A Study On The Optimization Of Operating Budget Management Of Company A

Operating budget management is a process that centers on the company's business ideas,supports production and operation through the allocation of resources within the enterprise,and finally achieves performance goals.Operating budget management is an effective grasp to help the implementation of the company's business strategy landing.Perfect operating budget management program helps the company's strategy landing precisely,and helps improving the company's performance and profitability.This paper uses the methods of documentation,statistical analysis,interview,empirical analysis and normative analysis,makes an analysis of the present situation of operating budget management of Company A by interviewing with the heads and budget managers of budget responsibility centers of Company A and collecting budgetary data and various basic data in recent years,and finds the following problems:the actual situation of subordinate branches was not fully taken into account when the operating budget management committee and the office had formulated objectives and allocated funds;the organizational responsibilities of the heads of budget responsibility centers were not fulfilled in place;there was no cohesion among the various parts of the target system of operating budget;the objectives of operating budget at all levels were not unified as a whole;the fit between resource input and strategy was low;the monitoring process of cost budget needed to be optimized;the monitoring system,the analysis and reporting system and evaluation system of operating budget were incomplete;the audit time limit of fixed assets investment projects lacked substantive assessment.Based on the above problems,we formulate an optimization programme for the operating budget management of Company A.The main points of the optimization plan include:improving the working mechanism of the operating budget organization,giving the branches opportunity to participate in the goal-setting and resource allocation;organizing the budget management by the heads of the budget responsibility centers;linking up each part of the target systems of the operating budget based on the strategy-setting objectives,integrating the objectives of each level into a whole;budgeting based on the established objectives;refining the cost budget monitoring into projects;improving the budget monitoring system and the analysis report system,covering all aspects of the operating budget;letting the achievement of the sales objectives and production objectives as the rejection items of the budget assessment,adding the profitability assessment of branches and the audit time limit assessment of the investment items of fixed assets into performance appraisal.In addition,it provides guarantee measures for the implementation of the optimization programme from the four aspects of organization,personnel,system and informatization.