Budgeting: virtues and shortcomings. Problems and consequences of the management’s misunderstanding of effectiveness and importance of budgeting technologies.

A Thesis
Presented to the Faculty of
SBS Swiss Business School

In Partial Fulfillment
Of the Requirement for the Degree
Master of Business Administration

By

2015
Promoter: Sadvakassova Aigul
DO NOT DISCLOSE

Thesis Title

Presented to the faculty of
SBS Swiss Business School

In partial fulfillment of the requirement for the degree
__________ of Business Administration

Student Declaration:
I declare that I, Elmira Bekzhanova, the undersigned, have completed this work and that I have not used any other than permitted reference sources or materials nor engaged
(http://bse.chemport.ru/byudzhet.shtml)
"The budget is a set of the interconnected plans presented in the form of a financial and\or natural performance for the entity in general or its divisions for a certain period of time" (Sheremet A.D. 2006, with 411)
"The budget is a set of the interconnected plans presented in the form of a financial and\or natural performance for the entity in general or its divisions for a certain period of time" (Sheremet A.D. 2006, with 411)
By determination of Institute of the certified management accountants (USA), the budget – "the quantitative plan in terms of money prepared and accepted till a certain period, which is usually showing the planned income size which should be reached, and\or expenses which should be suffered during this period, and the equity which needs to be attracted to achievement of this purpose". (GAAP: interpretation and applications', 1998 with
The counter system of preparation of budgets is good for those companies which have branched structure and where difficult economic communications work. In such cases it is difficult to top management to follow everything that occurs "below". Therefore a certain amount of powers on preparation is delegated "down". But at the same time top management prepares the offers. And further there is a comparison of options, and the golden mean is common efforts. As a result of division receive realistic budget tasks. And leaders of the company receive the mechanism which allows them to perform the chosen