Budgeting as a control device help to control specific organizations expenditure and it helps to prevent waste. There are various types of budget in an organization. Budgeting and planning technique are used to control future expenditure in a dynamic profit making organization which calls for evaluation, reviewing and implementation of the technique used previously for efficiency and effective attainment of organization objective. Budget as a standard with which to measure the actual achievement of people, department, firm among others. This research work make use of both primary and secondary data to include questionnaire, interview, textbooks, and journals chi-square method of analyzing data was used in testing the budgeting and planning to serve as an affective controlling mechanism techniques, there has to be plan upon which budgeted expenditure are based. Government have a greater role to play in promoting budgeting and planning in ensuring that budgeting and planning are fully relevant at due course and have full control over budgeting and planning as control measure.
The background context of this research work is that many organization today operate meaningful, there has to be clear direction of where it is heading to or what it is aiming to achieve, the standard at which it require the result of these objectives and also mean of monitoring deviation from the standard required. These considerations can only be done through budgeting, planning as well as controlling.
The reason the researcher this project is for the researcher to have more knowledge about what budgeting and planning is talking about and also budgeting plays a very important role of controlling expenditure that is budgeting helps planning for the future. it serves as a control function through management by exception which is the assessment of performance managers work with that of top management in order to co-ordinate the activities of the organization. It also facilitate communication which is referred to as a tool of flow of ideas between top managers and low level managers, it also motivate the workers and help in making good decision.
planning is also a function of management and decision making process which deals with the establishment of a desirable of a desired profit, the preparation material, labour force, plant and machinery for anticipated velum of production and sales and creation of communication system which permits reporting and controlling actual result against pre-determined plans.
Furthermore, the researcher is desirable in the research work because it will also enlighten other researchers who will like to go on research about budgeting and planning in Nigeria private sector and also as a result of the important work played by budgeting and planning.
No comments:
Post a Comment