passage require analysis and breakdown

used to work for a non-profit agency prior to my most recent position, Care of Southestern Michigan. The budgeting process for this company is operational. Every department and program processes their budgets in accordance to funding sources requirements including department needs. Since there is an overall set budget made every year for each program, everyone knows ahead of time what they have to use and what they need to be sparse with. At the ending of the budget cycle, every department and program meets with the directors of the company, to discuss the used and leftover budgets, as well as renewals and cuts. The agencys budget is a plan, where revenues and expenses are listed according to the departments level of funding. Budgets are tracked and no department can expend more than what can it was budgeted. Once budgets have been renewed and reassigned, a meeting is held with everyone in the agency to let everyone know of any changes. According to Hilton & Platt (2017), Each program requires resources to operate, and those resources are documented in the operational budgets of the organization. Nonprofit organizations also prepare budgets showing their anticipated funding. This strategy goes hand in hand with the way that my previous agency operated their budgeting process.

The text discusses that operational budgeting is when a company sets specific budgets that is specified to different programs, in which operations would be carried out to meet the demands of its goods or services (Hilton & Platt, 2017). As a case manager in the agency, and being in a department with one of the highest budgets, I noticed how there was a difference in treatment according to that. Sometimes it did feel as though, the leaders would hold the department with the highest budgets or most service provided, to higher standards, almost forgetting about other programs. Even so, budgets were always reviewed for compliance and internal control guidelines, where separation of duties became one of the focal points of the review. To establish a budget, funding sources must be analyzed determining affordable and non-affordable expenses. In addition to that, salaries and benefits were always set forth on the grant document including tracking met requirements as well. Essentially, the main goal is to be able to provide all the beneficial services to the community by maximizing the budget allocation by the end of the fiscal year.

critically analyze the passage