1 Background of comprehensive budget management

Under the tide of modern market economy, the competition in all walks of life is becoming increasingly fierce. If the development and reform of enterprises want to succeed, "reducing cost and increasing efficiency" has become the only way, and the concept of comprehensive budget management to guide enterprises to carry out various businesses has emerged.

2 Our village's comprehensive budget management system construction leads the industry pioneer, mainly reflected in:

2.1 Break down departmental barriers, and all staff participate in budget preparation

Under the strong advocacy of the company leaders, all staff in all departments attach great importance to budget management and actively participate in budget preparation. When budgeting based on actual business conditions, the scientificity, rationality and accuracy of budget data have been greatly improved.

2.2 Careful budget preparation, operating expenses from the subject budget to the department budget and then to the company budget layer by layer summary.

2.2.1 There are up to 48 budget items, which are divided into four categories: legal expenses (2 items), incentive expenses (13 items), neutral expenses (5 items) and control expenses (28 items). The budgetary amount of each budget line shall be counted item by item according to actual economic operations.

Legal expenses, incentive expenses, neutral expenses and control expenses are the budget subject categories with the characteristics of Zhengcun made by us based on the requirements of budget management and the actual situation of the company. Among them:

2.2.1.1 Legal fees are fees that must be incurred according to relevant government regulations. Such as: disability security, occupational health examination and so on. Since statutory costs are rigid and cannot be controlled by administrative means, the purpose of this section is to enable departments to anticipate the occurrence of such costs before the budget is prepared.

2.2.1.2 Encouraging expenses refers to the expenses that departments are encouraged to spend according to the policy direction of the company. Such as: site improvement, plant repair, etc. Encouraging expenses will greatly improve the company's production and operation.

2.2.1.3 Control expenses are the expenses that have to be incurred to maintain the normal production and operation activities of the company. Such as: office expenses, material consumption, etc. Because controlling expenses does not help improve the management of the company, such expenses are the focus of our budget control.

2.2.1.4 Neutral charges refer to other charges in addition to the above charges. Such as: mold costs and repair costs.

2.2.2 The department budget is consistent with the organizational structure, and a clear distinction is made according to the company's operating model. Nearly 20 functional departments are set up.

2.3 Budgeting is the foundation, with emphasis on implementation and control

In the process of budget management, we not only pay attention to budget preparation, but also pay more attention to budget implementation and control. 2.3.1 Analyze the implementation of each budget on a regular basis and prepare budget analysis tables.

2.3.2 Holding budget analysis meeting, timely feedback of budget implementation to all business departments for improvement.

2.4 Great progress has been made in informatization construction to promote the automation of budget management

Under the strong promotion of the leadership, the company's information construction is steadily advancing, and it is actively promoting the online Mingdao cloud system.

The application of this system will have a positive impact on our management reform, mainly reflected in the following aspects:

2.4.1 Office efficiency is greatly improved

The application of this system will enable us to realize paperless office for the first time, optimize the cumbersome offline office procedures such as filling in forms, signing, typesetting, printing and pasting, and promote the business process quickly.

2.4.2 The automatic calculation function greatly improves the accuracy of data calculation

The automatic summary and analysis by the system instead of the manual will be efficient and accurate in grasping all kinds of business data, avoiding errors and omissions caused by manual operation.

2.4.3 Greatly liberated human resources, and the direction of work tilted to operation management

Due to the convenience of the system, all employees are no longer encumbered by cumbersome processes, and will have more energy to invest in the development of external resources and the management of internal operations.

With the help of Mingdao Cloud, an information management platform, we will shift budget preparation, execution, analysis and control from offline to online in the future, improving the efficiency of budget management.