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The topic of this project work on budget and budgetary control as a means of measuring organizational effectiveness in banking industries.One of the principal considerations in business in survival. While this is particularly the case in industries and as well as large business, the multinational also have come to realize that size alone is not a complete insurance for a long term survival.
Most of the reasons for business failure have been blamed on lack of adequate finance, but this is not absolutely true, instead the fundamental reason is the true, instead the fundamental reason is the absence of effective planning. Meaningful planning relies on some factors such as the willingness of entrepreneurs to translate ideas into concrete action of the ability to see way through a misty situation and the
courage of action.
Before a budgetary control system can be introduced, it is essential that key executive is committed to the proposed system and to ensure that long-term objectives of the organization have been denied. It is also essential that there is an adequate basis of data on which to base forecasts and cost and that an organization charts has been drawn up, clearly defining areas of authority and responsibility for each duration.
The organization can be logically divided into budget centre, such that each manger has a budget for, and is given control information about area which he can control.
The first chapter of the work discussion is the importance of these control system in the financial human resources and
material management of modern business organization against
the background of the banking industry under study.
Chapter two is digression into the study of related literature works of past authors and the views of many writers, publishers in magazines and journals were reviewed to identify specific areas where budgeting and control system can be of help to a company. Chapter three takes a look at the methods adopted in data gathering. The cost analysis and control techniques as applied in this company are discussed in chapter four. Finally chapter five is a summary of findings, recommendation and conclusions.
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