Business Plan and Budget Formulation Principles & Comprehensive Case Study

Author: Dai Hongkun
Publisher:
Publish Date: 2006-01-01
Features: The book is characterized by its procedural, practical, and scenario-based approach.
1. Procedural: It breaks down the complex process of developing an operating plan into 13 steps, making it easy to grasp. By following these steps, readers can create well-rounded operating plans and budgets.
2. Practical: It systematically lists and analyzes tables to help readers effectively structure and utilize the content of their operating plans.
3. Scenario-based: The entire book revolves around a comprehensive case study that spans all steps, presented with visuals and strong operational guidance.
Target Audience: Senior and middle management in enterprises, management educators, MBA students, and management consultants.
I once consulted the CEO of a renowned American company about their specific practices in corporate management. He said, "From July to September, I was busy working on the annual plan and budget for the next year." At the time, I was puzzled—only 12 months in a year, and two months for such a task? Later, I understood their approach. As a company grows, operating plans are extremely important. This plan is not just strategic; it is a detailed annual operating plan that can be broken down and implemented weekly, monthly, per product, and per customer group. This plan must have clear goals, responsible parties, and quantifiable performance metrics.
Closely related to the operating plan is the budget. Business plans and budgets are an inseparable whole, two sides of the same coin—one side expressed in words is the operating plan, while the other side expressed in monetary figures or other metrics is the budget. Without such an operating plan and budget, managers cannot evaluate, test, or develop an excellent management team. Without this plan and budget, actual management growth cannot be achieved.
The writing of this book stems from the demand for operational guidance on operating plans and budgets in enterprises. Although Chinese enterprises have gradually recognized the importance of operating plans and budgets, and many are already implementing them, there is a general lack of effective guidance on how to develop them, how to organize their implementation, and how to monitor their execution. This book is positioned as a practical operational guide. Traditional business books have served the purpose of business enlightenment, but the of business cannot replace the need for managers to seek books with practical guidance. Therefore, business books that focus on practicality and strong operationality have become a major trend in the publishing of Chinese business management literature, and this book embodies this style.
If you use the methods introduced in this book to develop operating plans and budgets, you will find that you have mastered a powerful management tool.