What is a good budget environment?
Do you work in an ideal budget environment?
Consider how you would rate the budgeting environment in your organisation as the following statements.
The ideal environment for developing a budget is where:
• organisational structure is deliberate and appropriate
• mission, goals and objectives are understood and agreed
• individual responsibilities are understood and agreed
• processes, procedures and policies in place, are accessible and are followed
• planning and budgeting are part of the culture
• budgets are clearly disseminated to managers and to the work teams
• individuals have appropriate financial and non-financial skills
• individuals have the authority and delegations to discharge their responsibilities
• individuals have the confidence and the knowledge to carry out their responsibilities