The Violence Of African American Communities - 953 Words

With the many conversations about the African-American communities and their issues with gang violence, government assistance, and the lack of jobs in their communities it is clear to say that the American Dream or even a moderate lifestyle was not created for all African Americans and Minorities and since we found a way to be noticed, heard, and felt like they’re rightfully a part of something America wants to now label it â€Å"war or Drugs† and â€Å"gang Violence† thus creating Gang Injunctions in those predominantly of color communities. Now I am not stating that the violence is not present, innocent lives are not being taken, nor are drugs consuming our communities, but what I am saying is that they act as if there is no other approach that could help clean up the streets, provide piece and harmony among all communities, and solve issues for the betterment of the community. Instead they are removing them from their communities, threatening them from going t o their neighborhood, and as a consequence they get jail time, an institution that already houses half if not more than half of our black men. The gang injunction initiative is set up to tear apart the minority communities through driving up the prices and making them move, especially if they have a family member who is under the injunction’s rules. Its ironic how they put them in such enclosed space, while they make suburban home for the economically fit causing them to commute and now they are systematically removing themShow MoreRelatedThe Prevalence Of Gun Violence Essay1457 Words   |  6 PagesPrevalence of Gun Violence In African American Communities Introduction Each year homicide and assault-related injuries result in an estimated $16 billion in combined medical and work loss (http://www.huffingtonpost.com/2012/10/17/education-gun-violence-presidential-debate-2012_n_1974740.html). Gun violence may be broadly defined as a category of violence and crime committed with use of a firearm, it may or may not include actions ruled as self defense, actions for law enforcement. Gun violence is prevalentRead MoreEssay about Black on Black Crime928 Words   |  4 PagesBlack on black violence is an enormous problem in the African-American community. Living in a neighborhood that is mostly minority, many may have witnessed a lot of black on black violence. The black on black violence has continued to arise in many communities and continues to be a problem around the world. Black on black violence is ignorant, and many black Americans should be coming together instead of killing one another. African-Americans people should be helping each other achiev e in the worldRead MoreViolence And Culture : A Cross Cultural And Interdisciplinary Approach By Jack David Eller1208 Words   |  5 PagesAs Americans, living in a egotistical and self centered society, we often think that we are the best, the top 1 percent in every aspect. However, When compared to other countries of the world, America is ranked 14th in education, 44th in health care efficiency, and 101th in peace. But it ranks first in incarceration, 2nd in ignorance, and 3rd in global competitiveness. One can see how the rankings that America is top in are those that promote violence in one way or another. In the book Violence andRead MoreEssay on Nonviolence or Violence: Which Was More Effective?1425 Words   |  6 PagesThe Civil Rights Movement brought many accomplishments to African Americans such as the 1964 Civil Rights Act, Voting Rights Act of 1965, and the Fair Housing Act of 1968. The key issues that African Americans fought for were voting rights, integration and ra cial equality. They were tired of the discrimination and humiliation they received as a result of the segregation laws imposed on them. â€Å"State laws mandated racial separation in schools, parks, playgrounds, restaurants, hotels, public transportationRead MoreDomestic Violence And Foreign Violence1251 Words   |  6 Pages Domestic Violence and Intersectionality Domestic violence, as defined by The National Coalition Against Domestic Violence is, â€Å"The willful intimidation, physical assault, battery, sexual assault, and/or other abusive behavior as part of a systematic pattern of power and control perpetrated by one intimate partner against another. It includes physical violence, sexual violence, psychological violence, and emotional abuse. The frequency and severity of domestic violence can vary dramatically, howeverRead MoreAnalysis Of Uncle Toms Children By Richard Wright892 Words   |  4 Pageswas able to depict the poor social conditions of African-Americans in the South. African-Americans during the time period of Richard Wright were oppressed and were treated with violence by the whites of America. African-Americans experienced racial prejudices and humiliation everywhere, for example in Uncle Tom’s Children, Richard Wright relates his experiences with racism through playing games with white children as well as, through the violence and bigotry that he experiences at work from his co-workersRead MoreRalph Ellison s Battle Royal985 Words   |  4 Pagesthrough what mirrors to be what the African-American community in the twentieth century is shaping to be. Through the violence, Ralph Ellison, and the narrator had found voice and determination of dreams. Within the short story of â€Å"Battle Royal,† there is a great deal of violence, a lateral mirror image to the different events that had been happening within the mid-twentieth century. Violence is one of the historic events in the mid-twentieth century. The violence is a prominent fixture throughoutRead MoreDomestic Violence, Racial Socioeconomic Disparities, And Racial Labeling1655 Words   |  7 Pageshear of professional athletes being involved in domestic violence and other violent crimes, it is important to notice a trend. There is always some athlete being accused of some form of domestic violence. True sociological issues need to be addressed when violent issues such as the O.J. Simpson case arises. Simpson was influenced by a variety of sociological factors that created him into a violent person, such as the way in which African Americans are portrayed by the media, racial socioeconomic disparitiesRead MoreThe Black Man s Existence Of The World And Me, By Ta Nehsi C oates Essay1686 Words   |  7 Pagesdeath is one of the most primal things that every person feels. In America, this primal desire to survive is what governs African American men in their daily life as a result of the constant fear that their bodies will be taken from them in an act of violence. In Between the World and Me, Ta-Nehsi Coates writes about the state of black bodies in America, focusing on the racial violence and harassment that black men face on a daily basis, in the form of a letter to his son. It is clear that the black man’sRead MoreThe Black Man s Existence Essay1695 Words   |  7 Pages is one of the most primal things that every person feels. In America, this primal desire to survive is what governs African American men in their daily life as a result of the constant fear that their bodies will be taken from them in an act of violence. In Between the World and Me, Ta-Nehsi Coates writes about the state of black bodies in America, focusing on the racial violence and harassment that black men face on a daily basis, in the form of a letter to his son. The black man’s existence in

Essay on Code of Ethics Counterterrorism - 1005 Words

Throughout life individuals are forced to make decisions. These decisions, made on a daily basis not only affect the individuals but others around them. Due to this, society as a whole has created views on what is right and wrong. Sometimes these â€Å"right or wrong† decisions or ethical choices differ from group to group. This can clearly be seen in different professions. For example, a doctor has different obligations to treat an injured person than the average citizen. It is for this reason that organizations create ethical codes to guide their members’ decision making process. This is no different in the world of warfare, specifically counterterrorism (CT). So let’s take a look at the ethical codes used by CT professionals and how†¦show more content†¦We will also see standards against discrimination and guidelines for community involvement. Even Home Depot has laid out standards for community involvement â€Å"It is our mission to be a go od corporate citizen and to serve each community in which The Home Depot conducts business. We will obey the laws and respect the customs of each community and will encourage participation and involvement in community affairs. As a Company, we are committed to the environment and pledge to continue to be an industry leader in looking for products and services that are respectful of our world† (Home Depot, 2011) When we look at this standard it