When organizations encounter tough times, performance standards rise, resources are strictly rationed, and jobs become less secure. As a result, the working environment becomes more stressful, and burnout emerges as a serious performance problem. In addition, during tough times many managers make the mistake of reducing communication with their teams, leaving employees feeling isolated and [...]

The manager who prepares budgets from logical assumptions and then carefully tracks variances and responds is directly involved in making goals happen. This leads directly to higher profits. The manager who is able to put the new budgeting idea into practice will budget more accurately, gain greater control and, to a large extent, will be [...]

Now consider the budget and the underlying process. This is one of the most internal controls in any company. The budget, in fact, is your primary financial control. The information that you get from variances can help you save money for the company in very direct and immediate ways. Ignoring variances is like failing to [...]