STRATEGIC FINANCIAL PROJECT

Strategic Financial Project

Table of Contents
TITLE: ............................................................................................................................................1
INTRODUCTION...........................................................................................................................1
Overview of the Project..........................................................................................................1
Background of the Research...................................................................................................2
Significance of Research........................................................................................................2
Purpose of this Research........................................................................................................3
Research Aim.........................................................................................................................3
Research Objectives ..............................................................................................................3
Research Questions................................................................................................................3
LITERATURE REVIEW................................................................................................................4
Concept of strategic financial management...........................................................................4
Importance of strategic financial management in banking sector especially ABC Bank Plc 5
Use of strategic financial management in order to measure the performance of ABC Bank Plc
................................................................................................................................................5
RESEARCH METHODOLOGY.....................................................................................................6
Research Design.....................................................................................................................6
Research philosophy...............................................................................................................7
Research Approach ................................................................................................................7
Method of Data Collection ....................................................................................................8
Data Analysis .........................................................................................................................8
Ethical Consideration ............................................................................................................9
REFERENCES .............................................................................................................................11
APPENDIX ...................................................................................................................................12

TITLE:
To analyse the significance of strategic financial management in measuring the
performance of the banking sector. A case study on "ABC Bank plc".
INTRODUCTION
Overview of the Project
Strategic financial management is considered as a study of finance with a long term view
which considers the strategic goals of any financial institution or agencies. Understanding of
bank financial management is helpful in order to determine effectiveness of banking operations.
It evaluates, whether the bank is performing to an acceptable level. It can be done in a systematic
way for the entire banking industries. It might be done temporarily or for a particular aim so that
overall growth and profitability of banks can be enhanced in near future (Finnerty, 2013).
Strategic financial management tools are effective in strengthen the company and creates value
in developing the performance of firm in appropriate manner. Strategic financial management
has involve various tools like reporting/ analytics, cash positions management, accelerate
receivables, control payables, manage expenses etc. these tools are effective in measuring the
performance of banking sector in appropriate way. Strategic financial management includes
precise analysis of an organisation's business objectives, goals, determining and quantifying its
available or significant resources and devising a plan for utilising finance and other capital
resources to attain its targets. Due to industry pressures, many banks are having to stretch
themselves into market sectors. Strategic management in banking plan provides senior bankers
and board members with wide range of opportunities to reassess and explore the upcoming
banking developments. The banking industry is generally considered as an old industry and it is
one of the essential factor behind the growth and development of countries economy. Due to the
contribution of banking industry which is provided to the societies or countries. ABC Bank Plc is
the chosen organisation for this particular report. It is an international bank which provides
various financial products and services in the country of United Kingdom and internationally.
The major focused area of firm is towards attaining higher growth and profitability through
managing the financial as well as other resource of firm in appropriate manner. Resources are
the key element of any business organisation as the financial and the other resources are required
to be mentioned in respect to attaining the targeted objectives of the firm. It is necessary for
banking industry to maintain its finance and capital in order to conduct long term business
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operations which are beneficial for growth and development of firm. The present research is
based on the analysis of significance of strategic financial management in measuring the
performance of banking sector (Kerzner, 2011). In this report, importance of strategic financial
management and its influence on the performance of the firm will also be discussed.
Background of the Research
In this particular research, an analysis of modern banking in a competitive environment is
provided. Modern banking operations involves dynamic strategic planning in which a clear
mission is mentioned and this is significantly connected with profitability of firm. Different
strategies are created and certain objectives and goals are placed in a systematic way as to
assisting the operations of firm in right direction (David, 2011). ABC Bank Plc is an
international bank and its headquarter is in Manama, Kingdom of Bahrain. The network of the
company spreads around five continents which covers the middle East, North Africa, Europe, the
Americas and Asia. ABC Bank Plc is founded in year of 1980 and it is listed on the Bahrain
Bourse and our major shareholders are the Central Bank of Libya and Kuwait Investment
Authority. The company provides trade finance solutions comprising contract bonding,
documentary letters of credit, specialized documentary, commodity finance, ECA financing,
private insurance backed products, Islamic finance, receivables financing, and forfeiting; and
project and structured finance advisory services to clients in the oil and gas, power and water,
petrochemicals, mining and metals, telecommunications, infrastructure, shipping, and aviation
sector. The ABC Bank Plc is concerned on providing effective financial products and services to
their significant customers in respect to sustain them for long run of business operations. The
company is significantly focused on using strategic financial management tool in respect to
maintaining the resource of firm so that growth can be attained in effective manner.
Significance of Research
This research is conducted to provide a better understanding on the concept of strategic
financial management and its impact on the performance of banking sector. This research work
will help readers and scholars to ascertain the importance of this method with the context of
banking segment of financial services sector. This research will play a pivotal role for future
researchers as they wont need to conduct any market research and can analyse various results by
considering this research report (Bryce, 2017). This research can help scholars engaged in the
study of finance and the professionals engaged in management of banking company. In this
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report, ABC Bank Plc has been analysed which can assist professionals working in banking
segment. With the help of this research, researcher will be able to gain knowledge and
understanding about the topic and will be able to convey all aspects of this topic. Management of
ABC Bank will also be benefited as they can ascertain their problems areas and ways by which
strategic financial management can increase their financial performance. Importance related to
the topic of strategic financial management includes identification of ability of measuring
financial power of an organisation.
Purpose of this Research
The reason behind conducting this research is to understand the concept of strategic
financial management and its significance in banking sector especially in ABC Bank Plc. The
major purpose of this research is to overcome with the issues related with previous research of
same area. The main focus of this report is banking segment of financial services (Resch, 2011).
Research Aim
This is the most fundamental element of a research project as it provides an appropriate
direction to the researcher or investigator about the topic. The major aim of this research is “ To
analyse the significance of strategic financial management in measuring the performance of the
banking sector”. A case study on ABC Bank Plc.
Research Objectives
Research objectives for this investigation are mentioned below:
 To identify the concept of strategic financial management.
 To determine the importance of strategic financial management in banking sector
especially ABC Bank Plc.
 To evaluate the strategic financial management tools which helps in measuring the
performance of ABC Bank Plc.
Research Questions
Questions for this specific research are portrayed below:
 What is the concept of strategic financial management?
 What is the importance of strategic financial management in banking sector especially
ABC Bank Plc?
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