Goals of team or section or department how the goals

Goals of team or section or department, how the goals will be achieved and what resources
required to achieve the goals.
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However there is no strict rule for operational plans which contain various factors such as
Specific goals, action required to achieve this goals, human resource required, physical resource
Required, Budget required and an indication how long goals take to achieve.
Contingency plan is an alternative as of changing circumstances as the situation demands. The
level
and degree of impact of plan depends upon the environmental plan changes.
Question 5. Explain the steps in budgeting process within an organisation. You may wish to
list and briefly explain using bullet points. Limit your total responses within 300 words.
Useful link: (5 marks)
BUDGETING PROCESS EXPLANATION
Budgeting is a process whereby future income and expenditure are decided in order to streamline
the expenditure process which is done to be aware of the expenditure and income. Budgeting
process is very crucial for any business organisation and important aspects of budgeting are as
fallows.
Top- Down Budget; The primary input is made by top level executive of the business lay down the
guidelines for budget however, guidelines related to sale budget, compensation are given by top
management.
Bottom- up Budget; Directions are given by the top level management however, employees and the
lower management formulate them.
Sale BUDGET; First budget to be prepared as the revenue is generated will determine the level of
expenditure. Sale of the business are forecasted and also in term of sale volume and sale
revenues.
Production Budget; This is of high importance which determine the number of unit of a product that
will be produce by the business.
Direct Material Purchase Budget: The budget related to direct material which determines the the
amount and cost of this resources that will be required in the production.
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KNOWLEDGE EVIDENCE MARKING ALLOCATIONS
(Trainer/Assessor use for assessing & marking purposes)
The learner will be assessed on the following knowledge
evidence and performance evidence
Marks
allocated
Marks
received
Q1. There are various models and methods used for organisational
operational plans. Describe three models and methods operational
plans and explain how they are used.
3
Q2. List and explain four key elements of an operational plan. 4
Q3. List and briefly explain three alternative approaches to
developing Key Performance Indicators.
3
Q4. Explain (within 300 words) the role of an operational plan in
meeting organisational objectives.