises seeking to optimize working capital, streamline transaction processes, and enhance collaboration with suppliers and partners. As digital technologies reshape traditional finance practices, understanding the implication of Internet supply chain finance becomes imperative for businesses navigating complex global supply chains. A comprehensive literature review synthesizes existing knowledge on internet supply chain finance. Preliminary findings suggest that Internet SCF offers significant advantages to enterprises, including improved liquidity management, reduced transaction costs, and enhanced supply chain resilience. However, challenges such as personal security risks and integration complexities underscore the need for strategic planning and technological readiness. By elucidating the development and influence of internet SCF on enterprises for practitioners, policymakers, and scholars in the field of supply chain finance and digital transformation.

Buffer or substitute? Corporate financialization and leverage manipulation

This study examines the impact of financialization on leverage manipulation for nonfinancial companies in China from 2011 to 2021. Using the XLT-LEVM measurement method, we find that corporate financialization can inhibit leverage manipulation. Mechanism analysis suggests that corporate financialization deters leverage manipulation by crowding out debt financing in a substantive way. According to heterogeneity analysis, the inhibitory effect is less pronounced in firms with short-term solvency pressure and intensive external attention. Our findings extend the literature on corporate financialization and demonstrate its role in mitigating leverage manipulation, with implications for both financial practice and public policy.

BREAKING BARRIERS: FEMALE DIRECTORS, EARNINGS MANAGEMENT, AND THE INFLUENCE OF EDUCATION AND SUSTAINABILITY REPORTING

<p><strong>Background</strong>: The role of women directors in corporate governance has received increasing attention, especially regarding their impact on earnings management. Recognizing this role is critical as companies need to increase transparency and accountability in their financial practices, while recognizing the role of sustainability.</p><p><strong>Objective</strong>: These studies aim to find out, whether female participation in the board of directors can reduce earnings management practices, by adopting different types of measurements for the female variable.</p><p><strong>Research Method</strong>: The applied methods are purposive sampling where 49 samples collected from Indonesia Stock Exchange (IDX) that consistently publishing financial and sustainability report with a timeframe of 2018-2022. Implementing data panel regression method using Stata application.</p><p><strong>Result</strong>: The result indicate that, three female director can reduce earnings management, while independent commissioner and GRI disclosure are positively related to earnings management.</p><p><strong>Originality/Novelty of Research:</strong> This studies use different kind of measurements towards female director variables, to proving applied theory are still relevant and to resolve the limitation of previous studies to find the critical effect of female directors participation to decreasing earnings management in Indonesia.</p><p> </p>

The Effect of Financial Literacy on Financial Management of Teachers and Employees in Islamic Boarding Schools

The primary objective of this study is to determine the influence of financial literacy on the financial management practices of teachers and employees at Pon-Pes Nabil Husein in Samarinda. This research employs a quantitative descriptive method, utilizing observation and questionnaires for data collection. The population in this study consists of teachers and employees at Pon-Pes Nabil Husein in Samarinda. A purposive sampling technique was used, selecting 63 samples from a total population of 142 based on specific criteria. The criteria for selection included teachers and employees who are permanent staff and have been employed for at least three years. The results of the study indicate that financial literacy significantly affects financial management. This is evidenced by the t-test results, where t_calculated (7.773) > t_table (2.982) and a significance level of 0.000 < 0.05. Therefore, the null hypothesis (Ho) is rejected, and the alternative hypothesis (Ha) is accepted. This conclusion confirms that financial literacy positively impacts the financial management of teachers and employees at Pon-Pes Nabil Husein in Samarinda. The findings of this study highlight the crucial role that financial literacy plays in enhancing financial management skills among educators and staff.

