Financial planning is the planning of financial resources for a particular company. The object of such planning is financial resources. Financial planning is a complex process that takes place in several stages.
In fact, financial planning is reduced to work on the formation of a specific action plan within a certain period. On the basis of such plans, the activities of specialists, as well as structural divisions of the enterprise, are built. Operational plans can be in the form of schedules or network plans.
The technology of financial planning of activities takes place in several stages. The first stage is called organizational and preparatory. At this stage, organizational and methodological prerequisites are created for subsequent planned activities and important issues are being resolved. To begin with, the responsible developers of the financial plan are determined, as well as the timing of its development and approval. After that, a meeting of all participants in the process is held, the goals and objectives of planning are specified. Also, participants are provided with all the information necessary for drawing up a financial plan.
An equally important stage in financial planning is the development of a plan. At this stage, the goals and objectives set for the organization are being edited. Then it becomes necessary to choose the form and structure of the plan. Moreover, the structure of the plan should correspond to the tasks of a particular organization. In order to determine what will be the methods of activity will need to take into account all the possibilities of the organization. An important issue is the setting of the timing of the events within the framework of the drawn up plan. To resolve this issue, you should use the calendar form of the working document. Using a calendar form will help to avoid any overlaps. After the deadlines have been determined, the further execution of the draft plan is carried out in accordance with the requirements of a particular enterprise.
At the third stage, the financial plan is agreed with all stakeholders and approved. It is known that financial planning occurs at several levels. Typically, at the strategic level, the company's management is engaged in the development of long-term goals and main directions of financial activities. At the tactical level, it is necessary to concretize the main goals and objectives in the area of the adopted strategies.
The basis of financial planning in any organization can be considered operational planning, which establishes a list of specific actions.
