Research On Problems And Improvements Of China Life Insurance Hunan Company's Comprehensive Budget Management

In recent years,with the gradual development of China's socialist market econom y,the external competitive environment and the internal control environment is chang ing.Budget management is an important management mechanism for the effective all ocation of resources within the enterprise.Enterprise budget management got more an d more attention by managers.At present,most enterprises have problems with the bu dget management mechanism.Especially with the growth of enterprises,and due to th e budget management is unsound,many problems has been exposed.China Life Insurance Hunan Company has maintained a leading position in Hunan life insurance industry by increasing the scale of regular premium business,promoting the transformation of bank insurance sales channel,enhance their sales force.However,in the development process China Life Hunan Company tend to pay attention to the market and scale,ignore efficiency,management and other issues.Therefore,through the improvement and optimization of the overall budget management system,making it an effective management tool to improve corporate governance,improve management efficiency,and to achieve China Life Hunan Company's strategic objectives.Through several investigations to Hunan company and the latest research results of budget management at home and abroad,according to the budget management process,for each link such as budget organization is unreasonable,budget relaxation affects achieve goals,budget overrun,budget control is not flexible,lacks a comprehensive evaluation system.These problems are mainly due to the lack of awareness of the importance of the budget,the information asymmetry of the budget preparation process,the budget implementation process is not standardized,the lack of budget control and analysis.At last,the combination of the company's internal environment and the insurance industry's external environment,put forward the strategic-oriented budget management,make the target profit as the standard of budget preparation,budgeting process reengineering,comprehensive use of multiple budgeting methods,build up standard budget approval system,implementation difference analysis method,strengthening cost control,refine the cost classification,establishing dynamic budget adjustment mechanism,improve budget internal audit system,the combination of flexible control and strict control,the establishment of scientific evaluation system and long-term incentive mechanism.This paper take China Life Hunan Company as a research case,Conduct in-depth investigation and research on the budget management model of the company,combine the overall budget management theory and the company's internal and external business environment,analyze the implementation,adjustment,evaluation and other aspects,and then try to detect the causes of these problems,put forward the optimization program to improve the effectiveness of budget management.The research contents have good targeted industry,and the optimization suggestions based on the actual operation also have some reference for other insurance companies.