PRINCIPALS’ FINANCIAL MANAGEMENT PRACTICES AS CORRELATES OF ADMINISTRATIVE EFFECTIVENESS IN PUBLIC SECONDARY SCHOOLS IN ANAMBRA STATE, NIGERIA

Abstract

This study examined principals’ financial management practices as correlates of administrative effectiveness in public secondary schools in Anambra State, Nigeria, specifically examining cash budgeting, cash control and cash auditing practices. The study was guided by three research questions and corresponding null hypotheses. A correlational research design was employed. The population comprised 7,248 teachers across 269 public secondary schools in the six education zones of Anambra State, from which a sample of 580 teachers was drawn through a multistage sampling procedure involving proportionate stratified and simple random techniques. Data were collected using two validated instruments: The Principals’ Financial Management Practices Questionnaire (PFMPQ) and the Principals’ Administrative Effectiveness Questionnaire (PAEQ). Reliability was established through the Cronbach Alpha method, with coefficients of 0.79 for PFMPQ and 0.88 for PAEQ, confirming internal consistency. Pearson Product Moment Correlation Coefficient was used to analyze the research questions, while the hypotheses were tested at 0.05 level of significance using test of significance of Pearson. Findings revealed that principals’ cash budgeting, cash control, and cash auditing practices each exhibited strong positive and statistically significant relationships with administrative effectiveness in public secondary schools. Specifically, these financial management practices jointly accounted for substantial proportions of the variance in administrative effectiveness, underscoring their critical role in strengthening school administration. The study concluded that sound financial management practices are vital drivers of administrative effectiveness, promoting accountability, efficient resource utilization and improved institutional performance in public secondary schools. It was recommended that the Ministry of Education should institutionalize participatory budgeting, strengthen internal financial controls and enforce periodic audits to enhance accountability, optimize resource utilization and promote sustainable administrative effectiveness in public secondary schools.