Comprehensive Budget Based On Balanced Scorecard

The comprehensive budget is total systemic budget of enterprise about all Kinds of production and operating activities in certain period. By carrying out the comprehensive budget management, we can plan and control the whole operating activities in the future and ensure the realizations of the given objectives smoothly. But in recent years, along with the dramatic change of the operating environment that enterprises meet with, management pattern, and organizational structure, actual budget have show off its more and more weakness, meet with challenges from interior and exterior and can not adapt to the demand of the development of enterprise.This paper introduces the related results of theoretical study about introducing BSC into budget management emphatically. These result of theory study including:Kaplan budget modem, modified Kaplan budget model and integrate model of BSC,KPI and budget. These results of theory study provide ideas about how to solve the problems that traditional budget exposed in practice.The characteristics of H company consist in clear vision and explicit strategy. The outstanding development potentiality lies in company governance, brand awareness, culture construction and enterprise operation. But as important link of enterprise management, the budget management exposed many problems:disjunction between existing budget and strategy, unreasonable selection of budget jumping-off point and budget drafting method, irrational design of budget organization, unreasonable rewards and punishment of budget, lack of feedback and improvement, accordingly the budget can't support the enterprise strategy and can't transfer the development potentiality into real strength.From the point of solving the problem of current budget management , using the related results of theoretical study about introducing BSC into budget management and combining with the practice in H company, this paper put forwards the comprehensive budget model based on balanced scorecard and analysis how to transform the strategy objective into budget objective by BSC, how to determine the budget jumping-off point and select budget drafting method, how to appropriately adjust and redivide the budget content under the framework of modified budget model. To ensure the normal operation of modified budget model, this paper further study the measures taken to improve every links of budget, these measures include:setting four-layer budget organization system, carrying out three-level budget appraisal, dividing four-layer budget controlling, determining feedback and improvement system including three cycles. This paper hope corresponding countermeasures and improvement measures can solve these problems in budget management of H company,accordingly achieve the goal to support strategy and give full play to enterprise's potential, and be helpful to these enterprises which face with the same problem.