Division Plans

This article demonstrates what problems the society can crashing on, who used this or that approach to the budgeting process. There are two types of budgeting: periodic and moving. In particular the company of periodic can go to the moving budgeting. Periodic budgeting representing the process of development of the budget of the company for a certain period of time after its completion, the process is repeated. Such period usually lasts about a year. Moving budgeting is characterised by the Division of the period of planning in some stages.

So analyzed the company which drew up the plan for a year, end of March the implementation of budget plans for the first quarter, contributes the corresponding corrections to the budget plans until the end of the year and makes the budget for the first quarter of next year. For the organizations, which carry out the activity according to the principle of the project, a real possibility of appearance does not exist new, scheduled earlier projects. It rolls on a question of the cut of the timeliness of budget plans before them. For the company, which is at the same time engaged in construction in many countries of the world, in several markets, it is extremely difficult, if it is at all possible, to consider the creation of new Extender for 7-8 months before the participation. Therefore, it is the conclusion of contracts in the sizes that differ from the planned, a common practice. A logical result of such circumstances for the case with the periodic annual planning is a necessity in the change of plans of the building, and that means reducing the relevance of existing budget plans. There are at least two effective methods that can solve this problem in the traditional periodic budgeting process. First, the society to the compilation of some variants of the budget can grab.