After regarding the financial statements, what is the real worth of the company? To answer this, one needs to get an idea about the underlying value of the business.
This type of understanding from management requires more than simple bookkeeping or calculation of profits and use of resources. Financial management concerns itself with additional value such as what the firm has actually created and built up in the business.
Two very important management theorists who have proposed modern thought which is discussed openly today include the following:
He proposed management by objectives as a way of using goals to modify decision-making and way to encourage managers at all levels to create business value.