AYB321 Lecture Notes - 18 Months, Collective Action, Cash Flow Statement
Document Summary
Assignment will be released by the end of the week will be covered in more depth during next week"s lecture: part 1 = budgeting, part 2 = organisational architecture. All organisations have a planning and control system: planning = formulating the direction of future options. All levels of management put in plans. It is the responsibility of senior management to make an umbrella" plan for the entire company: control = ensuring those plans are achieved. Make use of diverse resources to ensure plans are achieved. Planning and control is the fundamental role of management. Budgeting: detailed plan summarising the financial consequences of an organisation"s operating activities for a specific future time period: financial model of future operations, core component of an organisation"s planning and control system, short term one year. Corporate strategy: decisions about the types of businesses in which to operate, which businesses to acquire and divest and how best to structure and finance the organisation.
