The Role of Financial Control in the Socio-Economic Development of

Nigeria

By

Dr. Kabir Tahir Hamid, B.Sc., M.Sc., PhD., MBA, MBEN, ATMFA,
CPA, FIFC
Department of Accounting
Bayero University, Kano-Nigeria
GSM: 08028376563, 08168743809
Email: khtahir2004@yahoo.com

Being a Paper Presented at the Induction Training of the Associate

Members of the Institute of Finance and Control of Nigeria (IFCN),
with the Theme “Bridging the knowledge-Gap in the Practice of
Finance and Control in Nigeria in the 21st Century”,
Held at Lagos, on Saturday 9th July, 2011.
1.0 INTRODUCTION
Every organization, whether public or private, is established with a view to attaining
certain specific objectives. Unlike the private sector which aims at profit, the public
sector and not-for-profit organizations aims at the provision of services, which will
improve the general well being of the citizenry. For every organization or government
to achieve its objectives, as well as, enhance the socio-economic development of its
country, it needs to source finance economically and utilize it efficiently and
effectively. Finance, therefore, is the lifeblood that permeates the anatomy and
physiological fibers of all institutions, be it private or public. Finance and financial
control actually dictates the socio-economic developmental trends of a nation and the
quality of lives of the citizenry.

Finance refers to the science of funds management, involving the acquisition and
disbursement of funds. While financial control refers to the process which assures that
financial resources are obtained economically and used efficiently and effectively in the
accomplishment of desired goals, leading to the overall economic growth and
development of a country.

Even though finance is an essential prerequisite for effective functioning of every

organization, it may be incapable of accelerating the pace of economic growth and
development, as well as, improve the general wellbeing of the citizenry, without
effective financial control. In other words, no matter the quantum of financial resources
in hands of organizations, the desired objectives may not be achieve if control is not
instituted to ensure that the money is used economically, effectively and efficiently
(Hamid and Dambatta, 2003).

Effective financial control system is particularly essential in Nigeria in view of the

persistent lack of efficiency and effectiveness that characterized financial activities in
both the public and private sectors of the economy, resulting in corruption, which may
be defined as the misuse of public or private office for personal gain. A good financial
control system, both at the public and private sector will, therefore, help to ensure
2
adequate and sustained provision of social goods and services, enhance public and
corporate performance, create more job opportunities, provide the necessary social
capital to support entrepreneurial development, sustains the provision of uninterrupted
water and power supplies, provide educational facilities to enhance the quality of
education, improves sanitary conditions and health facilities, meaningfully engage the
restless youths in productive activities and generally improves the overall wellbeing of
the citizenry.

Even though, corruption is a universal phenomenon, it has for long enjoyed great
legitimacy in Nigeria, and has completely undermined financial control system and the
socio-economic development of the Nation. The emergence of “windfall gains” to the
government from petroleum right from the 1970s to date ought to have been converted
into social, physical and economic infrastructural investment, with a view to providing
a conducive business operating environment, as well as, enhance the socio-economic
development of Nigeria. For example, one could vividly see what effective financial
control has done in the UAE and other OPEC countries, where excess earnings from
crude oil over the years were used to create a conducive business operating
environment, as well, as transformed their countries into international trade centres,
resulting to the socio-economic development of their countries. Sequel to the near
collapse of financial control in the Nigerian public sector over the years, Oladele (2007)
contends that the series of development plans after political independence, namely the
1962–68 First National Development plan, 1970–74 Second National Development
plan, and the 1975 – 1980 Third National Development plan, merely translated to
further underdevelopment, unemployment, waste and primitive accumulation of public
wealth in the country.

As with nations, effective financial control matters profoundly in the success of

individual business enterprises. An examination of business entities that have sustained
success over long periods reveals boards that instituted effective financial control in
governing the affairs of their of their business enterprises. Likewise, with businesses
that have performed poorly (in terms of profitability, improving shareholders value,
3
employment generation, corporate social responsibility), it is common place to track the
problems to boards that failed to institute effective financial control in the governance
of their enterprises. Regrettably, the level of financial control in the Nigerian private
sector has not been significantly different from what obtains in the public sector, as
financial activities were marked by wastages and abuses, as well as, inefficiencies and
extravagance. Incidences in the failed bank tribunal and the recent prosecutions of
corporate managers by the EFCC are clear testimony to this fact.

