Financial intelligence (business)

Financial intelligence is a type of business intelligence constituted of the knowledge and skills gained from understanding finance and accounting principles in the business world and understanding how money is being used. Although a fairly new term, financial intelligence has its roots in organizational development research,[1] mostly in the field of employee participation.[2] Financial intelligence has emerged as a best practice and core competency in many organizations leading to improved financial results, increased employee morale, and reduced employee turnover. Many organizations include financial intelligence programs in their leadership development curriculum. Financial intelligence is not an innate skill, rather it is a learned set of skills that can be developed at all levels.[3]

  1. ^ Lawler, E.E. III (1985). "Education, Management Style, and Organizational Effectiveness". Personnel Psychology. 38 (1): 1–26. doi:10.1111/j.1744-6570.1985.tb00538.x.
  2. ^ Lawler, E.E. III (1986). High Involvement Management. Jossey-Bass:San Francisco.
  3. ^ Berman, K., Knight, J., Case, J., (2006). Financial Intelligence: A Managers Guide to Knowing What the Numbers Really Mean. Massachusetts: Harvard Business School Press.