Program Objectives:

 By the end of the program, participants will be able to:

• Demonstrate how the budget relates to the key financial statements: balance sheet, income statement and cash flows.
• Prepare a budget consistent with the organization’s strategic plan.
• Use appropriate estimation techniques in the development of revenue and expense budgets.
• Identify all the appropriate costs to be included in a capital expenditure proposal.
• Apply cost control tools, analyze management variance reports and take proper corrective

 Who Should Attend:

 All managers, supervisors and analysts who prepare and/or use management budgets.

Course Contents :

 Principles of Budgeting and Cost Control

• The Critical Functions of Management
• Control: The Missing Link

Linking the Tactical Budget to Strategic Objectives

• The Strategic Planning Process
• Budget as a Planning Tool
• Aligning the Budget with the Organization’s Strategy

Types of Budgets

• The Master Budget
• Operating and Capital Budgets
• The Budgeted Financial Statements

Approaches to Budgeting

• Incremental Budgeting
• Zero-Based Budgeting
• Fixed Budgeting and Flexible Budgeting
• Kaizen Budgeting and Continuous Improvement
• Activity-Based Budgeting

Budgeting and Costing Techniques

• Break-Even Analysis
• Use of Standards in Budgeting
• Different Forecasting Methods
• Trend Analysis and Cost Estimation
• Characteristics of an Effective Budget

Project Budgeting

• Planning for Projects
• Direct and Indirect Project Costs

Cost Control and Management Budget Reports

• Budget as a Control Tool
• Approaches to Cost Control
• Characteristics of an Effective Control System
• Understanding the Need for Timeliness and Precision
• Variance Analysis: Identifying the Components of Variance
• Variance Analysis: Taking the Corrective Action
• Problems in Budgeting