In this assignment you are expected to understand and critically evaluate the budgeting process in your own organization. Write a very short description of your company covering the nature of the business, industry, markets, competition, processes and technology, etc. This to enable the reader to understand the company presented.

1. Briefly describe the procedure followed in the organization when preparing the annual budget. This could include the process, timelines, people involvement, communication, negotiations and order of preparing different budgets. 

2. Identify the company’s current choice of different theoretical approaches used in the organization during the budget preparation. (i.e., incremental, zero based, top-down, bottom-up, negotiated, fixed, flexible, rolling etc.) 

3. Discuss the how the company uses budgets for control and performance measurement & evaluation purposes. Discuss further how performance evaluation is related to recognition and reward of the desired performance.

4. Critically evaluate the strengths and weaknesses of the budgetary planning & control procedure used in the organisation and discuss how it can be further improved, based on what you have learned under this subject. 

The submission should be around 600 words excluding the company description.

Please note that you are expected to discuss how the concepts discussed in the class are applied in your organisation’s budgetary planning and control process. You are strictly advised not to reproduce the same theory from a different source or discuss what is happening in an unrelated company.

Answer rating: 100% (QA)

1 An annual budget lays out a companys projected income and expenses for a 12month period The process of creating an annual budget involves balancing out a business sources of income against its expen... View the full answer