Teachers’ Knowledge, Behavior, Attitude and Practices on Pillars of Financial Literacy Across Opol East District

The study examines the financial literacy of teachers in the Opol East District, focusing on their knowledge, behavior, attitude, and practices related to financial management. The research involved 262 respondents, using an adapted questionnaire and universal sampling technique. The study aimed to assess the respondents' level of financial literacy across key pillars like spending, earning, saving, budgeting, donating, investing, and protecting. It also sought to identify significant relationships between their knowledge, behavior, and practices, and to explore differences based on demographic factors such as age and civil status. The findings revealed that the respondents generally possess a very high level of financial knowledge, behavior, attitude, and practices. There was a significant relationship between the respondents' knowledge, behavior, and attitude, and their financial practices. However, differences in knowledge were observed based on age and civil status, while behavior and attitude showed no significant differences when grouped by these factors. The study recommends that teachers pursue advanced degrees and certifications to enhance their career prospects and remain competitive in the evolving educational landscape. These qualifications can help them improve their financial literacy and, in turn, their financial stability and career advancement.

Financial management audits for school quality improvement in Indonesia: A comprehensive literature review

The purpose of this study is to examine financial management audits of educational institutions to improve the quality of schools in Indonesia. This literature review involves several key steps: identifying and narrowing the research topic; searching for relevant literature sources including books, articles, journals, and other documents; reading and understanding the contents of these sources; compiling and analysing the collected data; and finally, drawing conclusions from the research. This study's findings underscore the critical importance of financial audits for educational institutions in ensuring compliance with laws and regulations, enhancing transparency and accountability, boosting the efficiency and effectiveness of financial management, preventing fraud, and securing the sustainability of these institutions. Financial audits serve a crucial role in the improvement of educational quality in Indonesia by fostering accountability and transparency in budget usage. Regular audits require institutions to meticulously account for financial transactions, mitigate the risk of fund misuse, and promote effective fund allocation. This suggests that bolstering financial audit practices in Indonesian educational institutions can significantly elevate educational standards.

Financial Technologies Impact on Higher Education Institution Budgeting and Financial Planning

This study investigates the impact of financial technologies on the budgeting and financial planning practices of private Higher Education Institutions (HEIs). The primary objectives are to identify the most adopted financial technologies, evaluate the extent of cash flow management practices, and assess the implementation of digital payment systems. Comparative research design was utilized in the study to determine the differences in perception between teaching staff (N = 50) and non-teaching staff (N = 50) regarding these technologies. Data were collected through surveys and analyzed to determine the levels of adoption and effectiveness of various financial technologies. The findings reveal that digital payment systems are the most widely adopted, followed by Oracle Financials and Enterprise Resource Planning (ERP) systems. HEIs demonstrate strong practices in revenue diversification, strategic budgeting, cost control, and financial reserve management. However, concerns about the accuracy of financial reporting indicate a need for improvement. Significant differences in perceptions and attitudes towards financial technologies were found between teaching and non- teaching staff, highlighting the necessity for targeted interventions. Based on these findings, a comprehensive financial technology plan is proposed, focusing on enhancing perceived use, improving ease of use, fostering positive attitudes, and increasing actual usage of financial technologies. The plan includes specific actions, responsibilities, and timelines to ensure effective implementation. This research underscores the importance of continuous investment in financial technologies and strategic planning to enhance financial management practices in HEIs. By addressing the identified gaps and leveraging existing strengths, institutions can achieve greater efficiency, accuracy, and innovation in their financial operations, ultimately leading to improved financial stability and performance. Keywords: Financial Technology, HEIs, Financial Planning, Budgeting

Financial inclusion and Financial Performance: The interplay role of capital adequacy requirements in Egyptian Banks