While there is a firm consensus that an effective financial control system is a

precondition for the efficient allocation and utilization of resources, as well as, the
achievement of a country's growth and development potentials, the economic literature
is less consensual on how and to what extent financial control affects socio-economic
development of a country. In Nigeria, however, a number of studies have established
that there is a significant positive relationship between financial control on one hand,
and socio-economic development, on the other (Ogun, 1986; Ndebbio, 2004; Akinlo
and Akinlo, 2007; and Nzotta and Okereke, 2009).

The objective of this paper therefore is to discuss the concepts of financial control and
highlight its roles in the Nigeria’s socio-economic development. The rest of the paper is
organized in three sections. The next section, which is section two, deals with the
review of the literature on the concepts of financial control, socio-economic
development and Nigeria’s socio-economic development indices. Section three
identifies the roles of financial control (with reference to both the public and private
sector organizations) in the Nigeria’s socio-economic development. While section four
concludes the paper by proffering recommendations that are meant to enhance financial
control in both the public and private sectors of the Nigerian economy, with a view to
optimism rapid socio-economic development of the country, as well as, improve the
general wellbeing of the citizenry.

4
2.0 LITERATURE REVIEW
2.1 The Concept of Finance

Finance may be defined as the science of funds management, involving the acquisition
and disbursement of funds, which are carried out at business, personal or public levels.
It deals with revenue generation, borrowing and investments and how money is spent
and budgeted (Kurfi, 2003). Finance may be classified based on how it is source
(namely internal and external finance) or based on the duration of usage the acquirer is
entitled to (namely short term and long term finance). The external sources of finance
available to the private sector organizations include loans, overdrafts, shares and
debentures, grants from the government, leasing, hire-purchase, debt factoring, trade
credits and invoice discounting. Others are retained earnings, working capital and
disposal of fixed assets. While sources of finance available to the public include taxes,
fines, fees and rates, licences, earnings from sales, rent of government properties,
interest payment and repayment of loans, re-imbursements and statutory grant from the
federation account (Hamid, 2008).

The funds generated by the Government are used to finance various expenditure
programmes on recurrent and capital items. Recurrent expenditure is the type of
expenditure that happens repeatedly on daily, weekly or monthly basis, among which
are payments of pensions and salaries, administrative overheads, maintenance of
official vehicles, payment for electricity and telephone bills, water rate and insurance
premiums. While capital expenditure on the other hand refers to expenditure on capital
projects, like construction of houses, roads, schools, hospitals, human capital
development (expenditures on education and health), purchase of official vehicles,
construction of boreholes and electrification projects (Hamid, 2008).

2.2 The Concept of Financial Control

Control is a system built to maintain a desired state. Any control system should possess
a minimum of four elements, namely the detector, the selector, the effector and the
informer (Oshisami, 1994). The detector is a measuring device which captures what is

5
happening or the actual performance which is being controlled. The selector compares
the actual result against the standard/bench-mark or desired state, with a view to
establishing variance (if any). A variance may be defined as a mathematical deviation
of actual from the expected result. The effector alters the behaviour or performance if
the need arises with a view to conforming to the standard. Finally, the informer is an
information device, which sends information to and from these devices (Hamid and
Dambatta, 2003). These four elements should always be present in whatever system: be
it mechanical, natural or artificial. For example, an air-conditioner thermostat is a built-
in control system for an air-conditioner and has four elements. There is the
thermometer, i.e. the detector, which measures the current temperature (actual) in the
room. There is the thermostat, i.e. the selector, which compares the actual temperature
with the desired temperature (which is determined at the switch-on of the equipment). If
the room temperature reaches the predetermined standards, the compressor is turned off
(effector), and there are electrical circuits which convey information round these
elements. The system is automatic and it is called the informer.