not only covers being and active member of the community but a good law abiding citizen. These are important to an organization as it will promote a positive image of their profession. So how does CT differ from the private sector? A CT code of ethics will be different from the private sector as it is a type of warfare. In warfare we see decisions that the average individual will never have to face. War inherently causes the loss of human life, suffering, pain and destruction of property. This violence will cause a significant amou nt of stress on all involved, to include the warfighters. It is under this stress that ethical standards must remain intact as it is easy forShow MoreRelatedMajor Regulatory And Legal Requirements1637 Words   |  7 Pagesit has been tasked with of correcting Canadian detainees’ torture in Afghanistan. However, given that the CIA is not a law enforcement organization, it operates within certain realms legally. It cooperates within the set guidelines with other counterterrorism and counterintelligence agencies, such as the FBI, to ensure that the law is maintained. One of the core regulatory requirements that the CIA operates under are the Presidential directives, in which Congress determines the activities that theRead MorePolice and National Crime Information1595 Words   |  7 Pages1970- to current, it started a partnership between police and communities. 3. Describe August Vollmer s contributions to policing. August Vollmer introduced several innovative achievements in the area of police professionalism such as a code of ethics, and the requirement for higher education and specialized training, among others. 4. Discuss how Peel s â€Å"principles of policing are relevant to today s police practices. These nine principles are also called â€Å"The Peelian Principles.†Read MoreSample Resume : Syrian Refugees Essay2325 Words   |  10 Pagesabout changes to the Executive order No. 15-07. Historical Overview policy The Executive order No. 15-07 is a fairly new policy. For the Social Work profession this policy is invading basic human rights and is considered discrimination; in the Code Of Ethics of the National Association of Social Workers, under Social Workers’ Ethical Responsibilities To The Broader Society 6.01 Social Welfare it states â€Å"Social workers should promote the general welfare of society, from local to global levels, andRead MoreCyberCrime: Cybersecurity for Cyberspace Essay2003 Words   |  9 Pagesinfrastructure conduct, network security disciplines, as well as type of threats, risks, and vulnerabilities in which investigation, arrest, and prosecution may be imposed in accordance with federal, state, and local laws. In addition to these ethics and code of conduct, it is recommended that all state jurisdictions implement the following framework as the bases to build upon within their localities. Securing â€Å"Cyberspace† (.gov domain) from becoming another statistical victim of â€Å"Cyberterrorism†,Read MoreInternational Human Resrouce Management2546 Words   |  11 Pagesin the United Kingdom. Code of conduct – monitoring HRM practice in the host country A critical issue in the management of the international supply chain is ensuring that quality standards are met. Major known brands have been accused in the past of condoning the use of child labour and low working hours for minimal pay as well as unsafe working environments. The role of HRM related to a global code of conduct may include the following: * Drawing up and reviewing code of conduct * ConductingRead More Ethics in International Security Essay examples3000 Words   |  12 PagesEthics in International Security Introduction: Since the attacks on the United States on September 11th 2001, governments, corporations, and individuals have been focused on the increasing problem of security. Countries all across the world are increasing security and intelligence gathering in order to protect against terrorism. Though the United States was the focus of the terrorist attack on September 11th, the entire world recognized the impending threat of international terrorism. Read MoreA Brief Note On The Private Security Companies3318 Words   |  14 Pagesspecialized skills from civilians and the military. SASO is comprised of an array of skills, including peace operations and peacekeeping support, counterinsurgency, emergency evacuation, law enforcement and military training, weapons control, and counterterrorism. Taw infers that SASO calls for â€Å"full spectrum operations† and expresses a timeline of â€Å"long-term, manpower-intensive operations† (p 388). To substantiate her material, Taw shows the actions of PSCs in the Angolan conflict claiming that UnitedRead MoreMorality of Warfare: Case Study Drone3702 Words   |  15 PagesTimes has written that, â€Å"Drone strikes are causing more and more Yemenis to hate America and join radical militants; they are not driven by ideology but rather by a sense of revenge and despair. Robert Grenier, the former head of the C.I.A.’s counterterrorism center, has warned that the American drone program in Yemen risks turning the country into a safe haven for Al Qaeda like the tribal areas of Pakistan — â€Å"the Arabian equivalent of Waziristan.†Ã¢â‚¬  Basically, the use of force to stop violence, inRead MoreEthical and Social Issues in Information Systems20165 Words   |  81 PagesRELATED TO SYSTEMS A Model for Thinking About Ethical, Social, and Political Issues Five Moral Dimensions of the Information Age Key Technology Trends that Raise Ethical Issues ETHICS IN AN INFORMATION SOCIETY Basic Concepts: Responsibi lity, Accountability, and Liability Ethical Analysis Candidate Ethical Principles Professional Codes of Conduct Some Real-World Ethical Dilemmas THE MORAL DIMENSIONS OF INFORMATION SYSTEMS Information Rights: Privacy and Freedom in the Internet Age Property Rights: IntellectualRead MoreSaudi Arabia’s Military: the Social Aspects of the Kingdom’s Armed Forces6871 Words   |  28 Pagesto not specialize in particular warfare areas and rather moderately train for all ground warfare areas. While both branches cooperated comparatively well in the Persian Gulf War, they still remain isolated from each other. The new threat of counterterrorism is a recent cause to start demanding cooperation and defined roles of the branches. The manning of the Saudi Armed Forces is weak relative to its neighbors in the Persian Gulf. The Royal Saudi Land Forces comprise 75,000 soldiers spread across

Linking Transformational Leader Employee -Myassignmenthelp.Com

Question: Discus About The Linking Transformational Leader Employee? Answer: Introduction Rose of Australia received the awards of Best Traditional Bar and Chef of the year in Sydney last year. The deemed organisation is a hospitality industry and now, they are seeking a Manager to enhance their team and venue. The manager will be responsible for the drifting services while delivering quality and, the eligibility for the same also demands leadership and team management. Both the above mentioned eligibility criteria fits me. The reason for the selection of the deemed job opportunity is its compatibility with my desired employment path. I have been preparing myself for the same since my school days through different training sessions. My past experiences in the hospitality management field will also be put to valuable use in the deemed job role. The discussed job will also enhance my skills of team management which will help me in maintaining my staffs at the self-owned caf. Further, my proactive personality and enthusiasm in event participation will also get opportunity to flourish itself in the deemed organisation. Meeting the customers of the organisation will also assist my cross-lingual and cultural background will also get a chance at enhancing itself while my work. Recruitment in Hospitality Industry; Trends and Technology: Information Technology (IT) is being adopted in different every industrial sector to enhance the sustainability of the organisation. Hospitality industry has also adopted the same to meet up with the competitive market. Recruitment of the employee has also been influenced by the trends. The top trends that are influencing the recruitment process in the hospitality industry are social media advertisements, shift of power from employer to the employee, internet friendliness, employee management, applicant tracking system and others. The number of social media users in 2017 was above 2.46 billion and it is still growing (Valenzuela, Pia and Ramrez 2017). Hence, the industries have made social media the platform to promote their services and recruit the suitable employees for themselves. The power shift from the employers also suggests that their believe of employee satisfaction is not limited to the salary hike anymore. Now, the environment of the workplace and other key factors are also considered by