39 Principles Of Enterprise Financial Budget Control

1, budgeting is an essential means of control for enterprise goals. The optimization of enterprise efficiency depends on effective control of resource input in the whole process of operation, and enterprise budget should be system management based on process control.

2, the budget takes the business process and its control as the core, changing the nature of the traditional budget.

3. On the basis of business, more emphasis is placed on the dynamic nature of the budget and the relevance of the organizational goals.

4, people, especially the executive layer of the backbone, is the relationship that determines the successful implementation of the enterprise budget.

5, resources determine goals, but vice versa.

6, the opportunities faced by enterprises have two boundaries: absoluteness and relativity.

Absoluteness refers to the external environment and systemic risk that any enterprise can not control.

Relativity refers to the different management results caused by the different management techniques and the disposition of resources of different enterprises.

7, resources for an enterprise are always limited.

The difference between different enterprises is the optimal combination of resources and their degree.

8, budget is the resource path to verify and achieve organizational goals.

The goal itself is neither reasonable nor reasonable, but can not be proved by its goal itself.

The rationality and the realization of the goal should be proved by the path of achieving the goal: existence of the path, existence of the target, reasonable path and reasonable goal.

9, the organization's strategic planning is the source of budgeting; the correct link between strategic planning and budgeting is the basis for the budgeting of business departments.

10, avoid by all means: when making goals, close doors and make cars; after the goals are determined, they will be loud and loud.

11, the role of financial institutions in budgeting is focused on organization and balance, rather than simply cutting the budget.

12, the real enterprise interest guarantee is the only criterion to achieve the goal of enterprises and the optimal input and output.

This is a major problem that every professional engaged in financial work must solve in concept.

13, the rigid principle of budget is not mechanical. If we confirm that we can prove that the market has output opportunities, we must adapt to the market with a flexible budget adjustment mechanism to make up for the lack of static budgeting.

14, the goal of organization starts from setting, which is a process of continuous proving and adapting.

In the determination stage, the target is adjusted by resource capability; in the implementation stage, adjusting the way of resources to dynamically adapt to the market does not necessarily need to adjust the goal itself.

When resources are invested according to market opportunities, the objectives are automatically adjusted.

The emphasis of the budget is on process control, which not only means filtering the necessity of input, but also shows concern about the variation factors in the implementation of business activities, and responds quickly to the relevant resource allocation.

15, the three key elements of target implementation are resources, path structure and control.

The role of control is to establish dynamic connections and interventions between resources, path structures and objectives.

16, the organizational path of target implementation: everything is done, and the right person does the right thing.

17, the information path of target implementation: take the enterprise as the core and establish a complete information network.

18, the traditional budget management is puzzled: how can the finance department examine and approve the budgetary increase? Positive solution: the necessity of increasing the budget should be examined by the business department, and the business department should make a proof of the adjustment application.

19, spending is more important than earning money.

20, the business budget is based on business activities, not accounting, not data.

The budget is dynamic, not static; it is activity, not text.

21, the language of budgeting is divided into two categories: one is the business language budget; the two is the accounting language budget.

22, budgeting: to reflect the needs of the business activities that decompose and support the target with the business budget; to abstract the business budget in accounting language and form the enterprise budget.

23, budget implementation: according to the market's influence on business activities, dynamically adjust the resource requirements of business activities.

24, adjust budgeted budgets with changing markets and businesses, instead of measuring and limiting dynamic businesses with budgetary budgets.

Budgets can be changed, they can be super, and they should be absolute rules.

25, how to judge the necessity and rationality of budgetary change? Answer: on demand.

The requirements of the business department are not all demand; the will of the leader is not demand; the demand must be proved.

26, budgetary control of resources does not simply control resources on resources, but focuses on input output ratio.

The emphasis is on the need to invest, not just in line with budgetary figures; not only do we need to know the correct number of input resources, but also understand what the numbers mean and the truth behind the figures.

Should not invest, one point does not invest, the input, we must urge the business sector to invest.

27, the budget is divided into two levels: enterprise budget and functional department budget.

The corresponding programming languages can be divided into two categories: accounting language (abstract, comprehensive reflection of the input of the whole organization), and unrestricted language based on business needs (interpretation, reflecting the specific resource needs of specific departments to complete their decomposition objectives and tasks) - which can eliminate the misunderstanding of "enterprise budgets" to "financial budgets".

28, budgetary control is not coercion.

Input is necessary for output and input must be output.

The business is over and the budget is over.

29, judge whether the budget is reasonable or not.

30, the best budget is not to invest in the smallest budget, but to achieve 100% of output and 95-98% of the budget.

31, budgetary control rules: (1) comprehensive control rules.

That is, all inputs must be budgeted: no budget, no money, unless the budget is adjusted.

There is no "extra budgetary" argument.

(2) prior control rules.

All incoming resources and behaviors must be subject to different budget audits in advance.

Resources are corporate, not departmental.

The Department can only be used within the scope of the budget and approved by the company.

Due to the differences in environmental information between the budgeting stage and the implementation budget stage, the budgetary budget can not be the sole reason and basis for resource input.

(3) importance control rules.

That is, classified control, large scale and small release (20/80 rules).

32, the traditional budget is terminated in the compilation. From books and practice, the emphasis is on how to prepare budgets. Budgeting is not a resource input. Only when resources are put forward and implemented by the business, can resources be truly invested and allocated.

33, the control of intervention in business activities is the only form of budget existence.

To measure whether an enterprise has a budget is not to see how many budget forms are compiled, but to see whether it can intervene in business activities and have veto power on the input of business resources.

The form of budget involvement in business activities is: (1) revising budgets in the course of business implementation.

(2) control the effectiveness of input and output in the process.

(3) control the organization's value objectives in the process.

34, 3 rules approved by the budget: (1) resource users are separated from resource approvals; (2) decentralization is approved step by step; who will use it and who will apply for it.

The approver shall examine or approve the audit according to the prescribed authority.

35. Rules for budgeting: (1) target guidance rules; (2) who spends money, who works, and who budgets; and the reasons for that are: first, who is the basis of responsibility.

Who budgets, what responsibilities to bear, and what budgets to prepare.

The two is the technical foundation. Whether it is technology, information or workload, the budget of the business department should not be or can not be handled by the financial institutions.

(3) responsibility of the financial department: organizing, testing and balancing the process and results of budgeting.

(4) logical rules: the budgets of various business departments must be based on business.

The sequence is compiled.

All budgetary budgets must list the rationale and basis for calculation, and then become specific and directly related to business.

The form of the budget items is fixed, and the key point is to list the reasons for the project and the calculation process.

- eliminate invalid budgets.

(able to train managers)

36, enterprises

The flexible rule: proper leaving room and flexibility to deal with emergencies and accidents.

37, the rules of budget adjustment: (1) adjust the rules of inevitability: market changes are inevitable; (2) budget adjustment is both digital adjustment and behavior adjustment.

The emphasis is on behavioral adjustment.

38, the budget is the company's behavior rules, should take CEO as the core, the responsible person is CEO. in charge of leadership, responsible for daily budget control.

Violation of budgetary control is not against the financial institutions. It is a violation of the rules of the company and a challenge to the authority, interests and will of the company.

39, the starting point of budgeting is the goal of enterprises, and the constraint of budgets also stems from the objectives of enterprises.