The Role of Financial Management in Overcoming Budget Efficiency

Abstract

Financial management is one of the important aspects in managing an organization, both in the public and private sectors. In the context of the budget, financial management acts as a tool for planning, organizing, leading, and controlling financial resources in order to achieve organizational goals efficiently and effectively. Budget efficiency In the context of budget management, innovation is also the key to achieving efficiency. Organizations need to continue to find new ways to improve the efficiency of budget use, such as through the application of new technologies, the development of more efficient products and services, or collaboration with other parties. An example of a case that can be used as a reference is the implementation of digital solutions in budget management in the public sector carried out by the Surabaya City Government, which succeeded in increasing budget efficiency by 20% in one year.