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Research Paper | Management | Kenya | Volume 6 Issue 5, May 2017
Effect of Budgetary Control on Financial Management in Stima Savings and Credit Cooperative Society, Kenya
Mwangi T. Wairimu | Wekesa M. Wanjala
Abstract: There were hitherto hardly any documented empirical evidence on how budgetary control influences financial performance of Saccos. In this regard, this study was necessitated to address this knowledge gap. The study evaluated the effect of budgetary control on financial management in Stima Sacco Society, Kenya. It examined how cost control influenced financial management in the Sacco. This study adopted descriptive survey research design. The employees working with the Stima Sacco Society in Kenya constituted the target population. Stratified random sampling method was adopted to draw the 59 sampled respondents from the study population. A structured questionnaire was employed to collect data. A pilot study was carried out prior to conducting the main study in order to determine both the validity and reliability of the research questionnaire. The Statistical Package for Social Sciences Version 24 software facilitated data analysis. Data analysis was in form of both descriptive and inferential statistics. Descriptive statistics took the form of frequencies, percentages, means and standard deviations. Inferential statistics were in the form of correlation and regression analyses. The results of the analyses were presented in form of tables. The study revealed that the relationship between cost control and financial management was statistically significant. It was concluded that unlike cost control was very important in management of finances at the Sacco. It is recommended that the Stima Sacco Society should ensure that effective measures are taken so that as the Stima Sacco Society purposes to increase its revenue, all forms of costs are minimized.
Keywords: Budgetary control, cost control, financial management, Saccos, Stima Sacco
Edition: Volume 6 Issue 5, May 2017,
Pages: 1993 - 1999