Hello professor,
I am confused that on one side I have read that beyond budgeting is introduced because old budgeting was time consuming and costly. On other hand, we introduced beyond budgeting which is even more expensive due to regular updates as we say rolling budget is example of beyond budgeting.
Please help me
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Beyond budgeting
3y ago#1I don't know who 'we' is, because I do not give rolling budgets as an example of beyond budgeting - they aren't :-)
Nor is the main reason for introducing beyond budgeting because traditional budgeting is time consuming and costly (even though that is certainly a criticism of traditional budgeting).
Have you watched my free lectures on this?
I have watched your lecture of CIMA in beyond budgeting you gave example of having a benchmark which can be our competitors' performance. We can compare our performance to them in beyond budgeting.
I was saying that Kaplan suggest rolling budget as an example of beyond budgeting. Is that really an example because it mix things up?
3y ago#3Rolling budgets are not 'beyond budgeting' !!
The whole idea of 'beyond budgeting' is that we compare with competitors rather than compare with a budget. Companies who operate the 'beyond budgeting' philosophy do not prepare budgets.
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