them. So, during the recruitment process they also test the attitude of the candidate to judge his/her compatibility with the workforce and the customers (Ross and Slovensky 2012). The recruitment process also considers the attitude of the candidate towards the internet. The deemed attitude is measured to ensure that the candidate can assess the customers with the online processes of the organisation and hence keep them satisfied with the service of the organisation. Applicant tracking system (ATS) is also of great assistance in the recruitment process for the organisations as it scans all the resumes and categorizes them based on the job requirement compatibility (Stone and Dulebohn 2013). The latest trends in the recruitment process will have impact on my application. The deemed organisation uses ATS which will categorise my application in one of the high compatible category. The reason for stating the same is the fact that the deemed hotel is looking for a candidate with an experience of 6 to 12 months in the field of the hospitality industry and my resume is suggesting my 5+ years of experience in the same. Additionally, the firm takes online booking order and hence they will test the manager for their internet friendliness which will be offered by me. The job description also suggests the need of leading a team and my experience with the self-owned caf will assess me to pass the deemed test. However, apart from the above mentioned advantages the advantages the trends can also arise some issues for me. It can be related to the technological security questions which I am not very comfortable with. There is also the possibility that the ATS will keep me in the less co mpatible candidates list if other candidates possess a high experience ratio in the same. The software equipped by them to test the skills and behaviour of the candidates if not appropriate can show contradicting results. Hence, it can be stated that if technology not equipped appropriately may lead to recruiting of unsuitable candidates. The impact of technology on the recruitment process can be vast, effort saving and money saving as well (Dhamija 2012). The above mentioned impact is evident from the social media advertising, remote interviews and other methods. Social media advertisement provides the firm to get applications from a large number of candidates with a very little effort and investment. Remote interviews like telephonic interviews or video interviews also enables the organisations to select the most suitable candidates for the vacancy even if they are not from around the place. Hospitality industry also enjoys the perks of associating the recruitment process with the technology. They can recruit their staffs from remote locations (Kumar and Priyanka 2014). The hospitality industry is all about keeping the customer satisfied and to do so the organisation need to recruit candidates with sound attitude. The above mentioned requirement can be judged in the candidate with assistance from the skill and attit ude testing skills. Similarly, various other use of the technology can be done in the recruitment process. Cover Letter I do hereby express my interest for the position of the manager in your venerated organisation. I became aware of the opportunity through an online job portal website. Currently, I am pursuing my final semester of Masters degree in Hospitality management. My previous experience in the hospitality industry along with my certification programs of the same fulfil the requirement put forth by your organisation. I have attached my resume with the letter and it shows my experience of 5 years in the hospitality industry along with my interest for the same. My experience with the team management and my managerial skills is evident from the award most organized eatery of 2017 to the caf that I own. The caf is in operation from past 3 years and apart from my partner it employs two other people. My interest with the organisation is because of its rich culture and the enormous number of customers. I believe in my suitability for the job and am hoping for a reply from you. 2015- 18 University of New South Wales 2007- 15 Fort Street High School 2000- 07 St. Edwards Catholic School Qualifications 2018: Pursuing Masters in Hospitality management 2015: Graduated in hospitality management 2012: A level food and beverage Employment history Time Period Organizations Position 2010- 11 Worked in the Park Hyatt Sydney As waiter 2011- 13 Worked at the Brisbane Marriott Hotel As an associate of the manager 2013- 15 Worked at the Shangri- La Hotel, Sydney As client executive 2015- 18 Working in the Grab a seat eatery As co- owner Positions of responsibility Time period Position Organization Achievement 2014- 15 Student representative Fort Street High School Led a team of 30 for science Olympiad 2015- 16 Treasurer University management club Successfully organized two competitions and one event Skills and Competences My academic as well as my work life has been defined by the factor Organise. The role of natural organiser suits me as I possess the quality of foreseeing things from the initiation stage to its completion. It also includes determination of opportunities and leading the outcomes to a creative and successful conclusion. However, dedication and self-motivated nature are the factors that I consider to be my greatest perk. In the process of managing my educational life with my professional and personal life, I did face a lot of tough challenges but my self-motivated nature pushed me towards the goals and my dedication towards my goal enabled me to perform multiple tasks. Balancing my personal, professional and educational life has enabled me to achieve skills like multi-tasking and pressure handling. Apart from the above mentioned skills my experience from the work has also enabled me to develop my own method of dealing with the people. The developed method of dealing with people is amic able in nature and signifies my subtle and strong nature. My past experiences from the work and my participation in different programs has developed managerial and leadership skills in me while developing my character. Interests and achievements My skills and competency are the result of my proactive nature and my interest in being part of the service industry. I also enjoy being in company with other people, which is the key factor for me being in the hospitality industry. My cross-cultural and cross-lingual background has also made me curious and attracts me towards meeting with people from different cultures and backgrounds. One of the milestones that I have achieved was the award of most organized eatery of 2017 to my self-owned Grab a seat eatery. Other features to my achievement Hat are the events that I organised and leaded successfully. The above mentioned achievement was a result of my interest in leading and managing the mass or crowd as a leader. Currently, I am focused towards working with an Australian hospitality giant that is home to a large number of customers on a regular basis. The reason for my present goal is to use and enhance my skill and knowledge nurtured and gained from the past experiences and my ed ucational endeavours. Other information I own a full time professional drivers license for four wheeler vehicles. My proficiency with the basic technology is also a perk that I can offer to the employers. I also possess attentiveness and ability to cope up with short notice or urgent deadlines. My team managing ability and positive attitude as a team player is also a factor to be taken into consideration. Pressure management in dire situations is another one of my capability. I will also bring bi-linguistic management in the work environment that will also be helpful in managing people from different backgrounds. Finally, I would like to be enhance my ability and expertise in human service industry by serving the people and taking appropriate care of them. To achieve the deemed desire, I am ready to take the associated risk and steps for fulfilment. Job Description: The manager will hold responsibility for driving the services with excellence. The ability to financially reconcile the day along with leadership and drive guest experience. The job will require the manager to manage both the floors of the organisation, oversee multiple functions in a particular instance and at time pour the perfect beer to elite customers as well. Maintain a team of 20 employees during busy nights and ensuring smooth operations by directing them. Training and development of the staff related to the goods and services and protocols of the firm will also be the responsibility of the manager. Strengthens: Crowd management, leadership and pressure management are the three most essential skills required for the job description and these are my area of expertise. Crowd management will be of assistance