Sangeen Muhammad M. Phil (Education)

1. FINANCIAL MANAGEMENT,
SCHOOL LEADERSHIP,
SIMILARITIES AND
DISSIMILARTIES
Sangeen Muhammad
M.Phil Education
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2. Agenda
 What is finance?
 What is management?
 Financial Management
 Financial Management in Education
 What is Leadership?
 Styles of leadership
 About leader
 Leader vs Manager
 School Leadership
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3. Agenda
 Principles of School Leadership
 Levels of School Leadership
 School Head as Educational Leader
 School Based Management Dimension of Leadership
 Similarities between Leadership and Management
 Dis-similarities between Leadership and Management
 Suggestions for efficient finance Management
 Suggestions for good leadership
 Conclusion
 Q/A
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4. Finance
 Finance is:
 Management of money and includes activities like:
 investing, borrowing, lending, budgeting, saving, and forecasting.
 Types of finance:
(1) Personal
The process of planning and managing personal financial activities
(2) Corporate
Deals with the capital structure of a corporation including its funding
and the actions management take to increase the value of the company.
(3) Public/government
The management of a country’s revenue, expenditures, and debt load
through various government and quasi-government institutions.
(Cooperate Financial Institute, Canada)
 Financial
 Any thing related to finance
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5. What is management?
“ Management is the coordination and
organization of different activities of a
business process in order to achieve
the vision and mission of an
organization”
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6. Financial Management
 It is the process of:
 Planning,
 Organizing,
 Controlling
 and monitoring financial resources
 with a view to achieve personal or organizational goals and
objectives.
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7. Financial Management
“A requirement of managers to take responsibility for the actions and
achievements in exchange for greater managerial preference over
their
inputs. Thus, managers have to take responsibility for their
performance.”
Erasmus L J; (2008); Assessing Financial Performance in
the South African Public Service: Journal of Public
Administration; Vol 43; 401 413
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8. Financial Management
“The objective of financial management in the public sector is to
support management in the allocation of limited resources with
the purpose of ensuring economy and efficiency (and
effectiveness) in the delivery of outputs required to achieve
desired outcomes that will serve the needs of the community
(school)”
Van Wyk H A; (2004); Perspectives of Effective Financial
Management in the Public Sector: Journal of
Public Administration; Vol 39; 411-9
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9. Financial Management
 Financial Management is concerned with:
 Budgeting
 Financial forecasting
 Cash Management
 Investment Analysis
 Funds Management
 So on
Financial Management
By Khan & Jain
5th Edition
The McGraw-Hill Education
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10. “Financial management is fundamental to the
improvement of the efficient and effective use
of finances in Education”
The effectiveness of financial management in schools
Mpolokeng, Tlale Essau
Thesis (M. Ed.) - Central University of Technology, Free
State, Bloemfontein, South Africa 2011
Financial Management in Education
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11. Financial Management in Education
“It is essential that the (school) principal makes sure that
she / he has the knowledge and understanding of the basic
processes involved in managing the school's accounts, the
budgeting process and the systems and controls that are
necessary to ensure that the school's monies (cash) are
not misappropriated.”
Clarke A; (2008); Handbook of School Management; Cape Town;
MacMillan
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12. Financial Management in Education
“The management of school finances can be one of the most
challenging of principals responsibilities, because for many it is
an area in which they have little or no training or expertise. It is
also likely that the elected members of the (school) governing
body may be equally ill equipped for the task [Clark A; (2008;
278)].”
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13. Financial Management in Education
“One of the main purposes of the schools financial policy is to put
in place a system of controls (checks and balances) to ensure
that the schools finances are safeguarded and correctly
managed.
Clarke A; (2008); Handbook of School Management;
Cape Town; MacMillan
Policy as a statement of intent, decisions, courses of action and / or resource allocation designed to
achieve a particular goal or resolve a particular problem.
