MODULE 6- MHA 706
Strategic plan - answer-Foundation of the planning process
-Rough road map for the future and the business
Strategic plan consist of - answer-values statement
-mission statement
-vision statement
operating or five-year plan - answer-Lays out the organization's goals and objectives on
how to achieve the strategic plan.
-provides the guidance needed to meet the goals & objectives.
Financial part of operating plan - answer-Finance
-Working capital management
-Budgeting and control
Budgets - answer detailed plans expressed in dollar terms that specify how resources
will be used over some period of tine.
Budgets within an organization applied to - answer-aggregate
-department
-service line
-contract
-nature of expenditure
For a budget to be effective - answermust be thought of as managerial tools, and not
financial staff tools.
Planning in budgets - answerused to determine what resources will be needed in order
to execute strategic goals.
Communication in budgets - answerestablish what are the priorities of the organization
in terms of how to allocate the resources to achieve strategic goals.
Control in budgets - answermonitoring current ops again what is budgeted. Action may
need to be taken if deviating from what was expected to either increase revenues,
decrease cost or a combo.
Statistics budget - answer-foundation budget, in that it develops the input data needed
for the other budgets.
-contains basic forecast for volumes or service and resources needed to provide those
services.
Strategic plan - answer-Foundation of the planning process
-Rough road map for the future and the business
Strategic plan consist of - answer-values statement
-mission statement
-vision statement
operating or five-year plan - answer-Lays out the organization's goals and objectives on
how to achieve the strategic plan.
-provides the guidance needed to meet the goals & objectives.
Financial part of operating plan - answer-Finance
-Working capital management
-Budgeting and control
Budgets - answer detailed plans expressed in dollar terms that specify how resources
will be used over some period of tine.
Budgets within an organization applied to - answer-aggregate
-department
-service line
-contract
-nature of expenditure
For a budget to be effective - answermust be thought of as managerial tools, and not
financial staff tools.
Planning in budgets - answerused to determine what resources will be needed in order
to execute strategic goals.
Communication in budgets - answerestablish what are the priorities of the organization
in terms of how to allocate the resources to achieve strategic goals.
Control in budgets - answermonitoring current ops again what is budgeted. Action may
need to be taken if deviating from what was expected to either increase revenues,
decrease cost or a combo.
Statistics budget - answer-foundation budget, in that it develops the input data needed
for the other budgets.
-contains basic forecast for volumes or service and resources needed to provide those
services.
