The Case Study Of Company MT’s Budget Management

With the change of economic environment and the increasingly fierce market competition,enterprise groups,the realization of the strategic planning,depended on the landing of an annual budget management,budget management,as a kind of comprehensive management system,the enterprise’s financial management and management level fusion,is not only the enterprise strategy management tool,is an important means of internal management control.Practice has proved that the implementation of budget management can not only effectively improve the company’s strategic management ability and profitability,achieve effective supervision and assessment,improve the efficiency of the use of limited resources within the company,strengthen the company’s business risk management.However,as a subsidiary,how to make the company’s budget management content and the strategic objectives of the group company synergistic? How to allocate resources effectively under the condition of the general budget? The change of the dynamic business environment causes the change of the implementation control of the budget management.How to carry out the structural budget adjustment and early warning control according to the financial and non-financial resources has theoretical and practical significance!This article selects the MT company as object of case study,the company according to market changes,in order to improve business performance and earnings performance budget management as the research key,using the principal-agent theory,and strategic development theory and the balanced scorecard theory,combining the theory and case research method,selection of 2014-2017 financial data as the foundation of research,in-depth analysis of MT company budget management culture and philosophy,and through the budget management step by step to achieve strategic goals.The main content of this paper includes four parts: first,introduce the research background and significance of this paper,review relevant literature,and briefly describe the research content and methods.Secondly,the development history and operation status of MT company’s parent company NW group and MT company are described,with emphasis on the status quo of MT company’s budget management,and the financial results after MT company’s implementation of budget management.Thirdly,in the case analysis part,from the perspective of MT company’s budget objectives and strategic objectives,the strategy is transformed into subsidiary action plan and path analysis,the structural budget resource allocation under the general budget constraints,and the budget implementation control and budget management effect of MT company.Finally,on the basis of case introduction and case analysis,the enlightenment of case study is obtained.This paper draws the following conclusions through case analysis :(1)the company’s budget management objectives and resource allocation are based on the strategic orientation of the group company.(2)the allocation of budget resources is a matching process between administrative power and financial power.(3)the implementation and supervision of budget management is the key link of the subsidiary’s budget management.(4)the gradual improvement of budget management has a positive impact on the achievement of MT company’s performance.Through the case study of MT company,the enterprise budget management must be based on a strategic direction,and budget management for the enterprise to realize strategic target,optimizing the allocation of resources,improve the efficiency of enterprise operation has positive utility,which can provide unit budget management with management experience for reference,for the effective implementation of the budget management experience in the future.