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Public Budgeting in Context, Essay Example

Pages: 1

Words: 330

Essay

It has been realized from this particular section of learning that budgeting, as a major operation in agency management, involves crucial points of decision making that specifically includes a well-defined understanding of the situation that the organization is under. For instance, an agency would not go for a particular investment without knowing how much returns it could practically gain from the said release of financial asset. The control that an officer has over the finances of the organization specifically imposes “power”. Utilizing that power or authority could either mean a means of development and progress for the organization or the failure of the whole agency.

The manner by which budget is managed by an officer accompanied by the power behind the said position often affects the condition of operation that the organization undergoes. The realization of the role behind the position that the budget officer holds create a great impact on defining the process of development that the organization embraces. The release and keeping of the financial asset of the company specifically mandates the growth that the organization is to take in the industry in relation to its connection with the competitors it has to face in the market. Budgeting, as a whole is then manifested to play a great role in manipulating how the assets of the organization could be used to promote growth and development that could further improve the characterization and the reputation of the business in the market. Along with this, budgeting would also create a sensible separation of financing conditions for the different operations that are engaged in by the organization. Depending on the condition of growth that each operation provides the organization with, the budget officer decides whether a specific operation deserves more financial support and which others could contain specific adjustment of attention and funding. This way, the organization becomes properly aligned on what operations create good returns apart from those that do not generate as much profit for the business as a whole.

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