PurposeFinancial inclusion aims to provide affordable financial services, including banking, loans, equity, and insurance products, to underserved populations. This study aims to examine the moderating effect of a bank’s capital adequacy ratio (CAR) on the nexus between financial inclusion (FI) and a bank’s financial performance (FP) in the Egyptian setting.Design/methodology/approachThe study uses two empirical linear mixed models (LMM) to test the moderation effect of a bank’s CAR on the association between FI and FP. The study sample comprises 360 bank quarter-observations of 10 listed banks in the Egyptian Stock Exchange (EGX) from 2013 to 2021.FindingsThe findings show that the bank’s CAR strengthens the association between FI dimensions, namely, deposit growth, loan growth, and the number of employees, and the bank’s FP with contradicted directions.Research limitations/implicationsThis study provides policymakers insights into the crucial role of complying with banking regulation, namely, the capital adequacy ratio (CAR) and expanding financial inclusion practices to enhance and improve the bank’s FP. Thus, encouraging more strategies and facilities toward financial inclusion.Originality/valueDue to the scarcity of financial inclusion literature in emerging economies, this paper extends FI literature by highlighting the moderation impact of a bank’s CAR on the relationship between FI dimensions and FP in the Egyptian banking sector. Consequently, this study clarifies this beneficial relationship, which may have significant implications for restoring the challenges faced by the Egyptian economy following the critical events it went through, which, in turn, impacted the country’s poor and vulnerable.

AI-enabled FinTech for innovative sustainability: promoting organizational sustainability practices in digital accounting and finance

Purpose The purpose of this study is to delve into the intricate terrain of assimilating sustainability practices into digital accounting and finance, centring on the transformative dynamics introduced by artificial intelligence (AI)-enabled FinTech. The primary objective is to scrutinize critical lacunae in existing literature, exploring how organizations can meticulously construct comprehensive sustainability frameworks. Simultaneously, the study investigates the protracted repercussions of AI-enabled FinTech on the enduring sustainability paradigms. Design/methodology/approach Executing a systematic literature review, the research engaged in the meticulous identification and assessment of a voluminous pool of 1,158 articles. Using a judicious two-phase strategy, the scrutiny distilled a mere 64 pertinent articles, subjecting them to rigorous evaluation encompassing methodologies, contributions and overall quality. The Fuzzy Delphi method was used to elicit expert opinions and facilitate consensus-building, leveraging fuzzy logic to accommodate uncertainties in the data. Findings The review navigates the convoluted impact of AI across diverse sectors, accentuating its transformative imprint on realms such as health care, finance and transportation. Specifically, in the financial domain, the discerning eye of AI-enabled FinTech optimizes investment portfolios, augments risk assessment, propels financial inclusion and streamlines the intricate landscape of sustainability reporting. The study meticulously pinpoints research gaps encompassing investment optimization, risk management, financial inclusion, sustainability reporting and ethical considerations within the intricate milieu of AI-enabled FinTech. This research contributes to the existing body of knowledge by synthesizing intricate thematic strands, discerning overarching trends and spotlighting critical voids in the synthesis of sustainability practices and AI-enabled FinTech. The findings resonate with far-reaching implications, emphasizing the exigency of comprehensive investigations into the longitudinal sustainability ramifications instigated by AI-enabled FinTech. Originality/value The study underscores the imperative of crafting robust ethical frameworks for the equitable and transparent deployment of AI solutions within the intricate landscape of FinTech. Moreover, this research stands poised to shape organizational strategies, inform regulatory frameworks and guide investment decisions, thereby catalyzing the cultivation of conscientious and sustainable financial practices.

Analysis of Village Financial Management Based on Permendagri Number 20 of 2018 (Case Study in Wongkai Village, Ratahan Timur Subdistrict)

According to the Regulation of the Minister of Home Affairs Number 20 of 2018, one of the stages of receiving, storing, depositing/paying, administration, and accountability of village finances is village financial management. The purpose of this study was to determine whether the financial management practices of Wongkai Village, Ratahan Timur Subdistrict, are in accordance with the Regulation of the Minister of Home Affairs Number 20 of 2018. This research uses a qualitative descriptive analysis method that refers to previous findings. notes and discussions. The research findings show that the stages of providing financial assistance to villages are fully in accordance with the Ministry of Home Affairs Regulation Number 20 of 2018. There are still obstacles in administration, accountability, depositing, and receiving village funds.

