Strategic Budgeting for Business Success
Strategic Budgeting for Business Success: The president of Coopie Awards was analyzing the actual and budgeted results of operations for the current year. She noticedseveral favorable variances and gave accolades to the production manager in a meeting. She also noticed that the sales variancewas unfavorable and spent considerable time questioning the sales vice president. She stated: “If production hadn’t managed costs so well to cover for your lack of sales we would have racked up quite a large net loss for the year.”
For your initial post, discuss your reaction to the president’s comments, meeting demeanor, and professionalism. Would you have handled the situation the same if you were her? If not, what would you have done differently? Why?
Answer previewStrategic budgeting allows an organization to project the future needs of the business. In the process of budgeting, a variance analysis has to be conducted. When organizations are conducting a variance analysis, they have to evaluate whether the variance is a favorable variance or unfavorable…(380 words)