Kallaway P; et al; (1997); Education After Apartheid: South
African Education in Transition; Cape Town; UCT
Press
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14. Financial Management in Education
includes:
 Cash Management: Which includes but is not limited to: safe storage of cash; daily
banking of monies received; proper accounting records; financial transactions supported by source
documents & monthly reconciliation of the cash book with the bank statement
 Internal Controls : Includes internal checks (checking of one persons work by another);
segregation of duties; internal audits; functioning finance committees; establishment of audit
committees
 Audit trails: The ability to check every stage of any transaction. If the school uses a computer
program for its finances, then records must be backed-up daily
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15. Financial Management in Education
includes:
 Asset Management includes: Safe guarding of Assets; Annual Stock Takes; Board of
Survey and if necessary Board of Enquiry
 Reporting must include as a minimum requirement: Monthly Budget
Variance; Monthly Income and Expenditure, Quarterly Income and Expenditure AND Budget Variance
to the Education District Office; Audited Annual Financial Statements to the Provincial Head Office
Clarke A; (2008); Handbook of School
Management; Cape Town; MacMillan
Mestry R (2004); The Functions of School
Governing Bodies in Managing School
Finances; South African Journal of
Education; Vol 24; 126 - 132
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16. What is LEADERSHIP?
Definition 1
“The process through which
leaders influence the values,
behavior and attitude of others”
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17. What is LEADERSHIP?
Definition 2
“The leadership can be defined as an
ability, activity or methods to lead a group
of people towards a goal or to a particular
position where the achievement of final
result can be attainable”
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18. Different leadership styles
Leadershi
p Styles
Democrati
c
Autocratic
Transform
ational
Bureaucrat
ic
Autocratic leadership, also known as authoritarian leadership, is
a leadership style characterized by individual control over all
decisions and little input from group members. Autocratic leaders
typically make choices based on their ideas and judgments and
rarely accept advice from followers.
Also known as Participative
Leadership, Responsibility is
shared among all members of staff
with the leader present to offer
guidance and keep discussions
balanced and controlled.
Bureaucratic leadership is leadership
based upon fixed official duties under a
hierarchy of authority, applying a
system of rules for management and
Style of leadership in which the leader
identifies the needed change, creates a vision
to guide the change through inspiration, and
executes the change with the commitment of
the members of the group.
Influence of leadership behaviors and attitudes on innovativeness' of employees. Author:
Malou Oude Luttikhuis University of Twente Netherlands
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19. About Leaders
 Leadership qualities can either be innate or can
also be acquired.
 A leader motivates the team members to perform
well.
 A leader also motivates the members in case of
failure.
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20. Manger VS Leader
A Manger
is someone who:
• Plans and budgets;
• Organizes and allocates
resources
• Controls and solves problems
A Leader
is someone who:
• Shows a direction
• Aligns and influences
• Motivates and
inspires
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21. Manager VS Leader
Administers
Is a copy
Focuses on system
processes
Relies on control
Has a short range-view
Accepts the status-quo
Does things right
Innovates
Is an original
Focuses on people
Inspires trust
Has a long-term perspective
Challenges it
Does the right things
MANAGER LEADER
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22. Core values of a leader
Treating people fairly and giving equal
opportunities
Freedom for expression of thoughts and idea
Commitment towards work
Fairness
Commitm
ent
Freedom
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23. Manger VS Leader
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24. “Our success as managers depend on our positive
attitude towards changes. We must be the catalysts
who will not only accept changes and reforms but
also lead and manage these changes..”
Jesli A. Lapus
SCHOOL LEADERSHIP
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25.  Developing people (internal and external stakeholders)
 Setting directions for the organization(mission-vision)
and;
 Transforming the school into a more effective
organization that offers powerful teaching-learning for all
the students.
SCHOOL LEADERSHIP is…
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26. PRINCIPLES OF SCHOOL LEADERSHIP
1. Know all aspects of the job
2. Set accountable goals
3. Ensure that jobs are understood,
supervised and accomplished
4. Know all teachers and look after their
welfare
5. Keep every teacher informed
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27. PRINCIPLES OF SCHOOL LEADERSHIP
6. Develop responsibility among the teachers
and students
7. Set the example
8. Take responsibility
9. Make sound and timely decision
10. Develop team work
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28. School Leadership
“Effective school leadership drives
schools to succeed and fulfill their
mandate to serve the youth and
the nation”
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29. THE SCHOOL HEAD AS AN EDUCATIONAL
LEADER
1. Setting the vision, mission, goals and objective of the school;
2. Creating an environment within the school that is conducive to the
teaching and learning
3. Implementing the school curriculum and being accountable for the
higher learning outcomes;
4. Developing the school education program and school improvement
Plan;
5. Offering educational program, projects and services which provide
reasonable opportunity for all the learner in the community;
6. Introducing new and innovative modes of instruction to achieve
higher learning outcomes;
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30. THE SCHOOL HEAD AS AN EDUCATIONAL
LEADER
7. Administering and managing all personnel, physical and
financial resources of the school;
8. Recommending the staffing compliment of the school based
on its needs
9. Encouraging staff development;
10. Establishing school and community networking and active
participation;
11. Accepting donation, gifts, and grants for upgrading and
expanding competencies of the school facilitators, improving
and expanding school facilities and providing instructional
materials and equipment.