Financial control, on the other hand, can be defined as the process which assures that
financial resources are obtained economically and used efficiently and effectively in the
accomplishment of desired goals (Oshisami, 1994). Economy emphasizes the need to
avoid waste of resources and the use of costly procedures. This implies that
expenditures are minimized in the process of achieving a set goal. Efficiency aims at
ensuring that the best result is achieved from the available resources, through proper
planning, organizing, utilizing and controlling of resources. This is otherwise known as
“doing things the right way”. While effectiveness, determines the extent to which set
targets for programmes or activities are actually achieved (Hamid and Dambatta, 2003).
This is otherwise known as “doing the right thing”. It should be noted however that,
while efficiency relates to utilization of resources, effectiveness relates to the
attainment of the desired objectives. Financial control may, therefore, be classified into
different categories, based on what aspect is to be controlled, mode of effecting the

6
control, focus and the control system designed. The types as given by Oshisami (1994)
are explained in antithesis as follows:

(i) External Versus Internal Controls

External control is a control system operating independent of an organization or a

system. It focuses on accountability stewardship. This control is exerted through
external audit, Public Accounts Committee (PAC), surveillance functions by regulatory
agencies-CBN, NDIC, SEC, NSE, etc- and special investigations, etc. External audit as
posit by Hamid (2009a) refers to the examination of accounting records of an
organization to ensure strict compliance with statutes, rules and regulation, as well as to
ensure that all monies approved and allocated to each service are judiciously used and
applied for the purposes intended. And where there are contraventions that adequate
explanations are sought for or the matter brought to light. There is also the Public
Accounts Committee (PAC) in the public sector, which under civil rule is a committee
of the legislature to review the accounts prepared by the Accountant General and the
Auditor-General’s report on them. Regulatory authorities such as the CBN, NDIC, etc
carry out a series of examinations of records and accounts of organizations within their
area of jurisdiction, with a view to ensuring the soundness of the organizations, their
level of risk exposure and compliance with laid down procedures. Special
investigations (judicial or administrative) including legislative hearings may also be
carried-out to expose corruption, inefficiency and waste, both in the public and private
sectors.

Internal control, on the other hand, refers to the whole system of controls, financial and
otherwise, established by the management to assist it in carrying out its functions in an
orderly manner, safeguard its assets, secure as far as possible the accuracy and
reliability of its records, promote operational efficiency and encourage adherence to
policies (Owoh, 2003). Internal control, therefore, focus is on controllability,
orderliness of operations, protection of assets and assurance of accuracy and reliability
of records. It tools include internal audit, internal check and quality control etc.

(ii) Structural Versus Procedural Controls

7
Structural controls refer to controls built along institutional lines or built into powers
vested in certain managers, units and departments. They are often referred to as “checks
and balances”. Example no payment voucher is valid without the approval of the
financial control, manager and prior approval of the responsible officer, the vice
chancellor for example must be obtained before new machines and equipment can be
purchased (Hamid and Dambatta, 2003). Procedural control on the other hand refers to
those control that are built into the operational rules and processes such that ones those
rules and processes are not breached, the built-in controls will ensure accountability and
controllability. An example in the area of procurement is the tender’s procedure, which
among other things mandates opening competitive tendering from a minimum of five
tenders. In this case, it is envisaged that economy of procurement together with fairness
and probity will result if the procedure is followed (Oshisami, 1994).

(iii) Custodial Versus Efficiency Controls

Custodial control is a system of control installed to check against abuse or misuse of

resources. The system is based on two principles: to check the honesty of those persons
who are entrusted with the custody, use and control of organization properties, as well
as their stewardship, and to base acquittal on documentation of a highly objective
nature. Custodial control is rather reactive (and not proactive) and fails to check upon
ability to perform or deliver (Oshisami, 1994). Efficiency control is a supplementary
control which seeks primarily to check the ability, and the actual performance in
achieving objectives which contribute to the overall goals of the system. This may be
on individual, sectional or functional basis or may take the form of control on policies,
programmes, projects and activities. Powers of control of organizations in Nigeria are
derived from the civil service rules, the Nigerian Constitution, the Financial
Memorandum of 1991, the Companies and Allied Matters Act 1990, the CBN Act
2007, the NDIC Act 2007, BOFIA 1991, etc.

2.3 The Concept of Economic Growth and Development

Economic growth and economic development, like any other terms, have been defined
in different ways by a number of individuals and institutions. However, what is clear

8
from the various definitions is that, while economic growth is measured by looking at
the increase in the market value of goods and services produce in a country over a
period of time, usually one year, which is represented by the Gross Domestic Product
(GDP), economic development is measured by looking at the overall improvement in
the general wellbeing of the citizenry. In other words, while economic growth refers to
sustained increase in the per capita output or income of a country over a specific period
of time, economic development refers to the manifestations (i.e. translations) of
economic growth in terms of improvement in the general well being of the citizenry,
typically involving improvements in literacy rates, life expectancy, poverty rates,
employment opportunities, living standards, environmental quality, freedom and social
justice. National development, therefore, is the ability of a county to improve the social
welfare of the people by providing social amenities like good education, health
facilities, goods roads, pipe born water, power supply, employment opportunities,
freedom of speech, etc. A country's economic development is related to its human
development, which encompasses, among other things, health and education, hence, the
term socio-economic development.

