Its a rapidly evolving world today, and success demands the ability to plan at both the strategic and tactical levels. In this two-part course participants will learn how strategic analysis, strategic and tactical plans, and the budgeting process interact with one another. They will also learn the underlying core concepts and process of successful planning and budgeting.
The second part of this two-part course will use formulas and realistic examples to illustrate effective budgeting systems appropriate in today’s fast-changing corporate environment while exploring the forecasting process. After completing this session you will be able to:
- Recognize the purpose, mechanics, benefits, and limitations of various budgeting methodologies: Annual; Project Based; Activity Based; Zero Based; Continuous/Rolling; Kaizen; Flexible.
- Recognize the purpose, characteristics and process used to develop the components of the annual profit plan, including:
- Operating budgets (sales, production, direct materials, direct labor, overhead, cost of goods manufactured and sold, and selling, general administrative)
- Financial budgets (cash budgets, pro forma financial statements, capital budgets)