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Significance of performance budgeting
Performance budgeting will help the management of companies by introduction of management objective to improve performance. Further it will identify and evaluate alternative programmer and activities on the cost benefit analysis so that these are undertaken for attaining the given objectives. On the basis of priorities performance budgeting may provide a rational basis allocating funds.
Performance budgeting may be said to integrate the planning budgeting costing reporting and control system by an enterprise. It can be applied with other techniques like PERT and CPM
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Alternative performance measures There are various measures that can be used to measure performance of a decentralized company. The major ones are: • Return on Investmen
Control Control includes a comparison of actual performance with the plan so that deviation from the plan can be identified and corrective action taken. It can be define
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