Article: Beyond budgeting or better budgeting? IMA members express their views.(Budgeting)(Investment Management Association)

Most organizations recognize budgets as a key element in their management control systems, but the usefulness of budgets has generated much recent discussion and debate. Though budgets are useful for coordination, communication, and performance evaluation, many people consider them the cause of gaming and earnings manipulation by managers, time-consuming and costly to develop, and a barrier to change. Indeed, even Charles Horngren, whose popular textbooks have promoted traditional budgeting for more than 40 years, admits that "numerous managers are extremely unhappy about budgeting." In their book Beyond Budgeting: How Managers Can Break Free from the Annual Performance Trap, ...

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