12/02/2020
Budgeting is a corporate game people play. It consists of politics, negotiation, and top-down opinion. The budget becomes what a CEO wants.
Budgeting is not about sales, costs, and profits. These are outcomes, lag measures.
Budgeting is about lead measures – inputs – allocation of capital to strategic projects that will drive performance.
CEOs must own budgeting.
They must articulate their understanding of what drives sales, costs, and profits. For Example: Read the full article here - http://bit.ly/2SnwWFj
Budgeting is a corporate game people play. It consists of politics, negotiation, and top-down opinion. Budget becomes what a CEO wants.