Integrating Financial Management Practices for Prudent Dividend Payout in Cooperative Institutions in Nigeria

Abstract

This study examined the effect of financial management practices (employment management practice, cash management and credit risk management) on sustainable expenditure management of Pfizer Workers’ Multipurpose Cooperative Society in Lagos State, Nigeria. The study used a descriptive survey research design, guided by organisational theory. The study's population of 300 was established using census-based random and stratified sampling techniques. Of the 300 copies of the questionnaire given to members, including officers, of this society, 250 were legitimately retrieved and used as a sample frame for data analysis. Descriptive and inferential statistics were used to test the hypotheses of the study. Statistical Packages for Social Sciences version 26 was used to analyse the data. Findings indicated that employment management practice, cash management, and credit management had statistically significant effects on sustainable expenditure management of Pfizer Workers’ Multipurpose Cooperative Society in Lagos State, Nigeria. The study concluded that employment management practice, cash management and credit risk management have a positive and significant influence on sustainable expenditure management of Pfizer Workers’ Multipurpose Cooperative Society in Lagos State, Nigeria. The study recommended that employment management practices need the engagement of human management resources to enhance better outputs, cash management must ensure efficient cash flow metrics that manage sound liquidity issues, and credit risk management needs to ensure better investment options that mitigate loan default risks.