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31.  Level I (Standard)- refers to the basic qualities of leadership
that the SH should possess.
 Level II (Progressive)- step up the role of School Head SH in
mobilizing resources and maximizing the effort of the school to
achieve desire learning outcomes;
 Level III (Mature)- goes further by maximizing the efforts of the
school and the community/stakeholders to achieve higher
learning outcomes.
LEVELS OF SCHOOL LEADERSHIP
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32. School Based Management (SBM) Dimension:
SCHOOL LEADERSHIP
Level 1 (Standard) Level II (Progressive) Level III (Mature)
SH is designated SH performs greater
responsibilities in school
management
SH is fully accountable
stakeholders for school
performance
SH is trained on basic
competencies on
instructional leadership
SH exercises instructional
leadership and
management functions.
SH pursues continuing
professional development.
SH significantly influences
students learning
outcomes.
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33. School Based Management (SBM) Dimension:
SCHOOL LEADERSHIP
Level 1 (Standard) Level II (Progressive) Level III (Mature)
SH is trained on SBM responsibilities SH as a resource on SBM (acting as
mentor or coach)
SH promotes/shares SBM
experiences.
SH creates critical mass of SBM
champions
SH initiates:
 Organizing stakeholders
 Installing appropriate SBM
system ( budgeting and resource
management, Staffing,
performance monitoring and
reporting, bookkeeping
functions)
 SH cooperates with stakeholders
 SH manages SBM system
 SH devotes more attention to
instructional leadership and
supervision
 SH has effective working
relationship staff
 SH innovates and institutionalizes
continuous school improvement
process.
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34. Three Assumptions
 Leadership equals management.
 Leadership and management are not equal.
 Leadership and management are complementary.
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35. Similarities between Leadership and
Management
 Leadership and management both demand working with
people and it surrounds the people only.
 Leadership and management both create the foundation of
organization and functional structure.
 Leadership and management influence the work structure and
environment
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36. Similarities between Leadership and
Management
 Leadership and management are concerned with goal
achievement.
 Leadership and management’s main concern is to allocate the
available resources in such a way that they can be used
effectively and efficiently
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37. Dis-similarities between Leadership and
Management
Leadership Management
Leadership is a virtue of leading
people through encouraging
them
Management is a process of
managing the activities of the
organization
Leadership requires trust of
followers on his leader
Management, which needs
control of manager over its
subordinates
Leadership is a skill of
influencing others
Management is the quality of the
ruling
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38. Dis-similarities between Leadership and
Management
Leadership Management
Leadership demands
foresightedness of leader
Management has a short range
vision
Principles and guidelines are
established
Policies and procedures are
implemented
Leadership is Proactive Management is reactive in
nature
Leadership brings change Management brings stability
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39. Suggestions for efficient finance
management
 Get into an end-of-month routine
 Use software specifically for the education sector
 Tailor your financial reports
 Contact Experts (Expert opinion)
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40. Suggestions for good leadership
 Attend Activities
 Be Accessible
 Be Poised
 Be Positive
 Formulate a Vision
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41. Suggestions for good leadership
 Communicate Effectively
 Never Stop Learning
 Be Forthright
 Train Future Leaders
 Listen
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42. Conclusion
 Leadership and Management are inseparable in nature, if there is
leadership, there is management.
 Qualities of a manager require leadership skills to inspire his
subordinate
 In an organization, you can see both management and leadership
 Many times managers play the role of a leader too, at the demand
of the organization.
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43. Conclusion
 So they both go side by side as a complement to each other
 An organization needs both for its growth and survival
 Management is all about the arrangement and maintenance
 leadership is about persuading people in a positive direction for
digging out talent in them
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44. Thanks
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