The budget process and budgets themselves can impact management action, both positively and

negatively. For instance, a common practice is for management to spend any amounts remaining in a

budget at the end of the budget period $--$ a practice commonly known as "use it or lose it$."$ The

sentiment being that if amounts aren't spent this year, the next years budget will be reduced in

proportion. To avoid losing budget dollars, department managers often spend all budgeted amounts

regardless of the value added to products and$/$or services...

$...$and, we consumers end up paying for it$.$

Please discuss some of the impacts of this practice and let's try to examine ways to discourage this

non value added practice. Please respond once or twice to the topic and one or two times to your

colleagues for a total of three postings. Thank you for ensuring that postings are greater than one

sentence in length.