Research On Strategy-oriented Enterprises Comprehensive Budget Management Model

As a modern corporate management tool, comprehensive budget management has played a very important role in practical use. Comprehensive budget management realizes the purposes of streamlining resources, continuously improving business, effectively controlling risks, definitely carrying out strategies and progressively increasing value through consolidating the business, information, liquidity and human resources in enterprises. So far, there have been more and more enterprises in China to adopt comprehensive budget management, but less than a half got success. The utilization level has a large gap from that of developed countries. Therefore, In this paper, strategy-oriented enterprises comprehensive budget management model is chose as the topic, in order to suggest some useful recommendations to the comprehensive budget management in China by normative research and case research.The whole thesis consists of five chapters. Chapter one begins with application backgrounds and significance of comprehensive budget management, summarize achievements of comprehensive budget management at home and abroad, outline research methods and contents, innovation and deficiencies of this paper. Chapter two introduces the development process, meaning, features and functions of comprehensive budget management, forming the theoretic base. Chapter three gives a definition of comprehensive budget management model, then evaluates comprehensive budget management model at home and abroad. I hold that our country should further generalize the application of strategy-oriented enterprises comprehensive budget management model, furthermore, our country should refer to the merits of budget management model from abroad, such as paying attention to performance indicators of motivation, continuously improving performance, in order to improve the application of this model in China. Chapter four constructs a strategy-oriented comprehensive budget management model, which is the focus of this paper. I believe that Chinese enterprises should take paying attention to performance indicators of motivation and continuously improving performance as the principles, build a strategy-oriented comprehensive budget management model, including budget management circulation system and budget management support system. Budget management circulation system includes budgeting, implementation, control and evaluation of budget management, a total of four parts. Budget management support system includes internal audit mechanism, budget management information systems, and incentives mechanism, a total of three parts. Every part is possessed of different aspects, every aspect is possessed of different methods of implementation, Enterprises can choose different parts, aspects and methods to build strategy-oriented comprehensive budget management model accounting to their own situation. Chapter five analyzes the application of comprehensive budget management in LX corporation. I describe the evolution of the case in detail, sum up the successful experience of LX corporation, raise the problems, then give recommendations for improvement; in the final, I raise six suggestions of improving the use of Chinese enterprises' comprehensive budget management: correctly recognizing the function of comprehensive budget management, improving strategy as guidance, improving informatization, referring to the successful experience of the comprehensive budget management mode in foreign countries, focusing on intellectual capital management, and making comprehensive budget management detailed and correct.