Explain limitations of budgets, Operation Management

Assignment Help:

Explain limitations of budgets.

Limitations of Budgets:

(i) Since budget is based on calculates approximately, that is, estimated sales, estimated business conditions and estimated costs. It may require periodic revisions since estimates may not come out to be percent true.

(ii) A budget may not work when the idea of budgeting is not sold appropriately to different sections of the business. Only the persons working in various sections can make an established budget, a success. Therefore, it should be a cooperative budgeting.

(iii) A budget cannot work till the desire to make this work is established in the minds of persons working in the various sections of a business concern.


Related Discussions:- Explain limitations of budgets

Explain role in establishing a canadidate''s brand, How does the use of mus...

How does the use of music in political play a role in establishing a canadidate's brand?

Management believes to solve linear programming problem, The Northwest Flow...

The Northwest Flower Company owns a greenhouse, which furnishes roses and carnations to florists in Oregon, Washington, and Idaho. The greenhouse can grow any combination of the tw

Explain annual holding and order costs, Item Cost - $7.00 Order Cost - $283...

Item Cost - $7.00 Order Cost - $283.00 Annual Hold - 32% of item cost Annual Demand - 22,100 Average Demand - 442 per week Standard deviation of weekly demand 20 per week lead time

Explain bebts, Champ Sports Corporation buys the assets of Delta Athletic C...

Champ Sports Corporation buys the assets of Delta Athletic Corporation. Champ continues Delta's business and retains the same personnel. Is Champ liable for Delta's debts?

Explain what charles schwab & pfizer works, Read the Ask Chuck & a New Kind...

Read the Ask Chuck & a New Kind of Structure Case Applications on pages 283 & 284. Describe what Charles Schwab & Pfizer Works are doing. Discuss what role organizational structure

Explain maturity of a bond, What is the yield to maturity of a bond that pa...

What is the yield to maturity of a bond that pays an 3% coupon rate, matures in 15 years, and is currently selling for $850? a.) 8.75% b.) 4.37% c.) 4.39% d.) 17.50%

System complexity - boulding taxonomy, System complexity - Boulding taxonom...

System complexity - Boulding taxonomy  To obtain an insight into the nature of the system with which the operations manager is dealing, consider the economist Kenneth Boulding

Work study, techniques & applicationa

techniques & applicationa

Explain what should peter recommend to gwyn, What should Peter recommend to...

What should Peter recommend to Gwyn about Dana's case?

Explain brief business plan that highlight the financial, Imagine that you ...

Imagine that you are beginning the first social networking site, fast-food restaurant or pizzeria, and develop a brief business plan that highlight the financial, marketing and org

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd