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BUDGETARY CONTROL AS A TOOL FOR EFFECTIVE MANAGEMENT OF RESOURCES A CASE STUDY OF GENERAL HOSPITAL OWERRI IMO STATE)



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BUDGETARY CONTROL AS A TOOL FOR EFFECTIVE MANAGEMENT OF RESOURCES A CASE STUDY OF GENERAL HOSPITAL OWERRI IMO STATE)



Abstract

 

This research investigation in to the budgetary control as a tool for effective management of resources with general hospital Owerri, Imo state as a case study. The research    is a deliberate investigation by the researcher to find out if actually the appraisal of management performance is based on the budgetary analysis, the extent to which the officers- in-charge of budget centers account for their responsibility and whether variances are built in to the incentives or disciplinary system of the institution. This research was carefully carried out and conclusion reached for the reader to properly comprehend and appreciated this project work. Samples of 30(thirty) workers were drawn from the organization. Questionnaire was used to collect the data that was analyzed by frequency by using chi-square. Finding from the study shows that budget has relationship as in basis of controlling cost, low level of  revenue generation has relationship in setting unrealistic target. Further finding indicated that problems of budgets in the institution can be solved. To further improve on the situation, it was recommended that there should be budget education and should be based on management by objectives (MBO), which is a situation where by everybody in the organization will participate in budget formulation. There should be a taskforce instituted to check and detect fraud on the part of budget implementation.  

 

TABLE OF CONTENTS

 

Title Page                                                                   

 

Approval                                                               ii                                                      Certification                                                           iii                 

 

  Dedication                                                             iv                                      Acknowledgement                                                  v            

 

 Abstract                                                                vi

 

Table of content                                                            v 

 

     CHAPTER ONE

 

Introduction                                                    1

1.1  Background of the study                                   1   

 

1.2  Statement of the problem                                 2          

 

1.3  Objective of the study                                      3

 

1.4  Research question                                            4

 

1.5  Significance of the study                                   5          

 

1.6  Scope of the study                                           6

 

1.7  Limitation of the study                                     7

 

1.8  Definition of terms                                           8

 

CHAPTER TWO

 

2.0  Literature review                                             9

 

2.1  Introduction                                                    10

 

2.2  Nature of budgeting and budget                        11

 

2.3  Budgetary control system                                  12

 

2.4  Features of budgeting control system                        13

 

2.5  Basic  concept of budgeting and budgetary          14

 

        Control                                                          

 

2.6  Types of budget for planning and control                           15

 

2.7  Innovation in the area of budgeting zero base             16

 

Budgeting (ZBB)

 

2.8 The need of a budgetary control                               17

 

2.9  Essential of a budgetary control system              18

 

2.10  Summary of the overall literature review            19

 

CHAPTER THREE

 

Research design and methodology                       20

3.1  Introduction                                                    20

 

3.2  Research design                                                      21

 

3.3  Sources / methods of data collection                  22

 

3.4  Population and sample size                               23

 

3.5  Sample Techniques                                          24

 

3.6  Validity and reliability of measuring instrument    25

 

3.7  Method of data analysis                                    26

 

CHAPTER FOUR

 

Presentation and analysis of data                       27

4.1  Introduction                                                    27

 

4.2  Presentation of Data                                        28

 

4.3  Analysis of data                                               29

 

4.4  Interpretation of result                                     30

 

CHAPTER FIVE

 

Summary/conclusion and recommendation          31

5.1  Introduction                                                    31

 

5.2  Summary of findings                                        32

 

5.3  Conclusion                                                      33

 

5.4  Recommendations                                                  34

 

    Area of further research

 

   References 

 

   Appendix/Questionnaire  

 

CHAPTER ONE

 

   INTRODUCTION    

1.1      BACKGROUND OF THE   STUDY

 

  A government budget is blue print which clearly outline government expenditure vis-à-vis government revenue and retains plans ahead, etc. consequently, nations plans  ahead in  terms of revenue and  expenditure within a specific period of time, so as individual or an state conceptualizes anticipated revenue and disbursement   within  a  specific period of  time.

 

Every organization whether economic, social, political, public or private sector has set out  objectives ,they make plans for future.  Since every organization has set  out objectives,  the way it tend to achieve these objectives could be the maximization of profits, prove services  and 

 

Minimization  of cost. Each organization has to plan in order to meet such objectives and budgeting is part of planning, some organization liquidate     due to poor planning, while some others fail due to poor budgeting control techniques.

 

      The realization of  organizational objectives requires the requisition and utilization of both human and material resources. to  achieve this objective, the organization tries to economize or manage its scarce resources  and  produce

 

a means of achieving its pre-determined goals. As a result of these scarce resource, it is very essential that organization has to determine the most effective way of reducing cost of production  while  maximizing its production . modern  business management requires the use of some techniques  in the formulation and adoption of plans (good tools and system) with a view to achieving set out goals. Such tools and systems include budgeting, variance analysis and  budgetary control.

 

      The  process  setting goals or objectives  to be achieved by some future point in time and determine there goals are to be reached is described a planning while  the process of translating  the  planning into  financial target can be described  as  budgeting.  The term budgeting and accounting in which all operations are forecasted  in     advance and  actual results championed with  budgeted and  differences slipped and explained. Budgetary  control  techniques here help ed many organizations since the  success of any organization depends on the planning and execution  of budget plans.

 

       According  to lucey(1984)p.23,  budgeting can be defined as the process of preparing a short term and detailed plan of activities of an organization and converting the strategies  long term plans  into action. The degree of importance attached to   this plan and the effort made in  controlling the deviation from the planned performance differ among business  and government and  between  private and public corporations. Some organization especially government parastatals view budgeting as a mere accounting tool, which a meant to be exceeded. The  department  heads in government parastatals believe to get more money (allocations) in the next budget the  present allocation must be fully utilized whether reasonable or unreasonably.

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All Project Materials Inc. (2020). BUDGETARY CONTROL AS A TOOL FOR EFFECTIVE MANAGEMENT OF RESOURCES A CASE STUDY OF GENERAL HOSPITAL OWERRI IMO STATE). Available at: https://researchcub.info/department/paper-7587.html. [Accessed: ].

BUDGETARY CONTROL AS A TOOL FOR EFFECTIVE MANAGEMENT OF RESOURCES A CASE STUDY OF GENERAL HOSPITAL OWERRI IMO STATE)


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This research investigation in to the budgetary control as a tool for effective management of resources with general hospital Owerri, Imo state as a case study. The research is a deliberate investigation by the researcher to find out if actually the appraisal of management performance is based on the budgetary analysis, the extent to which the officers- in-charge of budget centers account for their responsibility and whether variances are built in to the incentives or disciplinary system of the institution. This research was carefully carried out and conclusion reached for the reader to properly comprehend and appreciated this project work. Samples of 30(thirty) workers were drawn from the organization. Questionnaire was used to collect the data that was analyzed by frequency by using chi-square. Finding from the study shows that budget has relationship as in basis of controlling cost, low level of revenue generation has relationship in setting unrealistic target. Further finding indicated that problems of budgets in the institution can be solved. To further improve on the situation, it was recommended that there should be budget education and should be based on management by objectives (MBO), which is a situation where by everybody in the organization will participate in budget formulation. There should be a taskforce instituted to check and detect fraud on the part of budget implementation. .. Click here for more

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