Budgeting at an enterprise is a centralized plan consisting of sections that describe in some detail the financial flows of all significant and secondary structural divisions of the company. When laying it out, it is recommended to observe the following provisions:
Compliance with the requirements of the regulatory framework. The basis for drawing up a financial plan is the local acts adopted and approved at the enterprise that do not contradict federal legislation.
Development of methods by which the enterprise budgeting process will be ensured.
Personnel decision. Creation of a department of specialists responsible for planning, distribution of powers between them.
Careful analysis of key indicators and prioritization.
Building a system of management and control over the budget execution process.
4 - Requirements for the organization of the budgeting system
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Large companies with many structural self employed data package divisions use specialized financial planning systems consisting of a summary table that includes, as component parts, the budgets of all departments and services with key indicators characterizing their functional features.
For small firms, it is enough to implement a minimalist distribution. However, despite the scale, these two approaches use similar principles and the same set of coefficients.
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