Comprehensive Budget Management Study On M Coal Group

With the vigorous development of China’s coal industry, coal enterprises are faced with morechallenges and fiercer competition. In order to adapt to the change of market environment and therequirements of market economic system reform, it is necessary to improve the enterprise group’smanagement level. Due to the particularity and independence of coal industry and the dispersiveness of thegroup’s management control, Coal Group’s management still has many problems and lacks a unifiedmanagement system. As a method of management accounting, budget management has functions ofprediction and coordination with business activities, as well as control, motivation and evaluation. Budgetmanagement is not only a management means which always puts enterprise development strategy to thefirst place, but also the core of the business management control system. As modern enterprise system isstill under construction and the use of comprehensive budget management in the enterprise is still in theexploratory stage, there are still some blind spots and errors on the understanding and practice in theadvancing process. Its scientificity and rationality need to be improved. For instance, budget managementand corporate strategy being disjointed, lack of budget management organization system security andinsufficient attention to issues such as budget control and evaluation, which have made the effect not ideal.Improved overall budget management system not only helps to improve cost management capabilities ofCoal Group, but also helps to conduct business management and decision-making control.The purposes of this paper are to find out the specific schemes and guarantee measures to solve theproblem, which is mainly based on the analysis of the causes of the comprehensive budget managementissues, and to help M Group gain an advantageous position in the market, gain competitive advantage andachieve optimal allocation of resources, which is based on the scientific analysis of comprehensive budgetmanagement. This study puts emphasis on the use of theory in reality, therefore, the paper follows theresearch idea which is from theory to practice and from the macro to the micro. By combining the statusquo of the M Group’s comprehensive budget management with the theory of comprehensive budgetmanagement, the paper analyses the deficiencies and proposes countermeasures and suggestions which canhelp M Group improve its budget management, and then explores and establishes a budget management system and performance appraisal methods which meet the needs of management, and finally applies themto specific aspects of the implementation.By combining with the practical situation of M Group, this paper uses the theory and methods ofmanagement to research and analyse the comprehensive budget management of M Coal Group in terms ofthe total situation of M Group, the status quo of the comprehensive budget management, the organizationsystem of comprehensive budget management and management structure, process and content in thestrategic orientation perspective. This paper also studies some issues of M Group and puts forwardcorresponding countermeasures which combines theory with practice. This paper is divided into five parts.The first part is the introduction. It includes the paper’s research background, purpose and significance,exposition of the study actuality at home and abroad in terms of the comprehensive budget managementtheory, the role of functions, methods of preparation, performance evaluation, the relationship withcorporate strategy, organizational system etc. and introduction of the research methods and structure of thispaper.