Unveiling the terrain of non-bank Islamic personal financing: current practices, challenges, and future prospects

Purpose This study aims to investigate the current practices among selected non-bank financial institutions (NBFIs) in Malaysia in offering Islamic personal financing and the multiple challenges faced by them. Design/methodology/approach The qualitative research methodology was used, and primary data was collected using semi-structured interviews with 10 respondents consisting of NBFIs’ representatives and Shariah advisors. Findings Most Islamic personal financing practice is based on tawarruq. Among the major challenges faced by NBFIs are the absence of a comprehensive legal framework, Shariah non-compliance risks, cost, human resources and risk management. Recommendations include establishing a proper legal framework and Shariah governance. The study also recommends centralising at the regulatory level aspects such as training, commodity murabahah system and the department performing the Shariah advisory and control functions. Research limitations/implications Online interviews were conducted during the early wave of the COVID-19 pandemic in 2020 with a limited number of respondents due to people’s hesitancy to participate during the pandemic. Practical implications The findings will guide regulators and industry players concerning the challenges that must be addressed and the recommendations that can be considered in ensuring complete adherence to Shariah principles for the offering of personal financing. Eventually, Muslim society in need of cash will benefit from the broader choice of Shariah-compliant personal financing. Social implications The research highlights the weaknesses of self-regulation in guaranteeing Shariah compliance and the need for regulatory intervention. Originality/value This is a pioneering empirical study that investigated the offering of Islamic personal financing among NBFIs in Malaysia, the challenges and the way forward.

Optimizing financial performance: The interplay between financial management and accounting information systems in Yemeni SMEs

This study aims to explore the moderating effect of accounting information systems (AIS) on the relationship between financial management (FM) and its dimensions (working capital management, financial reporting, and non-current asset management) on the financial performance (FP) of small and medium enterprises in the Republic of Yemen. The study used a quantitative model approach, with data collected via a cross-sectional questionnaire to evaluate the connections within the proposed model. The data was collected from a sample of 287 individuals from SMEs according to the cluster method and analyzed with structural equation modeling (SEM) using SmartPLS software. The results revealed that financial management (non-current asset management and financial reporting) positively and significantly affects financial performance. On the contrary, there is no effect of working capital management on financial performance. More importantly, accounting information systems do not moderate the relationship between financial management and financial performance. The results of the study provide theoretical and practical implications for SME managers on how financial management dimensions and accounting information systems work together to enhance the level of financial performance in SMEs. The interaction between financial management practices and accounting information systems can empower SMEs to make more informed financial decisions. By leveraging this interaction effectively, businesses can optimize resource allocation, investment strategies, and risk management processes.

FINANCIAL BEHAVIOR WITH A CASE-BASED APPROACH AND TECHNOLOGY ADAPTATION AT KBTK STAR KIDS

The study reveals that KBTK Star Kids has successfully digitized its financial transactions using Microsoft Excel for financial reporting and Android-based accounting apps installed on mobile devices. Financial records are carefully separated between personal and business accounts to streamline financial management. Additionally, the adaptation of advanced technology at KBTK Star Kids aims to enhance early childhood education by providing interactive, productive, and enjoyable learning experiences. Information and Communication Technology (ICT), combining hardware and software, is increasingly influential in education. KBTK Star Kids' effective use of ICT is crucial for its global competitiveness and performance improvement, reflecting its ability to modernize and integrate technology in both financial management and educational practices.

Ownership of Cash Value Life Insurance among Rural Households: Utilization of Machine Learning Algorithms to Find Predictors

This study examines the determinants of life insurance ownership with a focus on rural areas and farming households in the United States. Utilizing data from online surveys conducted in 2019 and 2021, this paper explores how psychological factors, financial knowledge, and household characteristics influence life insurance ownership. Traditional indicators like wealth, income, and age were evaluated alongside less frequently discussed variables such as farm loans and rural residency. Machine learning techniques, including neural networks, Support Vector Machine modeling, Gradient Boosting, and logistic regression, were employed to identify the most robust predictors of life insurance demand. The findings reveal that farming-associated factors, particularly holding a farm loan and living in a farming household, significantly predict life insurance ownership. The study also highlights the complexity of life insurance demand, showing that financial education and management practices are critical determinants. This research underscores the need for tailored financial risk management strategies for rural and farming households and contributes to a nuanced understanding of life insurance demand in varying contexts.