The term “development” according to the WCS (1990), refers to the modification of the
biosphere and the application of human, financial, living and non-living resources to
satisfy human needs and improve the quality of human life. Similarly, the UN-DRD
(1986) contends that development is a comprehensive economic, social, cultural and
political process, which aims at constant improvement of the wellbeing of the entire
population and of all individuals on the basis of their active, free and meaningful
participation in development and in the fair distribution of benefits resulting therefrom.
In essence, development is about change for the better, and such change should involve
adequate and acceptable improvement in the general wellbeing of the society,
economically, socially and educationally. According to Hugo (1995) true development
cannot be measured in solely economic terms, but must also include changes in the
quality of lives, which are less tangible. Similarly, Rodney (1982) suggests that
development in human society is a many-sided process. At the level of the individual, it
implies increased skill and capacity, greater freedom, creativity, self-discipline,
9
responsibility and material wellbeing. In Rodney’s view, the term ‘development’ is
used exclusively to describe economic progress in that the nature of a country’s
economy is indicative of other social variables.

An economy is regarded as having recorded economic growth if there are sustained

significant improvements in quantitative and qualitative terms respectively. Thus, an
economy may be growing without really developing. For instance, if there is a sustained
increase in the level of national output or per capita income, the economy is described
as having recorded economic growth. However, Seer (1969) perhaps best posed the
basic questions about the meaning of economic development by asserting that: “the
questions to ask about a country’s development are therefore: What has been happening
to poverty? What has been happening to inequality? What has been happening to
unemployment? If all the three have declined from high levels, then beyond doubts, this
has been a period of development for the country concerned. If one or two of these
central problems have been growing worse, especially if all the three have, it would be
strange to call the result development, even if per capita income double.

2.4 Indicators of Nigeria’s Socio-Economic Development

A number of studies (Feridun and Akindele, 2006; Oladele, 2007; and Adamu, 2011)
show that every human welfare and development index measuring the well-being of
Nigerians is on the decline. Recently, Nigeria was ranked the world’s 13th poorest
nation, indicating that sixty per cent of Nigerians live below the poverty line, i.e. they
cannot access 3 square mills per day.

Nigeria’s Human Development Index (HDI) for 1980 to 2009 highlights the very large gaps in
well-being and life chances that continue to divide our increasingly interconnected world. The
HDI for Nigeria is 0.511 in 2007, which gives the country a rank of 158th out of 182 countries
studied. By looking at some of the most fundamental aspects of people’s lives and
opportunities the HDI provides a much more complete picture of a country's development than
other indicators, such as GDP per capita. Thus, there is the need to enhance financial control
with a view to accelerating the level of the country’s socio-economic development. Table 1

10
shows some selected Nigeria’s economic indicators, which are relevant to the topic of the
discussion.
Table 1: Some Selected Nigeria's Economic Indicators
S/No. Economic Indices Figure Year
1 Population below poverty line 70% 2007
2 Real GDP growth 6.8 2010
3 GDP Per Capita $2,400 2010
4 Labour force per sector (Agric) 70% 2007
5 Labour force per sector (Industry) 10% 2007
6 Labour force per sector (Service) 20% 2007
7 Unemployment rat (% of labour 4.50% 2010
force)
8 Industrial growth rate 4% 2009
9 Commodity imports $34.18 billion 2010
10 Investment (% of GDP) 24.66% 2010
11 Value of oil imports US$7.929 2010
12 Population 156.051 million 2010
13 General govt. revenue N8,224.19 billion 2010
14 General govt. revenue (% of GDP) 25.453 2010
15 General govt. total expenditure 32.642 2010
(% of GDP)
16 Current account balance (% of GDP) 6.405 2010
17 Infant mortality rate 94.35 deaths/1000 2010
live births
18 Corruption perception index 2.4 2010
19 Corruption ranking 134 2010
Sources: Nigeria Economy 2011, CIA World Factbook
(www.theodora.com/wfbcurrent/nigeria/nigeria_economy.html)
Nigeria's economy: Inflation and other economic indicators
(www.groundreport.com/Business/Nigeria-s...economic.../2925464 -)
Nigeria and the IMF -- Page 1 of 8
(www.imf.org/external/country/nga/index.htm)
2011/05 - Nigeria Country Overview
(www.edc.ca/english/docs/gnigeria_e.pdfSimilar)
Nigeria Economic Statistics, Nigeria Economic Indicators
(www.economywatch.com/economic-statistics/country/Nigeria/)
Nigeria's economy: Inflation and other economic indicators (www.afripol.org)
Nigeria GDP Data & Country Report | Global Finance (www.gfmag.com)
Nigeria - African Economic Outlook
(www.africaneconomicoutlook.org/en/countries/west-africa/nigeria/)