in the busy nights of the hotel and events. An appropriate leadership is mandatory for the smooth operation of any organisation. Pressure management is one of the essential requirements in hospitality industry and customer satisfaction. The expertise and experience in the hospitality industry will be of assistance for me to tackle the deemed situations. Responses to the interview questions: In the deemed section the STAR framework is equipped to answer the questions. S, T, A, R refers to Situation, Task, Activity and Results respectively. S1: There was a situation during the college when an event was organised and the crowd went out of control. T1: As the organiser it felt on my responsibility to manage the crowd and I took over the microphone. A1: I took the microphone and announced that whoever has the issue can come on the stage and put forth their issues. R1: After a lot of effort one of the students came on stage and put forth his issue but the issue was baseless and after that no one came on stage resulting the end of the conflict. The event was then taken to a successful conclusion. S2: If one of my employee misbehave with the customer. T2: My responsibility will be of assessing the scenario and getting to the depth of the situation. A2: I will understand the situation and if the employee is at fault then I will apologize to the customer and offer him/her free food for the night and latter necessary actions will be taken with the employee. If the customer is at guilty then I will gracefully ask her/him to leave the place. R2: Depending situation the decision will result in a satisfied customer or the employee will feel safe and comfortable on working with the organisation. S3: A customer complaint about not getting the food delivered in time that they ordered online. T3: It was my responsibility to answer the query of the customer. A3: I apologised and assessed the details to determine that the contact details offered by them was incorrect. Though to maintain the customer satisfaction I offered him a continuation discount on the next order. R3: The customer became a regular customer of the caf. Interview questions as an Interviewer: What can you offer to the organisation that other candidates cannot? Why hospitality industry? Where do you see yourself in 5 years? Reflection on the mock Interview: The mock interview offered me an insight of the strength that dwells inside me. It assisted me to determine my strength of crowd management, leadership and managing pressured situations. It was a nice experience however, their where sectors where I could have chosen my words appropriately. During the interview the answers were to the point but were short and concussed which might have been difficult for the interviewers to understand the scenario. The selection of the words which were also not appropriate like in the third question instead of the continuation discount I could have used goodwill discount. The answers offered by me were short and concrete however, a little more elaboration to the same would have been of more assistance. The selection of the words was accurate though more matured term that would be more in the favour of the organisation would have been better. In future interviews I will attempt at keeping the answers short but clear and concise and will also attempt to select the words more appropriately. For the same, I will research on the potential questions that can be asked and the most fitted answer for the same and hence be prepared for anything to come. Lessons Learnt: The trimester has been a building block for me to achieve my deemed objective. It has assisted me to learn about my strength and weakness that can lead to failure in an interview. Short answering of the question is also a demerit assed by me during the course. However, the confidence during the interview is a pro that I have evaluated in self. During the course my approach towards the facing the interview has changed as I have evaluated the cons that can lead to failure in my interviews. Also the strength that I possess accordingly was also evaluated. The deemed weakness was could keep the interviewers confused and hence I need to work on the same and keep the answers concussed while making it clear. To select the most appropriate words I need to go through the research material available and conduct a research on the organisation before approaching for interview. To achieve the deemed goals, I will continue to take the mock interview test and enhancing my vocabulary and will also work towards sustaining my confidence level. The resources of the course have been in assistance for the deemed purpose and I have also started to research on the organisations that I will approach for the interview. References Brinkmann, S., 2014. Interview. InEncyclopedia of critical psychology(pp. 1008-1010). Springer New York. Chen, T.L. and Shen, C.C., 2012. Today's intern, tomorrow's practitioner?The influence of internship programmes on students' career development in the Hospitality Industry.Journal of Hospitality, Leisure, Sport Tourism Education,11(1), pp.29-40. Dhamija, P., 2012. E-recruitment: a roadmap towards e-human resource management.Researchers World,3(3), p.33. DiPietro, R.B., Crews, T.B., Gustafson, C. and Strick, S., 2012. The use of social networking sites in the restaurant industry: Best practices.Journal of Foodservice Business Research,15(3), pp.265-284. Kim, M., Vogt, C.A. and Knutson, B.J., 2015. Relationships among customer satisfaction, delight, and loyalty in the hospitality industry.Journal of Hospitality Tourism Research,39(2), pp.170-197. Krishnaiyer, S.S., Mushahar, R.H.R. and Ahmad, N., 2012. Using blogs as a tool to facilitate students reflection.GEMA Online Journal of Language Studies,12(3). Kumar, M.A. and Priyanka, S., 2014. A study on adoption of E-recruitment using Technology Acceptance Model (TAM) with reference to graduating students in universities in Bahrain.International Journal of Advance Research in Computer Science and Management Studies,2(9), pp.377-383. Long, C.S. and Perumal, P., 2014. EXAMINING THE IMPACT OF HUMAN RESOURCE MANAGEMENT PRACTICES ON EMPLOYEES'TURNOVER INTENTION.International Journal of Business and society,15(1), p.111. McAllister, M., Oprescu, F., Downer, T., Lyons, M., Pelly, F. and Barr, N., 2013. Evaluating STARa transformative learning framework: interdisciplinary action research in health training.Educational Action Research,21(1), pp.90-106. Torres, E. and Kline, S., 2013. From customer satisfaction to customer delight: Creating a new standard of service for the hotel industry.International Journal of Contemporary Hospitality Management,25(5), pp.642-659. Narteh, B., Agbemabiese, G.C., Kodua, P. and Braimah, M., 2013. Relationship marketing and customer loyalty: Evidence from the Ghanaian luxury hotel industry.Journal of Hospitality Marketing Management,22(4), pp.407-436. Prudhomme, B. and Raymond, L., 2013. Sustainable development practices in the hospitality industry: An empirical study of their impact on customer satisfaction and intentions.International Journal of Hospitality Management,34, pp.116-126. Ro, H. and Wong, J., 2012. Customer opportunistic complaints management: A critical incident approach.International Journal of Hospitality Management,31(2), pp.419-427. Ross, W. and Slovensky, R., 2012. Using the Internet to attract and evaluate job candidates. InEncyclopedia of cyber behavior(pp. 537-549). IGI Global. Rothfelder, K., Ottenbacher, M.C. and Harrington, R.J., 2012. The impact of transformational, transactional and non-leadership styles on employee job satisfaction in the German hospitality industry.Tourism and Hospitality Research,12(4), pp.201-214. Stone, D.L. and Dulebohn, J.H., 2013. Emerging issues in theory and research on electronic human resource management (eHRM). Suh, E., West, J.J. and Shin, J., 2012. Important competency requirements for managers in the hospitality industry.Journal of hospitality, leisure, sport tourism education,11(2), pp.101-112. Valenzuela, S., Pia, M. and Ramrez, J., 2017. Behavioral Effects of Framing on Social Media Users: How Conflict, Economic, Human Interest, and Morality Frames Drive News Sharing.Journal of Communication,67(5), pp.803-826. Wang, C.J., Tsai, H.T. and Tsai, M.T., 2014. Linking transformational leadership and employee creativity in the hospitality industry: The influences of creative role identity, creative self-efficacy, and job complexity.Tourism Management,40, pp.79-89. Zervas, G., Proserpio, D. and Byers, J.W., 2017. The rise of the sharing economy: Estimating the impact of Airbnb on the hotel industry.Journal of Marketing Research,54(5), pp.687-705. Zhang, J.J., Joglekar, N. and Verma, R., 2012. Pushing the frontier of sustainable service operations management: Evidence from US hospitality industry.Journal of Service Management,23(3), pp.377-399.

