Public Budgeting and Financial Management †MyAssignmenthelp.com

Question: Discuss about the Public Budgeting and Financial Management. Answer: Introduction Commercial banking was not vulnerable to disturbances until recently. The growth of expectations of the corporate users and with the growing technological trends there has been great changes. With the help of digitalization the banks are improving their bank end processes which are assisting them to streamline the basic operations. The technological growth is helping in faster settlements and is taking over the paper based transactions. Commercial banking has already evolved and is expected to grow at a faster rate in the coming years. In our discussion below we will discuss such technological advancements and the ethical issues involved if any (Adelaja, 2015). In order to make a significant progress, the banking system decided to adopt modern technology for making the system run smoothly and efficiently. The banking system in US in the recent times has shown its concern for technological advancement in the country. There was a huge investment of $30 billion made by this sector to improve in the technological fields (Bierman Smidt, 2010). Earlier, there was a retraction on interstate banking and branches but in the recent times of the developing banking era it was observed that there were additions in this also. It was not easy to procure a new technology without a proper knowledge and experiences. It was also difficult for the people working in this sector to adapt to these immediate changes. Not all banks have been able to adapt new technologies; some are still making an effort to do so. Some banking institutions are making continuous efforts to adopt and learn about the new technologies such as Base II and Check 21. The small financial institutions mainly adopt the technologies that are tested and try to make advancement with the help of it whereas the large financial institutions are concerned more with the security. In order to match the high standards of large financial institutions and the high quality services provided by them, the small banks use the tested technology. It is necessary to provide a good quality service to retain the existing customers as well as to invite new customers. The most widely and commonly banking system that has been adopted by most of the financial institutions is known as cloud computing system. This system has helped the banking system to reduce the cost, improve online systems and has also helped in providing mobile banking services to the customers. The facilities that are provides by financial institutions with the help of this technology are as follows: It has helped in improving the service provided to the customers. Improvement in the risk management. Increased speed of transactions. The operations and strategies have become strengthened. Improving the stability and economic growth by transforming the cost structure. Earlier it was observed that the banks were encouraged by the regulatory authorities to make technological advancements which will result into capitalisation and operational efficiency (Dayananda, Irons, Harrison, Herbohn, Rowland, 2008). Australian financial institution The financial system is laying great importance in bringing certain significant changes. These changes relate to adoption of new technologies that has been invented, the ways that can prevent failure in the banking systems, reduction of manual work, and expansion in the online system. Such changes clearly shows that there will be a complete different banking system in the future which will be more improved and advanced when compared with the present (Menifield, 2014) . It has been observed that there is a huge capital generation because of high profits earned, the strong performance by the assets and stability in the non performing assets over the months. There has been a great transformation in the services provided. These advancements have reduced the cost of services, transfers and storage of information etc. There has been a more complex but well functioned and well managed systems that is managed by highly qualified and intellectual people (Peterson Fabozzi, 2012) . The improved web services, wireless networking and the internet approach has shown a significant improvement in the banking services. . The banks are not only concerned with the adoption of new technology but at the same time it is also trying to get the benefits at the lowest cost possible and also strengthening the systems that it has set up The online banking system has made the life of the customers easier. It saves their time and helps them to carry transactions from anywhere at any time with maximum security. The facilities provided by them are bill payments, online payments, online fund transfer, checking their account balances and also solving the queries of the customers (Rivenbark, Vogt, Marlowe, 2009). There is also a facility of mobile banking in which the customers are provided with the details of their balance and the transactions carried out through messages. If there is any transaction made from their account, they immediately get a notification on their phone. There is a huge security provided to customers while making any transactions online, hence the banks have introduced a system of one time password without which the transaction cannot be completed. Several ethical perspectives in relation to online banking and electronic cards facilities can be divided into the following categories (Seitz Ellison, 2009): Privacy: the banks should keep all the details of the customers stored safely and carefully. Such information should be encrypted properly so the no one can carry out any kind of fraudulent activities with the help of such information. Ownership: The banks should see that no other person other than the account holder is carrying out any kind of online transaction with that particular account. It should keep a proper check on the IP address as well as the security password before permitting any transaction. Ethical social issues Although, online banking has been greatly encouraged by the people but there still a lies a threat of securities in the minds of the customers (Fridson Alvarez, 2012). Banks has provided various banking services that have made the life of customers more easier but still there is a scope of improvement by the banking system in regards to keeping the information of the customers safe and secure. The issues can be both of legal as well as morale. In the recent times, there has been improvement in the technology as well as their has been new methods found by people of exploiting them. So, in order to provide a hassle free service the banks should try to eliminate the vulnerability that is present. There should be a legal requirement and also a declaration that would state that the bank will keep a check that the customers information is not leaked to anyone, not even to the government. It is the duty of the bank to keep the money safe and if there is any loss to the customer because of such activity then it should be reimbursed (Ittelson, 2009). Thus, we can conclude that it is the duty of government and people to safeguard the wealth of the people. Conclusion The growing advancement in the banking system has not only made the life of people easier it has also helped in the economic stability and economic growth of the country. However, this will continue only when the services provided by the banking institutions are free from ethical issues. It is core responsibility of the government as well as banks to keep the wealth of the people secured and protect them from getting exploited. If such issues are resolved then there will be definitely a huge progress in the country (McLaney Adril, 2016) References Adelaja, T. (2015). Capital Budgeting: Investment Appraisal Techniques Under Certainty. Chicago: CreateSpace Independent Publishing Platform . Bierman, H., Smidt, S. (2010). The Capital Budgeting Decision. Boston: Routledge. Dayananda, D., Irons, R., Harrison, S., Herbohn, J., Rowland, P. (2008). Capital Budgeting: Financial Appraisal of Investment Projects. Cambridge: Cambridge University Press. Fridson, M., Alvarez, F. (2012). Financial Statement Analysis: A Practitioner's Guide. New York: John Wiley Sons. Ittelson, T. (2009). Financial Statements: A Step-by-Step Guide to Understanding and Creating Financial Reports. Franklin Lakes, N.J.: Career Press. McLaney, E., Adril, D. P. (2016). Accounting and Finance: An Introduction. United Kingdom: Pearson. Menifield, C. E. (2014). The Basics of Public Budgeting and Financial Management: A Handbook for Academics and Practitioners. Lanham, Md.: University Press of America. Peterson, P. P., Fabozzi, F. J. (2012). Capital Budgeting. New York, NY: Wiley. Rivenbark, W. C., Vogt, J., Marlowe, J. (2009). Capital Budgeting and Finance: A Guide for Local Governments. Washington, D.C.: ICMA Press. Seitz, N., Ellison, M. (2009). Capital Budgeting and Long-Term Financing Decisions. New York: Thomson Learning.