Financial Literacy of Managers in Serbian Health Care Organizations as a Path to Sustainability

Abstract

Adequate financial management is of great importance to the health care system. In the contemporary state of affairs, health care is facing numerous limitations due to drastic costs and growing pressures to provide quality health care. In such appalling conditions, the managers of health organizations must build skills and knowledge that go beyond the comfort zone of their clinical competencies. It is necessary to develop their leadership skills. Bearing in mind the importance of financial competencies, the general aim of this paper is to determine the competencies of the managers of Serbian health institutions (private and public sector) in this area. Insufficient attention has been given to how health care organizations’ financial literacy affects their sustainability. For the purpose of this prospective research, a questionnaire was created that surveyed the managers of various health care institutions. The results of this study indicated that managers of health organizations have a relatively modest level of financial knowledge. However, they participate in financial activities to a large extent. This gap between the function they perform and the knowledge they have can potentially harm the well-being of the health care organizations they lead. Managers of organizations in the public sector showed a more active role in the development of business plans and more frequent independent decision making, while managers of organizations in the private sector gave more importance to financial control, negotiation, and internal financial reporting, for the improvement of the management process.

The importance of net working capital in the hotel companies’ liquidity assessment

“…Further, the existence of a statistically significant difference in the level of liquidity between hotel companies of different legal forms during 2019 and 2020 was not identified (Table 4). Adequate financial literacy of managers who make decisions on asset financing is particularly important when it comes to maintaining the financial sustainability of the company and efficient management of the company's performance (Gačić et al, 2023;Resimić et al, 2022), and within that also for monitoring trends of net working capital. Valid financial information is necessary for quality business decision-making (Knežević et al, 2012), among other things, in the domain of short-term financial security.…”

Financial Literacy and its Determinants: A Case of Professionals in Colombo District Sri Lanka

“…Though it might be the general norm that professionals are financially literate, Anderson et al (2017) observed that it is surprising to see professionals in the United States including chief financial officers, chief executive officers, and chief operating officers perform poorly to the given financial literacy question. Gačić et al (2023) stated that financial competency among the managers in Serbian healthcare institutions is relatively at a modest level. However, they engage in more financial activities.…”

“…Hence it is a disruption to Economic empowerment. Gačić et al (2023) state that financial competency among the managers in Serbian healthcare institutions is relatively at a modest level. However, they engage in financial activities at large.…”

The Moderating Effect of Universities on the Relationship Between Leadership and Successful new Venture Creation

“…Universities can also promote team-building skills by encouraging students to partake in entrepreneurial extracurricular activities and clubs (Tinkov, Tinkova, Babenko, Demina, & Fomicheva, 2023). These groups provide students with opportunities to network, collaborate, and learn from one another, which can assist them in forming solid relationships and cohesive teams when they launch their ventures (Gačić, Milojević, Knežević, & Adamović, 2023).…”