Project on Budgetary Control Essay Essay Example

Project on Budgetary Control Essay Paper 1. A budget is concerned for a definite future period. 2. A budget is a written papers. 3. A budget is a elaborate program of all the economic activities of a concern. 4. All the sections of a concern unit co-operate for the readying of a concern budget. 5. Budget is a mean to accomplish concern and it is non an terminal in itself. 6. Budget demands to be updated. corrected and controlled every clip when fortunes alterations. Therefore it is a uninterrupted procedure. 7. Budget helps in planning. coordination and control. 8. Different types of budgets are prepared by industries harmonizing to concern demands. 9. A budget acts a concern barometer. 10. Budget is normally prepared in the visible radiation of Past Experience. 11. Budget is a changeless enterprise of the Management. We will write a custom essay sample on Project on Budgetary Control Essay specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Project on Budgetary Control Essay specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Project on Budgetary Control Essay specifically for you FOR ONLY $16.38 $13.9/page Hire Writer 2 Preparation OF BUDGETS 1. Definition of aims: A budget being a program for the accomplishment of certain operational aims. it is desirable that the same are defined exactly. The aims should be written out ; the countries of control demarcated ; and points of gross and outgo to be covered by the budget stated. This will give a clear apprehension of the program and its range to all those who must collaborate to do it a success. 2. Location of the key ( or budget ) factor: There is normally one factor ( sometimes there may be more than one ) which sets a bound to the entire activity. For case. in India today sometimes non-availability of power does non let production to increase inspite of heavy demand. Similarly. deficiency of demand may restrict production. Such a factor is known as cardinal factor. For proper budgeting. it must be located and estimated decently. 3. Appointment of accountant: Formulation of a budget normally requires wholeclip services of a senior executive ; he must be assisted in this work by a Budget Committee. dwelling of all the caputs of section along with the Managing Director as the Chairman. The Controller is responsible for co-ordinating and development of budget programmes and fixing the manual of direction. known as Budget manual. The Budget manual is a agenda. papers or brochure which shows. in written forms the budgeting administration and processs. The manual should be good written and indexed so that a transcript thereof may be given to each departmental caput for counsel. 3 4. Budget period: The period covered by a budget is known as budget period. There is no general regulation regulating the choice of the budget period. In pattern the Budget Committee determines the length of the budget period suited for the concern. Normally. a calendar twelvemonth or a period coextensive with the fiscal twelvemonth is adopted. The budget period is so sub-divided into shorter periods—it may be months or quarters or such periods as coincide with period of trading activity. 5. Standard of activity or end product: For fixing budgets for the hereafter. past statistics can non be wholly relied upon. for the past normally represents a combination of good and bad factors. Therefore. though consequences of the yesteryear should be studied but these should merely be applied when there is a likeliness of similar conditions reiterating in the hereafter. Besides. while puting the marks for the hereafter. it must be remembered that in a progressive concern. the accomplishm ent of a twelvemonth must transcend those of earlier old ages. Therefore what was good in the yesteryear is merely just for the current twelvemonth. In budgeting. repairing the budget of gross revenues and of capital outgo are most of import since these budgets determine the extent of development activity. For budgeting gross revenues. one must see the tendency of economic activity of the state. reactions of salesmen. clients and employees. consequence of monetary value alterations on gross revenues. the proviso for advertizement run program capacity etc. 4 Meaning of Budgetary Control: The Chartered Institute of Management Accountants of England and Wales has defined the footings ‘budgetary control’ as â€Å"Budgetary control is the constitution of budgets associating to theduties of executives of a policy and the uninterrupted comparing of the existent with the budgeted consequences. either to secure by single action the aim of the policy or to supply a footing for its alteration. † It is the system of direction control and accounting in which all the operations are forecasted and planned in progress to the extent possible and the existent consequences compared with the forecasted and planned 1s. Budgetary Control Involves: 1. Constitution of budgets 2. Continuous comparing of actuals with budgets for accomplishment of marks 3. Revision of budgets after sing changed fortunes 4. Puting the duty for failure to accomplish the budget marks. The outstanding characteristics of Budgetary Control System are as follows: 1. Determining the aims to be achieved. over the budget period. and the policy or policies that might be adopted for the accomplishment of these terminals. 2. Determining the assortment of activities that should be undertaken for the accomplishment of the aims. 3. Pulling up a program or a strategy of operation in regard of each category of activity. in physical every bit good as pecuniary footings for the full budget period and its parts. 5 4. Puting out a system of comparing of existent public presentation by each individual. subdivision or section with the relevant budget and finding of causes for the disagreements. if any. 5. Guaranting that disciplinary action will be taken where the program is non being achieved and. if that be non possible. for the alteration of the program. In brief. it is a system to help direction in the allotment of duty and authorization. to supply it with assistance for doing. gauging and be aftering for the hereafter and to ease the analysis of the fluctuation between estimated and existent public presentation. In order that budgetary control may work efficaciously. it is necessary that the concern should develop proper footing of measuring or criterions with which to measure the efficiency of operations. i. e. . it should hold in operation a system of standard costing. Besides this. the organisation of the concern should be so incorporate that all lines of authorization and duty are laid. allocated and defined. This is indispensable since the system of budgetary control postulates separation of maps and division of duties and therefore requires that the organisation shall be planned in such a modethat everyone. from the Managing Director down to the Shop Foreman. will hold his responsibilities decently defined. Aims of Budgetary Control System: 1. Portraying with preciseness the overall purposes of the concern and finding marks of public presentation for each subdivision or section of the concern. 2. Puting down the duties of each of the executives and other forces so that everyone knows what is expected of him and how he will be judged. Budgetary control is 6 one of the few ways in which an nonsubjective appraisal of executives or section is possible. 3. Supplying a footing for the comparing of existent public presentation with the preset marks and probe of divergence. if any. of existent public presentation and disbursals from the budgeted figures. This of course helps in following disciplinary steps. 4. Guaranting the best usage of all available resources to maximise net income or production. capable to the confining factors. Since budgets can non be decently drawn up without sing all facets normally there is good co-ordination when a system of budgetary control operates. 5. Co-coordinating the assorted activities of the concern. and centralising control and yet enabling direction to deconcentrate duty and delegate authorization in the overall involvement of the concern. 6. Engendering a spirit of careful premeditation. appraisal of what is possible and an effort at it. It leads to dynamism without foolhardiness. Of class. much depends on the aims of the house and the energy of its direction. 7. Supplying a footing for alteration of current and future policies. 8. Pulling up long scope programs with a just step of truth. 