You're facing budgeting feedback for significant changes. How will you navigate the expectations?

Feedback about major budget changes can be as varied as the people or entities offering the feedback. Inclusion is the greatest asset you can achieve when addressing concerns regarding the changes. To find the benefit of the change to that individual or entity and to review it at their level. While the decision to make the change may not have originated at their level within the organization, "buy in" can generally be achieved if each understand how the changes can benefit them, their associates, their departments. Demonstrate the cause and effect of the change in each areas for those that are effected. Not all change is welcomed, if there is a negative connotation to a change, is there a alternate area that is effected in a positive way?

Well, depending on the changes...Gross margin, Overheads, Capex ??? From my experience, the changes were more on the top line reporting and the last line...letting the controller to analyze where the cuts / changes could be made without affecting the activity. Difficult to reduce COGS in general so the Controller will get deeper in the overheads and try to reach the goal by collaborating with the different managers / departments...

When navigating budgeting feedback for significant changes, the key is clear communication, prioritization, and strategic flexibility. Start by understanding the concerns behind the input, which is essential to address core objectives while managing costs. Clarifying priorities can ensure that resources are allocated to the most critical areas, balancing expectations with practical constraints. Transparent communication with stakeholders is crucial to highlight the trade-offs of different budgetary decisions. Alternatives, such as cost-effective solutions and phased approaches, help maintain the project's integrity. Finally, staying agile and open to adjustments ensures alignment with financial goals and the overall vision.

Feedback is a powerful tool that can significantly improve the process of budget performance evaluation within organizations, be it profit making or nonprofit making. It plays a crucial role in enhancing financial management practices, aiding decision-making, and ultimately contributing to the achievement of an organization's goals

I first actively listen to understand the concerns and reasons behind the comments. Then, I evaluate the impact of proposed changes on financial and operational objectives, using data and analysis to provide an objective perspective. If changes are feasible, I present alternative scenarios and solutions that balance expectations with financial reality. I maintain transparent communication, aligning team priorities with the company's strategic objectives, ensuring informed and collaborative decision making

After the impact on budgeting changes have been impacted by me, I should involve the key stakeholders internally or even externally such as managers, concerned employees, accounting departments, heads of each department, etc., and externally like shareholders, suppliers, etc.) all these sharing depends on the importance of budgeting. I need to set a feedback session to hear from the concerned people in an early, clear, transparent meeting or any other communication way, so I can illustrate to them the importance of changes and the impact of, always preferring to do so by data visualization through using charts, graphics, etc.) Once it is done, I must track the process, collect the feedback, and monitor the adjustments to the changes.

La relevancia de manejar diferentes puntos de vista es integrar la información para entender los diferentes escenarios, motivos, estrategias causas y efectos para poder transmitir a las partes afectadas el razonamiento que fundamenta los cambios. El enfoque es que las partes involucradas acepten las modificaciones producto del convencimiento, evitando la imposición autócrata.

Engaging stakeholders effectively is crucial in the budget management process. These are some perspectives on the importance and benefits of this approach. There are more but i think this ones are the most important. 1. Building Trust 2. Diverse Perspectives 3. Mitigating Resistance 4. Encouraging Collaboration 5. Feedback Mechanism 6. Alignment with Organizational Goals 7. Implementation Support Engaging stakeholders is not just about informing them of changes; it’s about creating an inclusive environment where their input is valued.

El análisis estadístico de las operaciones celebradas durante los ejercicios anteriores. El comportamiento de la economía y sus tendencias y el análisis de la competencia en cuanto a su participación de mercado, y la capacidad de producción y venta de la parte interesada, son los elementos que fundamentan la elaboración del presupuesto, el cual debe de contemplar tanto la visión financiera, como el volumen en unidades y el Roll Out pretendido, lo que proporcionará una visión integral del proyecto.

I think the budget that we've made at the beginning of the year must not be changed. it will become the overall target of the company and KPI for business development, sales and marketing division. If the budget really needs to be changed, we can change it at the forecast report, which will represent the actual condition with monthly analysis every week for the trend and condition of the market. and we can make a comparison between forecast and budget. the variance will become the company's input to make the better analysis in budget for the next year.

Reviewing the budget with stakeholder input is a critical process that enhances financial planning within an organization. Begin by leveraging historical data and analyzing market trends to make informed predictions about future budgetary conditions. Incorporate stakeholder feedback to ensure the revised budget reflects a comprehensive view of organizational needs. Strive for a balance between austerity and growth, setting realistic and achievable financial goals. Employ scenario planning to prepare for various outcomes, and establish a system for continuous monitoring to adapt to changing circumstances. This comprehensive approach ensures that the budget effectively supports strategic objectives for future success.

La operatividad del proyecto reflejado en el presupuesto, implica definir las estructuras operacionales disponibles y requeridas, la definición de la ruta crítica de las áreas involucradas y las necesidades de inversión, con el objeto de contar con una guía que permita identificar de manera inmediata cualquier desviación que pudiera llegar a presentarse a lo largo del ejercicio.

Implementing budget changes involves developing a clear action plan that outlines specific steps, such as adjusting procurement strategies, modifying project timelines, and reassigning personnel. It’s essential to monitor the implementation process closely to ensure it stays on track and achieves desired outcomes. Flexibility is key, as budgeting is an ongoing process requiring readiness to make further adjustments as challenges arise. Maintaining effective communication with stakeholders throughout the process fosters collaboration and trust, ultimately ensuring that the budget aligns with organizational goals.

the monitor must be done in every aspect, including operation expense and account receivable for cash flow. the monitoring progress is so important to know about the performance of the company and the condition of the market. by monitoring our budget and forecast weekly, we can know about every threat and problem that we may be facing in the next day. Also we can drive sales and marketing divisions if their actual performance is still far from the target, or others division if the cost is almost over the budget

El contenido de un presupuesto, requiere de contar con todos los principios contables, con el objeto de poder comparar los resultados contra los proyectados y de ésta manera identificar oportunamente las necesidades que permitan el cumplimiento del resultado, lo mismo en la parte financiera como en las cuentas relevantes en el cuerpo del Balance General.

Monitoring progress after implementing budget changes is essential for identifying discrepancies, making timely adjustments, and ensuring that the budget effectively guides financial decision-making. Regular reviews, accountability, and adaptability will help maintain alignment with organizational goals and drive overall success.

Geralmente o or?amento é a variável menos flexível nas organiza??es. Entretanto, para torná-lo adaptável frente as mudan?as, o ideal é manter um monitoramento atualizado e sempre revisitá-lo, para verificar quais modifica??es ser?o possíveis, como por exemplo realoca??o de custos.