Daqing Oilfield Budget Management System Study

Budgeting is an effective method for enterprises home and abroad. Chinese enterprises have begun to attach importance to budgeting theories and successful experience. After the altering managerial ways of the CNPC's subsidiaries, budgeting has been the key part of the management of every enterprises . By this way, enterprises can control the profit target and make reasonable arrangements for the production. In order to control the production and operating activities effectively, flexible budget system must be established.This dissertation, from the basic points, sets forth the concept and characteristics of budgeting, and expounds the contents and functions of budgeting. This article generalizes the principles, organization structure, objectives and working system of Daqing oilfield. This dissertation especially analyzed the budget preparation, budget breakdown, budget supervision of Daqing oilfield. As an example, the paper analyzes the entire program of single well cost budgeting in the bore well project of Daqing oilfield. The whole budgeting system of Daqing oilfield is also outlined in this paper.The existed problems in budgeting are analyzed at the end. Some constructive suggestions are made in order to improve the budgeting system of Daqing oilfield.