9. Supplying a yardstick against which existent consequences can be compared. Working of a budgetary control system: The duty for successfully presenting and implementing a Budgetary Control System rests with the Budget Committee moving through the Budget Officer. The Budget Committee would be composed of all functional caputs and a member from the Board to 7 preside over and steer the deliberations. The chief duties of the Budget Officer are: 1. To help in the readying of the assorted budgets by organizing the work of the histories section which is usually responsible to roll up the budgets—with the relevant functional sectionslike Gross saless. Production. Plant care etc. ; 2. To send on the budget to the persons who are responsible to adhere to them. and to steer them in get the better ofing any practical troubles in its working ; 3. To fix the periodical budget studies for circulation to the persons concerned ; 4. To follow-up action to be taken on the budget studies ; 5. To fix an overall budget working study for treatment at the Budget Committee meetings and to guarantee followup on the lines of action suggested by the Committee ; 6. To fix periodical studies for the Board meeting. Comparing the budgeted Net income and Loss Account and the Balance Sheet with the existent consequences attained. It is necessary that every budge t should be exhaustively discussed with the functional caput before it is finalized. It is the responsibility of the Budget Officer to see that the periodical budget studies are supplied to the receivers at frequent intervals every bit far as possible. The efficiency of the Budget Officer. and through him of the Budget Committee. will be judged more by the smooth working of the system and the understanding between the existent figures and the budgeted figures. Budgets are chiefly an inducement and a challenge for better public presentation ; it is up to the 8 Budget Officer to see that attending of the different functional caputs is drawn to it to confront the challenge in a successful mode. Advantages of Budgetary Control System: 1. The usage of budgetary control system enables the direction of a concern concern to carry on its concern activities in the efficient mode. 2. It is a powerful instrument used by concern houses for the control of their outgo. It in fact provides a yardstick for mensurating and measuring the public presentation of persons and their sections. 3. It reveals the divergences to direction. from the budgeted figures after doing a comparing with existent figures. 4. Effective use of assorted resources like—men. stuff. machinery and money is made possible. as the production is planned after taking them into history. 5. It helps in the reappraisal of current tendencies and framing of future policies. 6. It creates suited conditions for the execution of standard bing system in a concern organisation. 7. It inculcates the feeling of costconsciousness among workers. 8. It helps the principal of direction by exclusion to use. 9. Management which has developed a good ordered budget programs and which operate consequently. have greater favor from recognition bureaus. 9 Restrictions of Budgetary Control System: 1. Based on Estimates: Budgets may or may non be true. as they are based on estimations. 2. Time factor: Budgets can non be executed automatically. Accuracy in budgeting comes through experience. Management must non anticipate excessively much during the development period. 3. Cooperation Required: Staff co-operation is normally non available during budgetary control exercising. The success of the budgetary control depends upon willing co-operation and teamwork. 4. Expensive: Its execution is rather expensive. No budgetary programme can be successful unless equal agreements are made for supervising and disposal. 5. Not a replacement for direction: Budget is merely a managerial tool. It can non replace direction. 6. Rigid papers: Budgets are considered as stiff papers. But in world. firm’s personal businesss continuously change under inflationary force per unit area and altering authorities policies. 10 ZERO BASE BUDGETS The technique of zero base budgeting suggests that an administration should non merely do determinations about the proposed new programmes. but should besides reexamine the rightness of the bing programmes from clip to clip. Such a reappraisal should peculiarly be done of such duty Centres where there is comparatively high proportion of discretional costs. Costss of this type depend on the discretion or policies of the duty Centre or top directors. These costs have no direct relation to volume of activity. Hence. direction discretion typically determines the sum budgeted. Some illustrations are: outgo on research and development. forces disposal. legal consultative services. Zero base budgeting. as the term suggests. examines or reviews a programme or map or duty from ‘scratch’ . The referee returns on thepremise that nil is to be allowed. The director suggesting the activity has. hence. to warrant that the activity is indispensable and the assorted sum s asked for are sensible taking into history the end products or consequences or volume of activity envisaged. No activity or disbursal is allowed merely because it was being allowed or done in the past. Therefore harmonizing to this technique each programme. whether new or bing. must be justified in its entireness each clip a new budget is formulated. It involves: 1. Covering with peculiarly all elements of mangers’ budget requests 2. Critical scrutiny of on-going activities along with the freshly proposed activities 3. Supplying each trough a scope of pick in puting precedences in regard of different activities and in allocating resources. 11 Procedure of Zero Base Budgeting: The undermentioned stairss are involved in Zero base budgeting: Determining the aims of budgeting: The aim may be ‘to consequence cost decrease in staff operating expenses or it may be to drop. after careful analysis. undertakings which do non suit into accomplishment of the organisations objectives etc. Deciding on range of application: The extent to which zero base budgeting is to be introduced has to be decided. i. e. whether it will be introduced in all countries of the organisation’s activities or merely in a few selected countries on test footing. Developing determination units Decision units for which cost-benefit analysis is proposed hold to be developed so as to get at determinations whether they should be allowed to go on or to be dropped. Each determination unit. every bit far as possible should be independent of other units so that it can be dropped if the cost analysis proves to be unfavorable for it. Developing determinatio n bundles: A determination bundle for each unit should be developed. While developing a determination bundle. replies to the undermentioned inquiries would be desirable: †¢ Is it necessary to execute a peculiar activity at all? If the reply is in the negative. there is no demand to continue farther. †¢ How much has been the existent cost of the activity and what has been the existent benefit both in tangible every bit good as intangible signifiers? †¢ What should be the estimated cost of the degree of activity and the estimated benefit from 12 such activity? †¢ Should the activity be performed in the manner in which it is being performed. and what should be the cost? †¢ If the undertaking or activity is dropped. can the unit be replaced by an outside bureau? After finishing determination bundles for each unit. the units are ranked harmonizing to the findings of cost benefit analysis. Essential undertakings are identified and given the highest ranks. The last phase is that of implementing the determination taken in the visible radiation of the survey made. It involves the choice and credence of those undertakings which have a positive cost-benefit analysis or which are capable of run intoing the aims of the organisation. The above analysis shows that zero base budgeting is in a manner an extension of the method of cost benefit analysis to the country of the corporate budgeting. Advantages of Zero Base Budgeting: †¢ It provides the organisation with systematic manner to measure different operations and program mes undertaken. It enables direction to apportion resources harmonizing to precedence of the programmes. †¢ It ensures that each and every programme undertaken by directors is truly indispensable for the organisation. and is being performed in the best possible manner. †¢ It enables the direction to O.K. departmental budgets on the footing of cost-benefit analysis. No arbitrary cuts or increase in budget estimations are made. †¢ It links budgets with the corporate aims. Nothing will be allowed merely because it was being done in the yesteryear. An activity may be shelved if it does non assist in accomplishing the ends of the endeavors. 13 †¢ It helps in placing countries of uneconomical outgo and. if desired. it can besides be used for proposing alternate classs of action. †¢ It facilitates the debut and execution of the system of `management by objectives’ . Thus it can be used non merely for fulfilment of the aims of traditional budgeting. but besides for a assortment of other intents. It is contended that zero base budgeting is clip devouring. Of class. it is true. but it happens merely in the initial phases when determination units have to be identified and determination bundles have to be developed or completed. Once this is done. and the methodological analysis is clear. zero base budgeting is likely to take less clip than the traditional budgeting. In any instance. till such clip the organisation is decently acclimatized to the technique of zero base budgeting. it may be done in a manner that allduty centre’s are covered at least one time in three or four old ages. Zero base budgeting as a construct has become rather popular these yearss. The technique was foremost used by the U. S. Department of Agriculture in 1962. Texas Instruments. a transnational company. pioneered its usage in the private sector. Today. a figure of major companies such as Zerox. BASF. International Harvester and Easter Airlines in the United State are utilizing the system. Some sections of the Government of India have late introduced zero base budgeting with a position to doing the system of budgetary control more effectual. 