Research On Optimization Of Overall Budget Management For BC Power Generation Companies

In order to achieve the strategic planning and Business objectives,enterprise need to arrange the various economic activities during the operation period.The Comprehensive Budget Management is a set of scientific and complete management system to control,analyze and assess the budget execution.Comprehensive budget management is an effective method and tool to translate enterprise strategic objective into concrete action plan,and is an effective means for enterprises to implement financial control.With the deepening of China's power market reform and the continue increasing of power market level,power generation enterprises are facing more and more fierce market competition,and it can be regard as a contest for the decreasing profit space.Therefore,how to optimize and improve the existing system to improve the management level and reduce the management cost in the power generation enterprises under group control is particularly important.This thesis takes the BC New Energy power Company under the DT group as the main research object,introduces the development trend of the new energy industry and the financial management characteristics of the group enterprises.Based on Principal-Agent Theory and Control Theory,this thesis expounds the organization system,main content and procedures of implementing comprehensive budget management in BC Power Company.The main effects of reducing cost,increasing benefit and perfecting management mechanism are summarized.It is pointed out that there are some problems in the process of implementation,such as the lack of science in budgeting,the failure of communication between superior and inferior,the gap between budget and medium-long term strategy and the poor budget control effect.It is pointed out that there are some problems in the process of implementation,such as the lack of science in budgeting,the failure of communication between superior and inferior,the gap between budget and medium-long term strategy,and poor control effect,which restrict the implementation effect.This thesis analyzes the causes of the problems,and puts forward some improvement measures which are operable,such as perfecting the authorization and approval system,using the budgeting method synthetically,strengthening the beforehand analysis and build Early-warning mechanism.At the same time,it also puts forward some suggestions for improvement to group managers: balancing the relationship between centralization and decentralization in financial control,increasing the decision authority of basic enterprises,Optimizing budget-compensation incentive mechanism to activate the management initiative of basic enterprises.Through the research and analysis,this thesis concludes that: through a series of improvement and optimization measures,it is expected to become a comprehensive management system of emphasizing whole process of control,so that it will play a greater role in management promotion and economic efficiency.