11
3.0 THE ROLE OF FINANCIAL CONTROL IN NIGERIA’S SOCIO-
ECONOMIC DEVELOPMENT
From the above discussions, the roles of financial control in Nigeria’s socio-economic
development can be deduced as follows:
(i) Provision of Social Capital/Creating Enabling Business Environment:
Financial control could enhance the provision of social capital, namely
educational facilities, health facilities, schools, roads, bridges, pipe born
water, electricity, security, etc which would facilitates business activities
thereby promoting socio-economic development in terms of improvement in
the general well being of the citizenry. In spite of the money expended on
PHCN to enhance power supply in the country, Nigeria’s investment climate
assessment by the World Bank (Larossi and Clarke, 2011), shows that
Nigerian businesses’ biggest reported problem is the unreliable power
supply. About 83 percent of all managers surveyed considered electricity
outages to be a serious problem—more than any other constraint (including
access to finance, cost of finance, taxes, macro-economic environment,
corruption, transportation, tax administration, crime and access to land).
Firms of all sizes, in all states and sectors surveyed, report average power
outages equivalent to 8 hours per day. The average firm reported that outages
lost them money equivalent to more than 4 percent of sales. No comparator
country experiences such severe business losses related to the power supply
in Africa (Larossi and Clarke, 2011).
(ii) Enhances Transparency, Accountability and Efficient Utilization of
Financial Resources: Financial control mechanisms enhance transparency,
accountability and efficient utilization of financial resources, assuring the
legality and integrity of financial transactions, and providing key information
on the organization’s management of its resources. Cases of mal-
administration or corruption can be referred to the appropriate authorities for
investigation or punishment, as the case may be.
(iii) Promoting Good Governance and Accountability: Control compels the
adoption of best practices on transparency; and ensures strict compliance
12
 with laid down procedure, the Constitution, CAMA 1990, BOFIA 1991,
financial memorandum, civil service rules, etc. Good governance and
accountability could generate a positive multiplier effect resulting in
enhancing performance, attainment of desired results and targets, generating
more revenue, creating job opportunities, and invariably enhancing the socio-
economic development of the country.
(iv) Reduction in Poverty: Poverty is the inability of an individual to access
some basic necessities of life. Financial control, therefore, has the force to
promote a virile and robust programme toward ameliorating economic
hardship and reducing poverty, by enhancing judicious utilization of
resources and attainment of desired organizational objectives. This would
translate into better living conditions for the citizenry, better education and
health facilities, greater availability of social amenities and a conducive
business operating environment for entrepreneurial development. With a
conducive operating environment, businesses will flourish, capacity
utilization would be enhanced and greater job opportunities would be
provided by the private sector, which is known all over the world as the
largest employer of labour.
(v) Reduction in Corruption: Corruption has greatly affected effective
financial control in the country, both in the public and private sector.
Nigeria’s investment climate assessment (Larossi and Clarke, 2011), reports
that manufacturing firms pay an average of 3.2 percent of their sales in
bribes—second only to electricity outages among the costs measured by the
study. Large and foreign-owned firms were more likely than others to rate
corruption an important constraint, although as many as one-third of
microenterprises also affirm that informal payments/gifts are commonplace.
The enactment of anti-graft laws and the establishment of anti-graft agencies
such as the Economic and Financial Crimes commission (EFCC) and
Independent Corrupt Practices and other Related Offences Commission
(ICPC) to improve governance and reduce graft would laid a solid foundation