14 PERFORMANCE BUDGETS Performance budgeting ( or programme budgeting ) has been designed to rectify the defects of traditional budgeting by stressing management’s considerations/ attacks. Both the fiscal and physical facets are incorporated into the budget. A public presentation budget presents the operations of an administration in footings of maps. programmes. activities. and undertakings. In public presentation budgeting. precise detention of occupation to be performed or services to be rendered is done. Second. the budget is prepared in footings of functional classs and their sub-division into programmes. activities. and undertakings. Third. the budget becomes a comprehensive papers. Since the fiscal and physical consequences are interwoven. it facilitates direction control. The Main aims of Performance Budgeting are: ( I ) to organize the physical and fiscal facets ; ( two ) to better the budget preparation. reappraisal and decision-making at all degrees of direction ( thre e ) to ease better grasp and reappraisal by commanding governments ( legislative assembly. Board of Trustees or Governors. etc ) as the presentation is more purposeful and apprehensible ; ( four ) to do more effectual public presentation audit possible ; and ( V ) to mensurate progress towards long-run aims which are envisaged in a development program. Performance budgeting involves rating of the public presentation of the administration in the context of both specific. every bit good as. overall aims of the administration. It presupposes a crystal clear perceptual experience of organizational aims in general. and short-run concern aims as stipulated in the budget. in peculiar by each employee of theadministration. irrespective of his degree. It therefore. provides a definite way to each employee and besides a control mechanism to higher direction. 15 Performance budgeting requires readying of periodic public presentation studies. Such studies compare budget and existent informations. and demo discrepancies. Their readying is greatly facilitated if the authorization and duty for the incurrence of each cost component is clearly defined within the firm’s organizational construction. In add-on. the accounting system should be sufficiently detailed and coordinated to supply necessary informations for studies designed for the peculiar usage of the persons or cost Centres holding primary duty for specific cost. The duty for fixing the public presentation budget of each section lies on the several Department Head. Each Department Head will be supplied with a transcript of the subdivision of the maestro budget appropriate to his domain. For illustration. the main purchaser will be supplied with the transcript of the stuffs purchase budget so that he may set up for purchase of necessary stuffs. Periodic studies from assorted subdivi sions of a section will be received by the departmental caput that will subject a drumhead study about his section to the budget commission. The study may be daily. hebdomadal or monthly. depending upon the size of concern and the budget period. These studies will be in the signifier of comparing of budgeted and existent figures. both periodic and cumulative. The intent of fixing these studies is to quickly inform about the divergences in existent and budgeted activity to the individual who has the necessary authorization and duty to take necessary action to rectify the divergences from the budget. 16 FUNCTIONAL BUDGET A functional budget is one which is related to map of the concern as for illustration. production budget relating to the fabrication map. Functional budgets are prepared for each map and they are subordinate to the maestro budget of the concern. The assorted types of functional budgets to be prepared will change harmonizing to the size and nature of the concern. The assorted normally used functional budgets are: †¢ †¢ †¢ †¢ †¢Ã¢â‚¬ ¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ †¢ Gross saless budget Production budget Plant use budget Direct-material usage budget Direct-material purchase budget Direct-labour ( forces ) budget Factory overhead budget Production cost budget Ending-inventory budget Cost-of-goods-sold budget Selling and distribution cost budget Administration disbursals budget Research and development cost budget ( xiv ) Capital outgo budget Cash budget 17 Illustration: Gross saless Budget: Gross saless forecast is the beginning of budgeting and hence gross revenues budget assumes primary importance. The measure which can be sold may be the chief budget factor in many concern projects. In any instance in order to chalk out a realistic budget programme. there must be an accurate gross revenues prognosis. The gross revenues budget indicates for each merchandise: 1. The measure of estimated gross revenues and 2. The expected unit merchandising monetary value. These informations are frequently reported by parts or by gross revenues representatives. In gauging the measure of gross revenues for each merchandise. past gross revenues volumes are frequently used as a starting point. These sums are revised for factors that are expected to impact future gross revenues. such as the factors listed below. 1. Backlog of unfilled gross revenues orders 2. Planned advertisement and publicity 3. Expected industry and general economic conditions 4. Productive capacity 5. Projected pricing 6. Findingss of market research surveies 7. Relative merchandise profitableness. 8. Competition. 18 Once an estimation of the gross revenues volume is obtained. the expected gross revenues gross can be determined by multiplying the volume by the expected unit gross revenues monetary value. the gross revenues budget represents the entire gross revenues in physical measures and values for a future budget period. Gross saless directors are invariably faced with job like expectancy of client demands. new merchandise demands. rival schemes and assorted alterations in distribution methods or promotional techniques. The intents ofgross revenues budget is non to try to gauge or think what the existent gross revenues will be. but instead to develop a program with clearly defined aims towards which the operational attempt is directed in order to achieve or transcend the nonsubjective. Hence. gross revenues budget is non simply a gross revenues prognosis. A budget is a planning and control papers which shows what the direction intends to carry through. Thus. the gross revenues budget is active instead than passive. A gross revenues prognosis. nevertheless. is a projection or estimation of the available client demand. A prognosis reflects the environmental or competitory state of affairs confronting the company whereas the gross revenues budget shows how the direction intends to respond to this enviro nmental and competitory state of affairs. A good budget flexible joints on aggressive direction control instead than on inactive credence of what the market appears to offer. If the company fails to do this differentiation. the budget will stay more a figure-work exercising than a on the job tool of dynamic direction control. 19 The gross revenues budget may be prepared under the undermentioned categorization or combination of categorizations: 1. Merchandises or groups of merchandises. 2. Areas. towns. salesmen and agents. 3. Types of clients as for illustration: ( I ) Government. ( two ) Export. ( three ) Home gross revenues. ( four ) Retail terminals. 4. Period—months. hebdomads. etc Example of Gross saless Budget: XYZ Ltd. Gross saless Budget for the Year Ended 31 March XXXX Particulars Units Selling Price ( P. U ) Total Gross saless Value ( Rs. ) Product A Merchandise B Total 5000 10000 75 80 375000 800000 1175000 20 Lead TO THE PREPARATION OF THE MASTER BUDGET When all the necessary functional budgets have been prepared. the budget officer will fix the maestro budget which may dwell of budgeted net income and loss history and budgeted balance sheet. These are in fact the budget sum-ups. When the maestro budget is approved by the board of managers. it represents a criterion for the accomplishment of which all the sections will work. On the footing of the assorted budgets ( agendas ) prepared earlier in this survey. weprepare below budgeted income statement and budgeted balance sheet. Illustration: Floatglass Manufacturing Company requires you to show the Master budget for the 31 March 2012 from the undermentioned information: Gross saless: Toughened Glass Bent Glass Direct Material Cost Direct Wages Factory Overheads: Indirect Labour Works Manager Foreman Rs. 500 per month Rs. 400 per month 2. 