How does ciclo orçamentário benefit an organization?

Ciclo orçamentário, also known as the budget cycle, is a crucial financial management process that benefits organizations in several ways. Firstly, it provides a systematic framework for planning and allocating financial resources, ensuring that the organization's goals and objectives are supported by adequate funding. Through the budget cycle, an organization can also monitor its financial performance, comparing actual results with the budgeted figures and identifying any discrepancies or deviations. This helps in identifying potential cost savings or revenue-generating opportunities. Additionally, the budget cycle facilitates effective decision-making by providing managers with accurate and up-to-date financial information, enabling them to make informed choices regarding resource allocation and investment. Overall, the ciclo orçamentário serves as a strategic tool that enhances financial control, increases transparency, and promotes accountability within an organization.

This mind map was published on 10 September 2023 and has been viewed 152 times.