Comprehensive Budget Of The Modern Enterprise Management Theory And Practice

Comprehensive budget management has developed into a kind of comprehensive operating and management mechanism from initial function of cost control and financial plan. At present, it is an effective tool to realize the enterprise's strategic objectives. But there are a lot of problems in budget management implemented in practice. For example, the budget management cannot well support the company's strategy; the budget worked out by enterprises is lack of the objectivity and the valid evaluating and incentive mechanism and so on. It is difficult to reach the expected effect for company. This paper probes the theory of enterprise's comprehensive budget management round the enterprise's strategic objectives systematically; strengthens the strategy-oriented budget management; constructs the comprehensive budget management system standing in strategy; realizes the function of budget management of distribution the corporate resource, control and evaluation etc. This paper starts with meaning, function, characteristic of enterprise's budget management, explains the concept of comprehensive budget management from many aspects, analyzes the general procedures of budget management round the company strategy. Because of the enlargement of the scope of the enterprise, the company needs different capitals invested to form the pluralistic stock structure, and then produces principle-agent relation, so there are corporate governance issues raised. Then analyzes the relation between corporate governance and budget management. Continually this paper studies how to establish and resolve the goal of enterprise budget. A reasonable goal can lay the good foundation for succeeding work of budget management. At different developing stages of enterprise, there are different strategic objectives in the same enterprises, so we will choose the suitable comprehensive budget management mode to match the corporate developing strategy. As a effective tool connecting with the business strategy closely, the application of the balance scorecard makes the budget evaluation close and associative to the corporate strategic objectives, this paper introduces the application of the balance scorecard especially, stresses strategic performance appraise through evaluation indexes, and realizes budget management support function to business strategy; Then explain the construction of the budget management organization and responsibility center network, budget establishment, budget execution , budget adjustment, budget control and the budget evaluation in detail, thus corporate budget management system is established. Finally, this paper combines actual case to analyze implementing process and existing problem of comprehensive budget management with Shandong Huantai ceramic manufacturing company. Under the economic globalization trend and complicated and fierce competition, the administrators of enterprises should fully know the realistic significances of comprehensive budget management.This paper is focused on enterprise's strategic objective to analyze innovation of budget management, and applies the balance scorecard to the enterprise's comprehensive budget management system to solve the problem of budget management divorced from company strategy. The author hopes that there are certain practice meanings for the enterprises of our country to implement comprehensive budget management through the research of this article.