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    Conclusion

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    kalaswami
    Budgeting and budgetary control are indispensable for organizations to decrease costs, increase revenues and profits when carefully planned and implemented. While budgets cannot replace effective management or ensure profits, research shows that effective budgets serve as a means of coordinating plans, communicating plans to managers, and measuring actual performance against standards. Proper use of budgeting and controls overall contributes to improved organizational performance.

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    Conclusion

    Uploaded by

    kalaswami
    3K views5 pages
    Budgeting and budgetary control are indispensable for organizations to decrease costs, increase revenues and profits when carefully planned and implemented. While budgets cannot replace effective management or ensure profits, research shows that effective budgets serve as a means of coordinating plans, communicating plans to managers, and measuring actual performance against standards. Proper use of budgeting and controls overall contributes to improved organizational performance.

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    Budgeting and budgetary control are indispensable for organizations to decrease costs, increase revenues and profits when carefully planned and implemented. While budgets cannot replace effective management or ensure profits, research shows that effective budgets serve as a means of coordinating plans, communicating plans to managers, and measuring actual performance against standards. Proper use of budgeting and controls overall contributes to improved organizational performance.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    3K views5 pages

    Conclusion

    Uploaded by

    kalaswami
    Budgeting and budgetary control are indispensable for organizations to decrease costs, increase revenues and profits when carefully planned and implemented. While budgets cannot replace effective management or ensure profits, research shows that effective budgets serve as a means of coordinating plans, communicating plans to managers, and measuring actual performance against standards. Proper use of budgeting and controls overall contributes to improved organizational performance.

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    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
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    The key takeaways are that budgeting and budgetary control are important for determining corporate objectives, profit making, and performance if implemented carefully. However, budgets alone cannot replace effective management.

    The main recommendations are that budget planning should involve unit heads, approval should be transparent to avoid corruption, the budget committee should control spending, and budgets should be adhered to by top management.

    It is suggested to provide budget education, conduct periodic reviews, and correct deviations in a timely manner.

    Conclusion

    Having examined in details the use and importance of budgeting and budgeting control in
    the organization and roles they play toward determining the cooperate objectives, profit
    making, one could rightly conclude that it is, indispensible to any organization if budget
    are carefully planned and implemented by managers it could lead to decrease in cost and
    increase in revenue, which in turn will lead to increase in profit. Though budgeting and

    budgeting

    control

    could

    enhances th

    97

    performance, it should be noted that it is not magic stick that could replace
    effective management or ensure that fairly profit are made.

    The findings of the research shows that when budgets are effectively used, it
    serves as a means of meting and coordinating plans, for communicating
    those plans to those responsible for their execution or motivating managers
    at all levels and as a standard for measuring actual performance.

    5.3 Recommendations

    On the whole, the finding of the study support the conclusion that proper use
    of budgeting and budgeting controls contributes to the overall performance
    of an organization.

    In the light of the findings made earlier the following are recommended:

    That budget plan and preparation should be cooperate duty of the unit heads
    with the head of development in the corporation as the case may be.

    That the approval of budget should be made public and should avoid
    corruption.

    That budget committee should budget well in order to control expenditure in


    the cooperation because without budgeting well, the corporation will keep
    spending money without meaningful achievement for it.

    98

    Since budgeting and budgetary control contribute in the improvement of


    management efficiency and high productivity, the budget committee should be
    educated in the implementation of budget. This would enable them to
    understand the importance of adhering to budget and the minimization of loses.
    Thus a budget education should be conducted at least once a year by the
    financial or an independent accounting or management consulting firm. Its
    usefulness cannot be questioned or over emphasized.

    Adherence to the budgetary provision should be practiced by top management.


    If they make arbitrary actions, the realization of the budget would be
    impossible.

    Constant review and periodic review of the budget at intervals would enable
    them to correct deviations, which occurred within the interval before they get
    out.

    SUGGESTIONS

    Planninghasbecometheprimaryfunctionofmanagementmostoftheplanningrelatesto
    individualandindividualproposals.Budgetsarenothingbuttheexpressions,largelyinfinancial
    terms.Budgetarycontrolhas,thereforebecomeandessentialtoolofmanagementforcontrolling
    andmaximizingprofits.

    Thecompanysobjectivesandhowitcanbeachievedthroughbudgetarycontrolprocess.

    Timetablesforallstagesofbudgetingshouldbefollowedregularlybyallthedepartments.

    Reports,statements,formsandotherrecordshouldbemaintainedifanyinformationisneeded.

    Continuouscomparisonofactualperformancewithbudgetedperformancewillresultinknowing
    whetherthecompanyisinprofitorloss.

    CONCLUSIONS

    Everyorganizationhaspredeterminedsetofobjectivesandgoals,butreachingthoseobjectives
    andgoalsonlybyproperplanningandexecutingoftheplanseconomically.TheManasiSystems

    technologiesPvt.Ltdisobjectivesofplanningpromotingandorganizinganintegrated
    developmentofCementCompany.Theorganizationneedsthecapablepersonalitiesas
    managementtoleadtheorganizationsuccessfully,themanagementmakestheplansand
    implementoftheseplanareexpressedintermsofbudgetandbudgetarycontrol.TheManasi
    SystemstechnologiesPvt.Ltdhavebudgetprocessintwostages.Oneisthecapitalexpenditure
    budgetandanotherisoperatingmaintenancebudget,thecapitalexpenditurebudgetshowsthelist
    ofcapitalprojectsselectedforinvestmentalongwiththeirestimatedcost,operating&
    maintenancebudgetreferstotherepairs&maintenancebudgets,thespecialbudgetsarerarely
    usedintheorganizationlikelongtermbudgets,research&developmentbudgetandbudgetfor
    consultancy

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