In: Finance
Traditional budget formulation process focuses on the compelling
needs to address the widespread problem of poor public sector
performance.
What are these processes that traditional budget formulation
focuses on? Give an example of each focus.
Traditional budgeting formulation is a complex method to prepare the budget of current year by changes in previous year’s budget. The changes are mainly allocation of fund to new heads and developments, changes in past data as adjustment of expenses, inflation rate and other market factors. The traditional budget also approaches the factors to address the widespread problem of poor public sector performance in previous year.
The focus has been given on