Application Of Comprehensive Budget Management In Power Generation Corporations

Management of comprehensive budget originated in early 20'th century and it is one of the main internal managing and controlling methods. The enterprises implementing comprehensive budget management take up 91%,93%,100%,and 100% respectively of all enterprises in America, Japan, England, and Holland. It has become a management convention. Management theory field in our country sings high praise for management of comprehensive budget theory. Sichuan Guodian Power Generation Co.(SGPGC for abbreviation later),where the writer works, is an entire capital subsidiary company established in the Sichuan enterprise foundation, who are managed by the Sichuan Chongqing Subsidiary Company .This company is carrying out the comprehensive budget management at present. In order to have my research had better application value, I selected the topic of my paper as the application of comprehensive budget management in power- generation corporations.This article is divided into five parts altogether. The first part is an introduction, mainly about the article research significance, comprehensively the production, the development and the present situation of the overall budget management, as well as the research goal,research content and research technique. In the aspect of research significance, because SGPGC had been established newly soon, the underlying tissues organization and the operational mechanism still are in the exploration and the running-in period, the traditional management way, the idea also has tremendous influence, therefore it is necessary to establish and to implement a set of scientific management system, and the overall budget management is the precisely reasonable choice; This article studies the essential target which lies in the basis budget management,the general theory and present situation of SGPGC, chooses and designs the overall budget management pattern which adapts to the company characteristic. The second part mainly elaborates the fundamental theory of the overall budget management, describing the concept and the characteristic, the relation among the correlation concept category (goal, plan and so on), the overall budget management function, the overall budget management concept and the connotation as well as the overall budget management characteristic and the function. The article think the overall budget is the management and financial function of the enterprise in certain time. It has certain basic characteristic: Anticipation, overall importance, goal and instruction. The relations among the overall budget concept category,budget and goal, plan lie in: The goal is the end point of the organization management which the activity aims, is the comprehensive budget formulation basis, to budgets the overall, the synthesis orienting function comprehensively; The plan is the realization goal formulated by writing form, but budgets is by the monetary form primarily, explaining to this plan quantification from the financial control angle, but will carry on the plan for the quantification specific goal realization degree to the future behavior is the overall budget. The enterprise budgets may carry on the different classification according to many kinds of symbols: The content enterprise involves which according to the budget budgets including the service budget, the capital budget, the finance budgets; it also can be divided into the management budget and the operating budget according to the comprehensive budget management function. According to budgets whether the limited limit can divide into the period budget and the project budget. The overall budget management looked from the connotation that, it is the enterprise contractual relationship implementation, the carrying out mechanism, is the enterprise organizational structure constituent, is the enterprise and the environment mutual interdependence and the adaptation mechanism. The overall budget management mainly has four characteristics: It certainly involves the future; it involves certainly the motion; has one about individual or the association motion reason essential factor; It is by the value primary. The comprehensive budget management function mainly displays in: Realization enterprise strategic target; Perfect business management mechanism; is clear about various departments the work goal; Coordinates various departments the work; Controls various departments the economic activity; Examines and critiques various departments the achievement, has the drive function. The third part is mainly about executing and construction for the overall budget management pattern. This part mainly elaborates the overall budget management organization system construction, the overall budget management goal and the pattern, the overall budget management execution and the control as well as the overall budget management examination and critique and the drive from the general principle angle.The fourth part of international telegram Sichuan generates electricity the limited company comprehensive budget management applied analysis. This part in the introduction electricity generation enterprise comprehensive budget management characteristic as well as in SGPGC 's survey foundation, especially carried on the elaboration to SGPGC 's overall budget management application present situation as well as SGPGC take the cost as the core overall budget management pattern choice and the design. The article thinks SGPGC must choose taking the goal profit as the management beginning, taking cost control as central comprehensive budget management pattern. In taking the cost as under the core budget management pattern, the budget establishment mainly includes three basic links: The hypothesis target cost, the decomposition realization target cost, the realization of the target cost, furthermore to establish the target cost, the decomposition realization target cost and the realization target cost question carrying on has been analyzed.The fifth part is about to improve the pattern mentality of SGPGC 's overall budget management. From establishing the overall budget management system and the effective operational mechanism, the perfect internal control system and the achievement appraisal system, as well as the enhancement company foundation management and the staff quality construction and so on several aspects ,this chapter has carried on the discussion and the elaboration to SGPGC 's comprehensive budget management. The key point is that the budget must be taken out under the jurisdiction the management in the overall budget management system and the effective operational mechanism, and we should realize the power and responsibility coordinated and the entire process management; In the internal control system and the achievement appraisal system aspect, the system should base on the strict inspection, the hard cash, under the strengthened budget management binding force premise, the establishment and the consummation science budget inspection target system, take the financial inspection target as a center, establishes the science the budget inspection target system, guarantees the budget inspection the smooth implementation in the company foundation management and the staff quality construction aspect, must strengthen the company the informationization construction, the enhancement budget administrative personnel and servicer's quality and so on.The main contribution of this article lies in according to the general principle of the overall budget management, constructed the reasonable pattern and the operational mechanism of SGPGC 's budget management. In the article suggestion viewpoint can completely have certain guiding sense and the actual reference value to SGPGC 's budget management undoubtedly.