Research On Improving The Budget Management Of Hunan Tobacco Business System

The complete budgetary management originated at the beginning of 20th century. It's one of major methods used for the enterprise internal control. There are 91%, 93%, 100% and 100% enterprises that have applied the total budgetary management in America, Japan, Britain and Netherlands respectively. It has become the common practices for the local enterprises. Promoted by Chinese Tobacco Company, Hunan tobacco business system has established and implemented the total budgetary management system in early 2004. The author is responsible for organization and implementation of the budgetary management in Hunan Provincial Tobacco Company, and has deeply thought about the achievements and problems of budgetary management in practice. Firstly, it analyzes economic theory basis of budgetary management, introduces the budgetary management research achievements of domestic and foreign literatures, and investigates the theory of budgetary management patterns. Secondly, it shows the progress of the budgetary management in Hunan tobacco business system .Including the current situation of Hunan Provincial Tobacco Company and the reasons why the Company sets up the total budgetary management model, and detailed describes working flow of the total budgetary management model, points out the defects of the model. Finally, the thesis provides there commendations on how to improve the achievement of the complete budgetary management model in Hunan tobacco business system. And it has focus on the examples of cost budget allocation related performance evaluation. The thesis provides the total budgetary management model is a suitable choice of Hunan tobacco business system. Though, it should be improved. We should make use of the advantages of deferent models in practice and not be limited by them, to improve our core competences. On the whole, it hopes to be helpful for the complete budgetary management of Hunan tobacco business system. The author believes that the budget management system should have goal-oriented strategy and information system as a platform, incentive evaluation at the core, and innovation of corporate culture. At the same time, dynamic management and responsibility auditing of budget are important, too. If these efforts have been achieved, the budgetary management would be more effective.