Financial Management Issues for Sports Events and Facilities

The Research Paper Assignment is the key assignment for SMGT 631. This Research Paper Assignment is an opportunity for you to demonstrate a thorough understanding of current issues and research, and to make practical applications of research to the sport facility and event settings. This is a two-part assignment, with a 1–3-page APA formatted Research Paper: Outline & Key Sources Assignment, and a 3,000-word (not including Title Page or Reference list) APA formatted Research Paper: Final Draft Assignment, including at least 5 peer-reviewed sources.

Financial Management Issues for Sports Events and Facilities

The absence of transparency and accountability in the field of sports can be explained by the structural, cultural, as well as organizational issues within the organizations of the field. These causes are a part of the soft budget manifestation where organizers of events apply for funding that is not sufficient and then demand additional funding along the way (Becker and others. 2022). They ask for money than is needed for personal gain, and use the funds. Others employees will emulate these actions in companies where the management has a hand in the financial inefficiency. Insufficient disciplinary actions can also encourage employees to take advantage of funds since there are no clear consequences.

The use of soft budgeting strategies can be a part of the organizational aspects. Many sports organizations responsible for the management of their events are waiting to be helped by third parties, such as investors or the government, even if they’re bankrupt or face constant financial difficulties. This creates an environment of financial misappropriation because officials of sports know that regardless of how much money they use up they will always have someone who can help them. The officials are aware that the company they’re responsible for can’t be sunk or unresponsive. So, they take money to ensure that they are not. These strategies encourage dangerous behavior among officials, event planners, and contractors since they hope to be rescued.