Characteristics of Boards of Management and Effective Financial Management in Public Secondary Schools in Kenya

Abstract

Financial resources play a vital role in the success of any organization, including schools. Its effective utilization helps in the reduction of financial risks and the achievement of organizational goals. In the school structure, the role of financial management is vested in the Board of Management. Financial management involves making financing decisions and resource allocation to ensure institutional stability, liquidity, and operational efficiency, and accelerate the realization of learning outcomes. While strides have been made to improve access to and quality of education, there remains a challenge with the financial management in different schools. Despite similar policies, capitation grants, and harmonized fee structures of schools in the same cadre, schools utilize their financial resources differently. This can be attributed to various factors such as academic qualifications, age, size, and training on the Boards of Management of various schools. To ensure effective financial management in institutions, the Boards of Management must develop appropriate strategies. Therefore, policymakers, educational stakeholders, and relevant authorities need to prioritize efforts
aimed at strengthening the capacity and effectiveness of the Boards of Management in managing financial resources within secondary schools.