Full Project – THE IMPACT OF BUDGET AND BUDGETARY CONTROL IN TERTIARY INSTITUTIONS

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CHAPTER ONE

1.0  INTRODUCTION

Budgeting is essentially concerned with planning. According to Hausen .O. (1990). Dr. Jones discovered, failure of plan, either formally or informally, can lead to financial disaster. Careful planning is vital to the health of any organization. If that is the case, what role does budgeting play in planning and control. Simply put, plans identify objectives and action needed to achieve them.

Budgets are the actions needed to achieve them. Budgets are the quantitative expression of these plans. States in either physical or financial terms or both. Thus a budget is a method for translating terms. As a plan of action budgets can be used to control by comparing actual outcome as they happen with the planned outcomes.

Furthermore, according to Professor Anya O. Anya April 28th 2006, guarding newspaper, the universities and the challenge of a knowledge is base on the economy (2) the said “we have seen that economic and human development indices presently confirm that Nigeria is a very poor country where otherwise immense resources and potentials have not been realized as a result squander and poor management.

We have dedicated from the above points that planning budgeting and control is very essential in all sphere of endeavor be it public or private sectors. In other words, the necessary uncertainty and complexity in the socio-political economic and public sectors of Nigeria society have been made it very difficult for co-operate entities irrespective of the nature of their business (profit oriented or service oriented) coupled with the changes in social, economic, technological and political system to achieve optimal result without setting proper planned targets. With the trend of failure recently witnessed in the financial sector, arising from factors both internal external organizations and their management should ensure that they had decision about their future.

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Full Project – THE IMPACT OF BUDGET AND BUDGETARY CONTROL IN TERTIARY INSTITUTIONS