13
 for credible and successful structural reforms that could enhance financial
control in the country, as well as, stimulate socio-economic development.
(vi) Enhancing Financial Discipline: Although corruption in government is
often identified with large procurements and major public works projects,
public expenditure is hardly the only source of potential corruption. Tax
administration, debt management, customs, ill-designed privatization, the
banking system, etc., can be equally troublesome in that respect. However,
one major route to the socio-economic development of the country (and, of
course, improving the quality of governance as well) is to improve financial
control by reducing the opportunities for corruption and punish corruption
when it occurs. This will help to restore financial discipline in the country.
(vii) Enhancing Food Security: In spite of the current dominance of crude
petroleum in the basket of exports, agriculture is still a major sector of the
Nigeria economy. This is because Nigeria is generally endowed with
abundant natural resources, numerous all season rivers and a favorable
tropical climate. Rainfall is generally adequate and fairly well distributed
throughout the country (Ukpong, et al 1995). Out of the 98.321 million
hectares of land available in Nigeria, about 75.30 per cent is regarded as
arable land (Olajide,1980). With the oil wealth, Nigeria has the potential to
become one of the strongest agricultural economies in Africa, if effective
financial control is to be instituted, in the course of utilizing the oil wealth to
develop the agricultural sector. One immediate result would be a dramatically
changed face of our rural areas and the arrest of the rural urban drift that has
taxed our planners for as long as anyone can remember. This would
substantially reduce poverty in both the rural as well as urban centres
throughout the country, as well as, ensure food security for the country
(which is the best type of security the citizenry could have).
(viii) Reduction of Leakage in the Economy: Despite the natural endowment of
Nigeria, the country leaked out billions of Naira annually in the importation
of a variety of agricultural products, more especially rice, fish and frozen
chickens into the country. This leakage of the Nigeria’s economy helps to
14
 create employment in the exporter country and unemployment in Nigeria, the
importer nation. This scenario must have resulted from ineffective financial
control, which resulted in wastages and abuses in funds set aside in the
annual budget to support the agricultural sector of Nigeria. Effective financial
control, therefore, has the potential to reverse the trend.
(ix) Provision of Job Opportunities, Productive Engagement of Restless
Youths and Improvement of Overall Security: Poor performance of
Nigerian firms, has greatly affected employment generation, as well as, the
productive engagement of restless youths in the country, thereby increasing
social unrest in the society. Nigeria’s investment climate assessment (Larossi
and Clarke, 2011), shows that the total indirect costs of poor quality
infrastructure, crime and security, and corruption amount to over 10% of
sales for Nigerian firms. This is twice as high as in South Africa, Brazil,
Russia and Indonesia.
(x) Improvement of Quality of Services and Enhancing Performance:
Financial control ensures that the concept of management by exception is
applied in achieving organizational objectives. The objective of management
by exception is to focus attention on areas were corrective measures appear
necessary. Therefore, the challenge for both public and corporate manager is
to take the variance information, examine the root causes and take necessary
corrective measures to fine tune organizational operations. Hence, financial
control is an important device for making organizations more efficient on all
fronts. It is an important tool for controlling costs and achieving the overall
objectives, so that the benefits of both public and corporate governance is
enjoyed by the people at the grass root level, most of whom live in abject
poverty!

4.0 CONCLUSION

Effective financial control is an important determinant of real Gross Domestic Product

and the level of national development of a country. However, in Nigeria, finance

15
management has not been able to trigger the desired GDP and socio-economic
development due to poor financial control in the country. The Nigerian government
must, therefore continue to create an environment, in which corruption is combated, not
condoned and endeavor to eradicate other structural constraints which impede the
realization of its socio-economic development.

The paper concludes that whatever the measures that are taken, Nigeria may only
realize its socio-economic development potentials to the fullest capacity, only if
financial control is enhanced in the country, both in the public and private sector.
Similarly, it can be said that causal effect of financial control on socio-economic
development is unequivocal. If societies wish to develop and if the process of
development can be deliberately accelerated, then we need to better understand how
existing economies actually control their finances and devise ways of moving faster.
These will involve some planning and strategizing. No institution of the size of even the
smallest Nigerian organization, private or public, can prosper without effective
financial control.

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