Management Summary:
Introduction:
Planning tools and techniques are used by almost every successful business, the purpose is to keep the business on track and it also helps mangers to assess the condition of the business and act accordingly so that the business meet its goals. Different tools and techniques in which some are basic and some sophisticated are developed during the course of time for helping managers and business to be successful entities. Various techniques and tools are available to plan and control used my managers these include budget, plan, Work Breakdown Structure, Gantt charts, Network Analysis and Resource histogram Etc.
Case Study:
L plc, a manufacturer of small home electrical products, has enjoyed substantial growth
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There are two main methods for establishing the budget is:
• Top-down.
• Bottom-up.
Top-down budgeting describes the situation where the budget is imposed `from above`. Mangers are allocated a budget for the project based on an estimate made by senior management. The figure may prove realistic, especially if similar projects have been undertaken recently. However this technique is used simply because it is quick, or because only a certain level of funding is available.
In bottom-up budgeting the project manager consults the project team, and others, to calculate a budget based on the tasks that make up the project. In this process Work breakdown structure (WBS) is a useful tool.
The budget may express all resources in monetary amounts, or may show money and other resources – such as staff hours. A monetary budget is often used to establish the current cost variance of the project. To establish this we need:
a) The Actual Cost of Work Performed (ACWP). This is the amount spent on the project
b) The Budgeted Cost of Work Scheduled (BCWS). The amount that was budgeted to be spent to this point on scheduled
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A forecast can not be confused with a budget.
Example:
M Company has been selected as a potential take-over target. It is a medium sized, family run business, which is located 20 kilometer from L plc manufacturing plant. M Company specializes in the manufacture of electrical components used in the car industry, but it is felt that their factory set up would be able to adapted to L plc`s products. Initial figures from the finance director suggest that the purchase price of M company would be around $6m and he estimates the other costs (cost of refurbishing M Company`s factory, new integrated computer systems, legal costs etc.) would be around $3m.
As mentioned in the example after the company decided to take-over a nearby business for increasing their production and meeting the target, the finance department makes a budget for the upcoming time in which he uses forecasts method to get to the estimate of $6m.
$6m will be allocated in the budget by the finance department, and the other cost of $3m will also be part of the
Standardizing and Systematizing each of these processes has been a work in progress over the last year, and in some cases, are still under development. Budgeting processes have been a primary concern due to our non-profit status and the need to maximize financial efficiency and impact. Our budgeting processes has been refined by standardizing expenditures (stipends, operational budgets), allocating discrete sums for specific purposes (gear, apparel), and tracking/assigning costs (proper identification of expenses and establishing team accounts to track expenses). Budgeting is an area that has improved and will continue to improve as across the organization as the mentoring programs begin their standardization process. As the budgeting data increases and improves, we will be able to identify expenses which yielded the best results as determined by our agreed upon objective measures, enabling us to make better decisions about how we spend financial resources.
INTRODUCTION:- Jurlique International Pty Ltd. is an Australian cosmetics manufacturer specializing in natural botanical-based skincare and cosmetics under the brand name Jurlique. Jurlique is considered ethical and environmentally friendly. Jurlique was founded in 1985 the Australian state of South Australia by Dr Jurgen Klein and his wife Ulrike. The company 's name is based on a phonetic combination of their first names.
There was not enough information to calculate capital expenditures that associated with the implement of new
The Stratton Township Park (Park) contains two golf courses, a swimming pool, eight hundred acres of woods, and open spaces (Finkler, Purtell, Calabrese, & Smith, 2013). In addition, the Stratton Parks Department offers miles of trails for visitors to hike on the property and commune with nature (Finkler et al., 2013). This budget memo elaborates on the annual program budget for the Stratton Township Park, dated October 28, 2015. In the memo, the annual budget addresses the projection for golf operations, the pool, concerts, and other park activities including tours, nature visitors, and general concessions as well as administrative costs of the Park. Overall, the park manager requires to take the following steps to develop the budget: 1.
Month # 1 2 3 4 5 6 Total Forecast demand 600 750 1000 850 750 700 4560 Planned Production 771 771 771 771 771 771 4626 Planned inventory (50) 221 242 13 -66 -45
Address any variances in budget reporting from previous reporting period. Include: (1) Estimated Total Project Budget, (2) Estimated Construction Budget, and (3) Dollars Expended to Date. If there is a Financing Agreement for this project, provide an update. If none, indicate that. Section 5 – Project Scope and/or Quality Items Indicate any adjustments or considerations that impact or change the project scope or quality (such as pending change orders, standards waivers, etc.)
Within the department, the budget process involves the planning and analyzing formation. The department searches and examines the issues occurring and inputs them into the budget. The DDS has included issues of local assistance to regional centers at the department level. The central budget office prepares its initial recommendations to the department level, and later modifies the budget based on the department head’s decision. Central budget office determines and creates estimations based on revenues.
Solution : Introduction: A budget is an estimation of particular commodity, quantity etc. It can be prepared for any number of days but generally it is prepared wither for a year or quarter... A budget may or may not become the actual outcome.
1. Define acronyms CRP, EDI, OSB, ECR and explain. CRP stands for "continuous replenishment program". CRP was a process that P&G created in order to increase logistic efficiency. The process consisted of using electronic data interchange (EDI), which is an electronic system that transmits data instantaneously from one business to another.
Budgeting can be defined as a solid process to decide the estimate of revenue and expenditure for the specific time period. This definition of budget serves for all, country, city, state, business or personal matter. It is observed that, each successful company never moves forwards without deploying budget process (Al-Shawabikah, 2000). So, talking about Personnel Budgeting, it is one of the crucial aspects of any business to keep labor or personnel budgeting in the mind at the start and end of the year to maintain or increase productivity and profitability of the business.
It can thus be seen as “a process by which managers discover where they are, where they want to go, how they believe they might get there, if they are getting there, and, as they proceed, if they still want to get there”. To do this efficiently and effectively, planning must take into account both the company’s complexity and its relevant environment. It does so in many ways, which include forming different levels of planning. Effectiveness of anticipation: The starting point for strategic planning is anticipating an action.
Motilal oswal securities Ltd The Motilal oswal ltd company was the parent company of the Motilal oswal securities ltd, it was the subsidiary company. Motilal Oswal Company was established by Motilal oswal and Raamdeo agarwal in 1987 and gets the membership from the BSE. It got it final certificate of registration approval in the year 2010 from the securities and exchange board of India regarding the setup and expansion of the business of mutual funds in the country. Motilal oswal securities ltd was incorporated in the year 1994 and its main business is stock broking and wealth management. Motilal Oswal Company has 99.95 % holdings previously which became 100 % holdings In Motilal securities ltd .It was one of the subsidiary company of the
In Chapter I. we defined a budget as a quantitative expression of a plan of action. Sometimes plans are informal, perhaps even unwritten, and informal plans sometimes work
As mentioned above, there are five tasks of management that should be accomplished in a daily work routine. Those are planning, organizing, staffing, directing and controlling (Koontz and O’Donnell, 1976). Notwithstanding that some theorists, such as Richard Steers (1985) and Mason Carpenter (2009), highlight only four of those, planning is always considered to be the first and main function of management. It is an activity that involves choosing a strategy to accomplish the objectives of the organization, using the resources effectively and efficiently (Olum, 2004). To make a good plan, a manager should follow the essential steps of planning, which are setting goals, identifying the threats and opportunities of the organization, developing a plan for achieving the goals, and finally evaluating it and reviewing (Gamache, 2008; Duncan,
1- Investment decision 2- Financing decision, 3- Assets Management decision.