Research On Comprehensive Budget Management Of NX Power Company

Comprehensive budget management is one of the methods which make great efforts to manage a company. It has been disputed since 1990’s due to the development of economic information technology, change of economic environment and adjustment of organization structure, which in return brings more requirements for applying budget management in the current conditions. At present, many large and medium-sized companies in China have to implement comprehensive budget management, but most of them are not using such strategy as effectively as foreign companies. Comprehensive budget management contributes to both gaining the economic benefits and optimizing resources distribution with the help of marketing. Traditional budget management only focuses on the financial objectives of the enterprise, while ignoring the non-financial ones. Apparently it does not fit overall management strategy well and this will slow down the long-term development of enterprises. Therefore, comprehensive budget management is particularly important.The thesis was written based on many researches, quantitative and qualitative methods. First of all, it summarizes relevant research results in comprehensive budget management and introduces the theories briefly. This thesis expounds the relationship between enterprise development and comprehensive budget management, and illustrates the principles of building comprehensive budget management system. Secondly, it interprets the background of NX Power Company, especially in its operation and strategic target and discusses budget preparation, budget building, budget execution and control, budget evaluation and incentive system in details. According to the problems, the thesis as well provides suggestions for better comprehensive budget management, which includes establishing a strategy oriented budget management model, improving budgeting methods, strengthening the budget control and improving the budget and incentive mechanism. Finally, the thesis arrives at conclusion and gives direction of budget management development and related researches in the future.