How to Develop and Administer a Budget: Budgeting for ManagersHome / Leadership and Management / Seminars and Workshops
This onsite Budgeting for Managers seminar is designed to make budgeting your most powerful and reliable management tool. In this 1-day training, participants learn practical skills for monitoring costs, planning efficient use of resources and achieving financial objectives.
Managers learn how to create and monitor a budget that will improve performance in their department and the organization. They discover how to use the budget process as a planning tool to consistently meet and exceed financial goals and expectations.
Using interactive discussion, case studies and practical exercises, participants learn how to determine profit margin and break-even points. They will develop skills to accurately judge the impact of expenses on projects and make forecasts on performance. Participants practice applying up-to-date rules and techniques to truly understand the realities, opportunities and limits of the short and long-term budget process.
Let’s face it - most managers hate the budget process.
One reason budgeting is difficult for managers is that they share some misconceptions about budgets and budgeting.
Do any of these sound familiar?
- Managers see budgeting as a chore that ends up being a guess (at best) and something they must endure to keep their boss and the controller off their back.
- Managers see budgeting as a numbers game where you: Make the revenue match the expenses. Show lots of complicated financial information.
- Managers think the best way to get the budget approved is to use the phrase: “Trust me, it all adds up.”
- Managers take the approach of: “Just tell me what you want, and I’ll make the numbers work.”
- Managers understand the “Do more with less” motto, but don’t have a clue as to how to do it.
- Managers think making “across-the-board cuts” means to simply dilute all projects, services and resources by a certain percentage.
If any of these budgeting myths sound familiar, your managers need this training.
When managers do not understand the budgeting process they are unable to effectively participate in a decision-making process that can make, or break, your organization.
Tough economic times challenge managers to be good leaders. This is especially true when it comes to dealing with financial issues. Economic pressures can cause indecision and poor decisions when it comes to budgeting. Unfortunately, many managers have not had sufficient training to meet the challenge of developing effective budgets – even in good times.
This seminar trains managers how to build valid assumptions to make good financial decisions and build flexibility into their budgets for a rapidly changing business environment.
Who Should Attend
This course is designed for managers who do not work in the accounting department, but need to have a good understanding of the budgeting process.
- Apply the essential elements of a workable budget
- Interpret the financial side of the organization
- Recognize the sources of cash flow
- Breakdown financial statements
- Recognize the difference between direct, indirect, variable and fixed costs
- Prepare a break-even analysis
- Recognize alternatives to capital funding
- Build flexibility into your budget
- Prepare and deliver better budget presentations
Overview of Concepts and Deliverables Provided
- Identify the rationale of budgeting
- Recognize the approaches to budgeting
- Recognize the correlation between the strategic plan, budgeting and the managerial process
- Recall the variables of budgeting: factors, attitudes, environment, functions and inherent problems
- Identify the budget types
- Identify the phases of budgeting: planning, preparation and control
- Design a budget schedule
- Apply the basic budgeting formula
- Prepare and manage an operational budget for a department: burden rates, gross expenses and earned value
- Identify cost behavior: break-even, marginal costs, fixed & variable costs, committed & discretionary costs, controllable & non-controllable, opportunity cost, regression
- Recognize the difference between actual costing and standard costing
- Determine how to estimate indirect/direct costs
- Produce a sales/marketing budget: pricing a product/service
- Recognize how to successfully present the budget
- Identify how to monitor the budget
- Discover the methods used for forecasting
- Recall and utilize the most common financial ratios
- Analyze and explain variances
- Determine what factors effect the capital budget: NPV-ROI-Payback Period
To receive more information about this training call toll free at 877-385-5515.
You may also email us at Leadership-Management-Training@alliancetac.com.