Disadvantages of participatory budgets , Managerial Accounting

Disadvantages of participatory budgets

 

  1. They consume more time and therefore are more expensive
  2. The advantage of management participation may be negated by failure to implement the budget by senior management leading to dissatisfaction similar to that experienced with imposed budgets.
  3. Such budgets may cause managers to introduce budgetary slacks ( A budgetary slack is a margin set between what can be achieved and what managers state will be achieved)
  4. Managers may be unqualified to participate and therefore the budgets may be unachievable
  5. Participatory budgets may support empire building by sub-ordinates.
  6. An earlier start to the budgeting process maybe required when there is uncertainty about the future.

 

Posted Date: 12/7/2012 8:07:00 AM | Location : United States







Related Discussions:- Disadvantages of participatory budgets , Assignment Help, Ask Question on Disadvantages of participatory budgets , Get Answer, Expert's Help, Disadvantages of participatory budgets Discussions

Write discussion on Disadvantages of participatory budgets
Your posts are moderated
Related Questions
companyXYZusesthe job oder costing system.

The most ticklish difficulty that is faced through the finance manager is the resolve of the amount of working capital requirement at a specific level of production. To resolve thi

???? ????? ???? ???? ??????? ???? ??????? ??????? ???. ???? ?????? ?????? ?????: (?) ??????? ??????? ??????? ????? ?? ????? ????? ?? (?) ???? ??????? ??????? ?? ???? ???? ????? ?

I don''t know how to do a variable income statement. Here is my assignment: The Used Books Company is a small online retailer operating out of a garage apartment. The owner buys

the suitability of incremental budgeting to a stable and static environment

Limitation of break even charts Despite many advantages a break even chart suffers from the following limitations: 1) A break even chart is based upon a number of assumption


Describe the important role that the corporate level strategy has in relation to the development of the business and functional strategy in a multi -business organization

Q. Show process of Pricing under decline stage? In this stage the producer should follow the pricing strategy which may fetch revenue not less than its cost of production. If h

Acceptance and Allocation of Resources Managers, subsequent a review and analysis of all decision packages, will establish the level of resources to be assigned to each decisi