This course will assist managers in monitoring and controlling their budgets. It will focus on the importance of delivering objectives with the funds allocated, and achieving value for money. This is particularly important for budget holders in organisations that face financial constraints where savings need to be made year on year, or where demand for services often outstrips the resources available.
This is a comprehensive course delivered by experts, and will provide an excellent opportunity to develop and improve skills and knowledge in this area. On completion of this course, participants can obtain Continuing Professional Development (CPD) hours/points along with a CPD certificate.
We will provide manager's with tools and techniques to cope with the demands of budget management, particularly when they have a non-finance background. We will explain terminology, and set out best practice processes and procedures, and provide ideas to manage more difficult budgets.
The course will explain the importance of variance analysis in monitoring budgets and how to make the variances meaningful as a management tool. Other basic techniques such as commitment accounting, projecting outturns and budget drivers will also be covered.
In order to effectively manage budgets, budget holders will need accurate and complete financial management information, and we give examples of the types of report that are most helpful.
An introduction to the course, going through the course content so that participants can identify the areas that will be covered.
This lecture gives a definition of a budget for both expenditure and income.
Each step of the monitoring process is explained and consideration is given to who in the organisation should be involved in the monitoring process.
Getting the "actuals" right is the first step in the monitoring process. This lecture considers all the elements that should be included in order to establish the base from which to monitor the budget.
Income budgets need to be monitored just as much as expenditure budgets. This lecture describes the monitoring process and the importance of ensuring that income is received.
Accounting for committed expenditure is one of the differences between management accounting and financial accounting. This lecture explains commitment accounting and how it helps budget holders control and manage their budgets.
This lecture explains what a variance is in the context of budget monitoring. Variance analysis is a key technique which budget holders must learn to use. The terminology is described and a simple example given.
Variance calculations are described in depth with illustrations, including how to calculate a percentage variance. Variances may be presented in a variety of ways on management reports, and the budget holder is shown some examples of this.
When the variances have been calculated they have to be interpreted and analysed if they are to be useful to the budget holder. Finding out and understanding the reasons and causes of variances is a fundamental part of the monitoring process. This lecture identifies the most common reasons.
Having understood the cause of the variance this lecture identifies some of the actions that can be taken to control the variance, it also distinguishes between variances that are controllable and those that are uncontrollable. This lecture moves the budget holder towards the next section of budgetary control.
In order to control budgets, budget holders need to understand the concept of budget drivers. This lecture describes budget drivers and their importance to both setting the original budget, and monitoring and controlling the budget.
This lecture provides practical examples of budget drivers for different types of service area. This will help in assisting budget holders to identify the budget drivers that impact on their own budgets.
Projecting the outturn is a useful technique for budget holders to use in monitoring and controlling their budgets.
This lecture shows how to calculate outturns in different scenarios. It will show the budget holder how best to accurately estimate future expenditure or income, and make forward plans to meet budgetary control objectives. Ideally calculating outturns should form part of a budget holder's regular monitoring and control routine.
This lecture describes the type of control actions that a budget holder could take in order to control their budgets. Having used the techniques covered in the previous lectures the actions should be based on solid foundations, and be practical in nature.
To ensure that control actions are having an impact, and are being effective, it is important that they are monitored in a routine way. Monitoring outcomes is part of the process and should highlight whether or not the actions taken are controlling the budget whilst continuing to meet organisational objectives.
This lecture describes the difference between financial accounts and management accounts, and highlights the common factors between the two. Budget holders require good financial management information in order to monitor and control budgets.
There are many different types of monitoring information, and they are not all financial. This lecture describes and gives examples of the types of monitoring information a budget holder would find useful.
Budget monitoring reports can be presented in a wide range of different formats and have variable content. The budget holder should consider the type of information they require which would best enable them to monitor and control their budgets.
This lecture summarises the content of this course and explains how you can obtain Continuing Professional Development (CPD) points along with a certificate.
The main instructors are Jennifer Bean and Lascelles Hussey who are the founders and directors of HB Publications. They are both Chartered Accountants and MBA graduates with over 25 years of training and consultancy experience. Their expertise is to take business principles and apply them to a public sector/ non profit environment in an easy, user-friendly, and practical way.
They have delivered training programmes in finance related topics to thousands of individuals working in the public and non profit sectors. They provide tailored training to meet specific organisational needs, as well as delivering open courses from their developed product range. Clients include public authorities, local government agencies, health organisations, educational institutions, universities, housing organisations, arts and community enterprises, etc.
They have demonstrated their expertise and experience in the form of a series of management books entitled "Essential Skills for the Public Sector", titles include Managing the Devolved Budget, Finance for Non Financial Public Sector Managers, and Costing and Pricing Public Sector services. All are available on Amazon and at leading bookstores.
HB Publications has a mission to improve skills and competency in the public sector. The company has developed a number of online assessments which can be used to indicate training needs and measure continuous improvement.