Difference between Project Management and Financial Management
1. Project Management :
Project management, as name suggest, is simply management that is employed in project to maintain its activities from project initiation till its termination and meet organizational goal.
2. Financial Management :
Financial Management, as name suggests, is simply management that focuses on management of financial operations and resources that in turn increase profit and achieve objective of organization as soon as possible in satisfactory manner.
Difference between Project Management and Financial Management :
|Project Management||Financial Management|
|It mainly focuses on management of project planning and its completion.||It mainly focuses on management of financial operations of organization.|
|It is a temporary management process i.e. one time activity.||It is a permanent management process i.e. an ongoing process.|
|Project manager have more responsibilities than financial manager.||Financial manager have less responsibilities than project manager.|
|Factors affecting project management includes project manager, organizational culture, no expertise, no clear objective or goal, etc.||Factors affecting financial management includes savings and investments, financial goals, provision of emergencies, financial potential, etc.|
|Process of this management includes project initiation, project planning, project execution, checking performance controlling activities, and at last terminating project.||Process of this management includes planning, organizing, controlling, and monitoring financial resources to achieve goal and objective of organization.|
|Its benefits include increase customer satisfaction, reduce risk of failure, improve performance, maintain time and budget, etc.||Its benefits include cost control and profit planning, cash flow management, tactical planning and cost management, preparation and execution of budget, etc.|
|Its main objective is to lead working team to achieve goals and fulfill requirements of customer.||Its main objectives is to maintain financial department i.e. maintain cash flow of organization or company.|
|Type of project management includes PRINCE2 project management, Kanban project management, Six sigma project management, etc.||Types of Financial Management include Treasury and capital budget management, working capital management, insurance and risk management, etc.|
|Project management is more difficult than financial management.||Financial Management is less difficult than project management.|
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