Budget analysis of RDBS Corporation Essay Example | Topics and Well Written Essays - 1500 words

Budget analysis of RDBS Corporation - Essay Example The essay discusses that a budget is a manuscript that translates plans into money. It is a financial plan where the estimation of expenditure and revenue is done. The budget is an estimate, forecast about what you will need in fiscal terms to do your work. The budget is the most important tool in the business. It is almost impossible to run a business without having the budget. Budgeting is the process of preparing the budget, where the operational plans are the plans for real work. At the time of budget preparation, trade-offs and prioritization with program are ought to be made to make sure that the budget fits government policies and priorities. The cost effective variants which should be the best option for the organization must be selected. At last, the means of rising operational efficiency, which is effective, must be sought. None of these can be fulfilled unless financial constraints are built into the course from the starting. Budgeting is very responsible and difficult job . So, all the companies always depend on the experts in the field for preparing the budget. Incremental budgeting is a budgeting method where the budget is organized using a preceding period’s budget or else actual performance as a foundation with incremental amounts added for the new budget period. In the incremental budgeting, the actual performance of the company in the last months is taken into consideration and appropriate changes will be made for better result in upcoming months. This budgeting method encourages the spending of money up to the budget. Benefits that can be Realized from a Budgetary Control System: Maximization of Profit: The budgetary control system has an aim at the maximization of profits of the project. To attain this objective, a suitable plan and co-ordination of various functions are to be conducted. There is appropriate control over a diverse capital and revenue expenditures. The available resources are put into the best uses. Co-Ordination: Bette r co-ordination always results better profits. The functioning of the various units and sectors is correctly co-ordinate as a result of budgetary control system. The co-ordination of different executives and subordinates is essential for attaining the targets as specified in budgets. Tool for Measuring Performance: By giving the specific aims to various departments, budgetary control acts as a tool for measuring performance of companies. The fixed targets are compared to actual achievements and deviations are taken into consideration. Economy: The setting up of expenses will be methodical and there will be optimum economy in spending. The money will be put to use on the best. The ultimate benefits will go to the nation and it will be a national profit. The national assets will be used cost-effectively and wastage will be reduced. Consciousness: The budgetary control system helps in creating budget consciousness among the employees. By setting up targets for the workers, the system t ries to make the employees responsible towards their jobs. Every person knows what he is anticipated to do and he can do his work without any interruption. Reduces Costs: Now days, the business is so competitive and the role of budgetary control is significant. All the businessmen try to diminish the cost of manufacturing and rising sales. They will try to have those perfect mixtures of products where profitability is at the maximum. â€Å"The budget process consists of activities that encompass the development, implementation, and evaluation of a plan for the provision of services and capital

MARKETING PLAN FOR PGI COMPANY Essay Example | Topics and Well Written Essays - 5500 words

MARKETING PLAN FOR PGI COMPANY - Essay Example Number of words 1482 (excluding appendices/bibliographies and tables) Contents EXECUTIVE SUMMARY 4 INTERVIEW AND ANSWERS 5 INTERVIEW SUMMARY 12 DEMOGRAPHIC SEGMENTATION 13 GENDER SEGMENTATION 13 AGE SEGMENTATION 14 BEHAVIORAL SEGMENTATION 15 BEHAVIORAL SEGMENTATION SUMMARY 16 MARKETING MIX 16 CUSTOMER AUDIT 18 OPPORTUNITIES AND THREATS 18 INTERNAL AUDIT 19 STRENGTHS AND WEAKNESSES 19 MACRO ECONOMIC AUDIT 20 MACRO ECONOMIC SUMMARY 21 MICRO ENVIRONMENT AUDIT 21 MICRO ENVIRONMENT AUDIT SUMMARY 22 MISSION 23 EXTERNAL FACTOR (EXTERNAL AUDIT) 23 INTERNAL FACTOR (INTERNAL AUDIT) 23 COMPETITOR AUDIT 24 COMPETITOR AUDIT SUMMARY 24 SWOT ANALYSIS 24 TOWS ANALYSIS 26 MARKETING OBJECTIVES 27 STRATEGY THRUST 27 ANSOFF MATRIX 27 STRATEGIC OBJECTIVE 28 STRATEGIC OBJECTIVE SUMMARY 29 CORE STRATEGY 29 CORE STRATEGY SUMMARY 30 MARKETING MIX DECISION 30 MARKETING PLAN CONTROL 31 CONTROL 31 CONTIGENCY PLAN 32 PGI MARKETING PLAN EXECUTIVE SUMMARY PGI is an insurance broker that specializes in motor vehicl e insurance only. The company is now considering expanding its offerings by introducing a general household insurance policy to existing customers. The company has established links with affinity groups such as trade unions which give it access to more than 5 million customers. The target market consists of homeowners across all gender and age segments. The primary needs of the market are price, service and information. This report analyzes the industry and the competitive position of PGI within the industry to recommend a price skimming marketing strategy. INTERVIEW AND ANSWERS Stage 1: Cut and Paste Questions Interviewee 1 Male 46yrs Interviewee 2 Female 56yrs Interviewee 3 Male 25yrs Interviewee 4 Female 23yrs Interviewee 5 Male 61yrs Interviewee 6 Female 43yrs Interviewee 7 Female 63yrs Interviewee 8 Male 48yrs Q1 Would you be prepared to buy a household contents policy from a group which you are a member of? Yes I already get my car insurance from my Trade Union so why not my c ontents policy No I get my contents insurance from my mortgage lender, I thought I had to as they gave me the money. Yes why not, so long as they are competitively priced. Well currently I get my contents insurance from the web, the site searches 20 insurance companies for the best deal. I do have to input my requirements though. So if my staff association had a similar arrangement then I would think about it. Yes from my union but I can’t see it from the Train spotting club. What about when I retire though? No, I like to buy insurance from people who know about insurance, I mean does my trade union know anything about insurance? I don’t think so! Yes from my union but really I use my local insurance broker –they take all the hassle out of buying. What about when I retire though? Yes, why not if they can get me a good deal –must be able to get a bulk discount, I mean my trade union has over 1 million members now. Q2 What would you expect to find in a hous ehold contents policy? Well the contents of my house insured of course! But I would want my portable belongings insured outside of the house in case I lose them or had them stolen, I’d like the kids belongings insured too, especially the eldest while he is at university. I don’t know, how about the obvious, like my contents insured against lose due to fire, accidental damage, theft etc. Oh and outside the house as well. Well, accidental loss cover, the usual fire and theft that’s about it. Just fire and theft mainly. Just like the basic cover. Don’t want to spend too much money. The usual fire, theft, accidental damage, legal expenses insurance and all those telephone help lines –you know the repair, tradesman-sourcing etc. Oh just everything covered really,