The Beyond Budgeting concept and multifaceted criticism of traditional budgeting Cover Image

The Beyond Budgeting concept and multifaceted criticism of traditional budgeting
The Beyond Budgeting concept and multifaceted criticism of traditional budgeting

Author(s): Maciej Norkowski
Subject(s): Economy
Published by: Wydawnictwo Uniwersytetu Ekonomicznego we Wrocławiu
Keywords: Beyond Budgeting; Beyond Budgeting Round Table; budgeting

Summary/Abstract: The main goal of this paper is to give an insight into the Beyond Budgeting concept and present a high level view of traditional budgeting’s multifaceted criticism. According to the Beyond Budgeting Round Table (cross-industry collaborative research program), the changing business environment forces companies to question the effectiveness of their management tools and techniques, such as traditional budgeting. The perception that traditional budgeting is expensive and fundamentally flawed contributed to the development of the Beyond Budgeting concept. It is based upon twelve principles (that encompass adaptive processes and radical decentralization) and it leverages innovative management tools’ capability of creating shareholder value.

  • Issue Year: 2012
  • Issue No: 263
  • Page Range: 140-149
  • Page Count: 10
  • Language: English