Advanced Budgeting for Business Enhancement

Institution HRODC Postgraduate Training Institute, A Postgraduate-Only Institution
Method At the institution
Location London
Type Postgraduate
Course fee By request

+ Information by E-mail

Advanced Budgeting for Business Enhancement

Objectives At the conclusion of the specified learning and development activities, delegates will be able to:

•Demonstrate an understanding of ‘cost’ as a feature of organisations

•Display a heightened understanding of ‘cost’ as a control mechanism

•Exhibit a high level of understanding of cost information generation

•Illustrate how cost information can be effectively retrieved, analysed and utilised for organisational effectiveness

•Strategically analysis the formulation of long-run and short-run budget

•Identify the principal factors required to produce a successful business case

•Demonstrate their ability to utilise budgeting & financial skills required for better decision-making

•Identify sources of financial and business data to support the budgeting process

•Demonstrate the use of the appropriate techniques and methodologies to simulate typical business scenarios

•Use Information for informed management decisions

•Exhibit a heightened understanding of management’s use of management accounting information

•Highlight the importance of the role of management accountants in business effectiveness

•Distinguish between Basic Cost and Cost Analysis

•Demonstrate a heightened understanding of Cost Behavior and Cost Estimation

•Outline the Different Approaches to Cost Planning, employing traditional and advanced techniques

•Effectively utilise Cost Planning and Budgeting in business functions

•Create and operationalized a Master budget

•Demonstrate the value of Zero base budgeting in an Organisation’s budgetary function

•Learn the concept of Activity based budgeting

•Demonstrate a high-level grasp of the concept of rolling budget

•Execute the Decision-Making process with Relevance Costs and a Strategic Emphasis

•Follow the step-by-step budgeting procedures

•Identify budget deficiencies

•Prepare a correct budget report

•Determine the variances which are required to be reported

•Learn how to report these variances

•Know how to control budget
Practical experience Use of Video Cases; Written Cases; Simulations and Industrial Visits.
Entry requirements 1st Degree or Equivalent Qualification
Academic title Diploma-Postgraduate in Internal Audit
Course description
Course Programme for Advanced Budgeting for Business Enhancement

Introduction to Cost, Cost Information and Review of Key Cost Concepts

· An Introduction to Cost Terms and Usage

· Review of Some Key Cost Concepts

· Cost Information

· Cost Information Generation

· Cost Information Retrieval

·Cost Information Processing

·Cost Information Analysis and Interpretation

·Using Cost Information to Enhance Organisational Effectiveness

·Costing As an ‘Operational Control Mechanism’

Different Approaches to Costing

·         Absorption (Full) vs. Variable costing

·         Cost Variability

·         Mixed Costs

·         Labor-Based Fixed Costs

·         Cost Based Purchase Quantities

·         Cost Based On Production Batch Sizing

·         Cost Based On Step Costs

·         Time-Based Cost

·         Experienced-Based Cost

·         Incorporating Cost Variability into Reports

·         Under-Costing and Over-Costing: The Consequences for Profitability

·         How to Refine a Costing System?

·         Activity-Based Costing (ABC) and Cost-Management

·         Activity Centres

·         Cost Hierarchy & Cost Drivers

·         Cost Centres

·         Responsibility Centres

·         Revenue Centres

·         Linking Resources, Activities and Management

·         Introducing Activity-Based Management (ABM)

·         Linkages between ABM and ABC – Monitoring Value Creation

·         Problems, Case Study and Examples

Introduction to Budgeting

·         Budgeting, Overview

·         Capital Budgeting

·         The Command and Control System

·         The Budget System

·         Operating Decisions Affecting the Systems of Budgets

·         Budget Iterations

·         Budgeting Scenarios

·         The Revenue Budget

·         Introduction

·         The Detailed Revenue Budget

·         Responsibility for Revenue Information

·         Sources of Revenue Information

·         The Effect of Pacing On the Revenue Budget

·         Variability of the Revenue Budget

Different Kinds of Budget and Approaches to Budgeting

·         The Ending Finished Goods Inventory Budget

·         Production Budget

·         The Direct Materials Budget

·         The Direct Labor Budget

·         The Manufacturing Overhead Budget

·         The Costs of Goods Sold Budget

·         Research and Development Budget

·         The Administration Budget

·         The Capital Budget

·         The Compensation Budget

·         Master Budget

·         Flexible Budgeting

·         Fixed and Flexed Budget (Static and Flexible Budget)

·         The Rolling Forecast

·         Policy, Planning And Budgeting System (PPBS)

·         Zero-Base Budgeting

·         Activity Based Budgeting

Budgeting Procedures, Efficiencies, Report and Control

·         Budgeting Procedures

·         Formulation of the Budget

·         Issue Budget Variance Reports

·         Subsequent Account Changes

·         Budgeting Efficiencies

·         Budget Model Efficiencies

·         Participative Budgeting

·         Budgeting Report

·         General Reporting Format

·         Revenue Reporting

·         Overview of the Cost of Goods Sold Variance Reporting

·         The Purchase Price Variance

·         Material Yield Variance

·         Labor Rate Variance

·         Labor Efficiency Variance

·         Variable Overhead Spending Variance

·         Variable Overhead Efficiency Variance

·         Foxed Overhead Spending Variance

·         Problems with Variance Analysis

·         Reportable Variances

·         How Variances Are Reported

·         Budgeting Controls

·         Budget Creation Controls

·         Budget Integration Controls