Cost Control and Accountability for Effective Budget Implementation

Because of the growing complexity of business and business problems and because of the movement toward decentralization in large enterprise, increased attention is being given to better planning and control techniques. Consequently, the use of sound budgeting techniques is becoming more prevalent. Again, corporate restructuring has resulted in a treno toward placing the responsibility for budgeting at higher levels in the organization allowing for a stronger cost control and accountability measures. Consequently, the paper advocate the use of cost control method to monitor, evaluate, and ultimately enhance the efficiency of specific business areas such as departments, divisions, or product lines. This will require frequent information (accounting or otherwise) about operations in order to plan for the future, to control present activities, and to evaluate the past performance of managers, employees, and related business segments. The paper therefore recommend that cost control be exercised continuously to flag potential problem so that crisis may be prevente