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Budgeting

Constructing and controlling budgets

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The owner of a small manufacturing business finds himself in a typical predicament: sales are up 50 per cent on the previous year but profits are down.

His more knowledgeable friend is able to explain that the increase, and the extra expenditure it incurred, were not previewed in the original budget – indeed, the budget appears to have been ignored altogether. He explains where the owner went wrong and why his working goals cannot be separated from financial realities.

This humorous programme uses clear examples aided by graphics to teach all managers, including those with no prior knowledge, to appreciate the importance of budgets to business activity, and guides them on how to construct and control a budget.

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Mark Helen Baxendale
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