5 % on Gross saless Rs. 600000 Rs. 200000 60 % of Gross saless 20 workers @ Rs. 150 per month 21 Shops and Spares Depreciation on Machinery Repairs and Maintenance Other Sundries Administration. merchandising and Distribution Expenses Rs. 12600 Rs. 3000 Rs. 8000 10 % on Direct Wages Rs. 36000 per twelvemonth Solution: Master Budget for the Year Ending 31 March 2012 Particulars Amount ( Rs. ) Gross saless: Toughened Glass Bent Glass Total Gross saless Less: Cost of Production: Direct Material Direct Wages Prime Cost ( A ) Fixed Factory Overhead: 480000 36000 516000 600000 200000 800000 Amount ( Rs. ) 22 Works Manager’s Salary Foreman’s Salary Depreciation Light and Power Total Fixed Factory Overhead ( B ) Variable Factory Overhead: Shops and Spares Repairs and Maintenance Sundry Expenses Total Variable Factory Overhead ( C ) Works Cost ( A+B+C ) Gross Profit ( Sales- Works Cost ) Less: Administration. Selling and Distribution Expenses Net Net income 6000 4800 12600 3000 26400 20000 8000 3600 31600 574000 226000 36000 190000 23 Capital EXPENDITURE BUDGET: The capital outgo budget represents theplanned spending on fixed assets like land. edifice. works and machinery. etc. during the budget period. This budget is capable to rigorous direction control because it entails big sum of outgo. The budget is prepared to cover a long period of old ages and it undertakings the capital costs over the period in which the outgo is to be incurred and the expected net incomes. The readying of this budget is based on the undermentioned considerations: 1. Operating expense on production installations of certain sections as indicated by the works use budget. 2. Future development programs to increase end product by enlargement of works installations. 3. Replacement petitions from the concerned sections 4. Factors like gross revenues possible to absorb the increased end product. possibility of monetary value decreases. increased costs of advertisement and gross revenues publicity to absorb increased end product. etc. Merits/Adv antages: 1. It outlines the capital development programme and estimated capital outgo during the budget period. 2. It enables the company to set up a system of precedences. When there is a deficit of financess. capital rationing becomes necessary. 3. It serves as a tool for commanding outgo. 4. It provides the sum of outgo to be incorporated in the hereafter budget 24 sum-ups for computation of estimated return on capital employed. 5. This enables the hard currency budget to be completed. With other hard currency committednesss capital outgo committedness should besides be considered for the completion of the budget. 6. It facilitates cost decrease programme. peculiarly when modernisation and redevelopment is covered by this budget. 25 FIXED AND FLEXIBLE BUDGETS Fixed Budget: Harmonizing to Chartered Institute of Management Accountants of England. â€Å"a fixed budget is a budget designed to stay unchanged irrespective of the degree of activity really attained† . A fixed budget shows the expected consequences of a duty centre for merely one activity degree. Once the budget has been determined. it is non changed. even if the activity alterations. Fixed budgeting is used by many servicecompanies and for some administrative maps of fabrication companies. such as buying. technology. and accounting. Fixed Budget is used as an effectual tool of cost control. In instance. the degree of activity attained is different from the degree of activity for budgeting intents. the fixed budget becomes uneffective. Such a budget is rather suited for fixed disbursals. It is besides known as a inactive budget. Essential conditions: 1. When the nature of concern is non seasonal. 2. There is no impact of external factors on the co ncern activities 3. The demand of the merchandise is certain and stable. 4. Supply orders are issued on a regular basis. 5. The market of the merchandise should be domestic instead than foreign. 6. There is no demand of particular labor or stuff in the production of the merchandises. 7. Supply of production inputs is regular. 8. There is a tendency of monetary value stableness. Generally. all above conditions are non found in pattern. Hence fixed budget is non of import 26 in concern concerns. Merits/advantages: 1. Very simple to understand 2. Less clip devouring Demerits/Disadvantages: 1. It is misdirecting. A hapless public presentation may stay undetected and a good public presentation may travel unfulfilled. 2. It is non suited for long period. 3. It is besides found unsuitable peculiarly when the concern conditions are altering invariably. 4. Accurate estimations are non possible. Flexible Budget Harmonizing to Chartered Institute of Management Accountants of England. †a flexible budget is defined as a budget which. by acknowledging the difference between fixed. semi-variable and variable costs is designed to alter in relation to the degree of activity attained. † Unlike inactive ( fixed ) budgets. flexible budgets show the expected consequences of a duty centre for several activity degrees. You can believe of a flexible budget as a series of inactive budgets for different degrees of activity. Such budgets are particularly utile in gau ging and commanding mill costs and operating disbursals. It is more realistic and operable because it gives due consideration 27 to be behavior at different degrees of activity. While fixing a flexible budget the disbursals are classified into three classs viz. 1. Fixed. 2. Variable. and 3. Semi-variable. Semi-variable disbursals are farther segregated into fixed and variable disbursals. Flexible budgeting may beresorted to under following state of affairss: 1. In the instance of new concern venture due to its typical nature it may be hard to calculate the demand of a merchandise accurately. 2. Where the concern is dependent upon the clemency of nature e. g. . a individual covering in wool trade may hold adequate market if temperature goes below the freeze point. 3. In the instance of labour intensive industry where the production of the concern is dependent upon the handiness of labor. Merits/ Advantages: 1. With the aid of flexible budget. the gross revenues. costs and net income may be calculated easy by the concern at assorted degrees of production capacity. 2. In flexible budget. accommodation is really s imple harmonizing to alteration in concern conditions. 3. It besides helps in finding of production degree as it shows budgeted costs with categorization at assorted degrees of activity along with gross revenues. Hence the direction can easy choose the degree of production which shows the net income predetermined by the proprietors of the concern. 4. It besides shows the measure of merchandise to be produced to gain determined net income. 28 Demerits/Disadvantages: 1. The preparation of flexible budget is possible merely when there is proper accounting system maintained. perfect cognition about the factors of production and assorted concern fortunes is available. 2. Flexible Budget besides requires the system of standard costing in concern. 3. It is really expensive and labour oriented. Need for flexible budget: 1. Seasonal fluctuations in gross revenues and/or production. for illustration in soft drinks industry ; 2. A company which keeps on presenting new merchandises or makes alterations in the design of its merchandises often ; 3. Industries engaged in make-to-order concern like ship edifice ; 4. An industry which is influenced by alterations in manner ; and 5. General alterations in gross revenues. 29 Illustration: A mill which expects to run 7. 000 hours. i. e. . at 70 % degree of activity. furnishes inside informations of disbursals as under: Particulars Variable Expenses Amount ( Rs. ) 1260 Semi- Variable Expenses 1200 Fixed Expenses 1800 The semi-variable disbursals go up by 10 % between 85 % and 95 % activity and by 20 % above 95 % activity. Construct a flexible budget for 80. 90 and 100 per cent activities. Solution: Particulars Budgeted Hours Variable Expenses Semi-Variable Expenses Fixed Expenses Total Expenses Recovery Rate Per Hour 70 % 7000 1260 1200 1800 4260 0. 61 80 % 8000 1440 1200 1800 4440 0. 55 90 % 9000 1620 1320 1800 4740 0. 53 100 % 10000 1800 1440 1800 5040 0. 50 30 Difference between Fixed and Flexible Budget: Fixed Budget Flexible Budget It does non alter with existent volume of It can be recasted on the footing of activity activity achieved. Thus it is known as stiff degree to be achieved. Thus it is non stiff. or inflexible budget. It operates on one degree of activity and under It consists of assorted budgets for one set of conditions. It assumes that there different degrees of activity. will be no alteration in the prevalent conditions. which is unrealistic. Here as all costs like – fixed. variable and Here analysis of discrepancy provides utile semi-variable are related to merely one degree information as each cost is analyzed of activity so variance analysis does give utile information. If the budgeted and existent activity degrees differ Flexible budgeting at different degrees of significantly. so the facets like cost activity facilitates the ascertainment of ascertainment and monetary value arrested development do non give a cost. arrested development of selling monetary value and tendering right image . of citations. a meaningful footing of non harmonizing to its behavior. Comparison of existent public presentation with It provides budgeted marks will be meaningless comparing of the existent public presentation with specially when there is a difference the budgeted marks. between the two activity degrees. 31 BIBLIOGRAPHY 1 ICAI Module on Cost Accounting 2 Newsletters and sentiments published by ICAI 3 hypertext transfer protocol: //en. wikipedia. org/wiki/Budget 4 World Wide Web. icai. org