Part 5: Corporate and Departmental Budgets

by | Mar 15, 2021

By: KHA Consulting Team

The following is part five of a multi-part series on The KHA Way, KHA Management Consulting’s Integrated Service Offering. This blog series includes the benefits of using KHA Management Consulting Services and the components included.

Once financial data is readily available and you are informed of your current business position and performance, you may be surprised by the business results in the reports. You may realize the accounting controls are in place and working as expected, so the next area of concern for you as a mid-market industry leader is determining what drivers will produce the desired results. No manager/owner wants to work tirelessly day in and day out only to realize that their family’s livelihood as well as that of their employees’ families is in jeopardy. Do you have the answers to the following questions:

  • Why is the strong revenue stream of the new business line not equating to cash in the bank?
  • Where is money being spent?
  • How do you plan?
  • Where should you focus your spending?
  • How do you hold your team accountable?

As a business owner/manager, the answer to these questions and many more are found in the use of a corporate and/or departmental budget.

Corporate and/or departmental budgets can help guide your business activities and provide a point of reference for profits and expenses. You will never get anywhere without a plan. Budgets are also equally important regarding business decisions that will determine your business’s longevity. Managers that see the importance of time spent preparing for the future are better prepared. However, you may be at a loss as to how to develop or implement a budget for your business. As your trusted advisors, KHA Management Consultants can assist you in preparing a budget that will help provide meaningful information regarding your business’ resources and expenditures.

As part of The KHA Way Budget offering, we navigate the budget process with your management team. To ensure the information is relevant to your business needs, our starting point is always your most current profit and loss statement compared to the previous 12 months. This data will provide a framework for outlining the budget and ensuring that it will align with your accounting software outputs to provide meaningful comparative reports. At this point, we will meet with your leadership team and any pertinent personnel to gather information regarding future needs and foreseen changes. This information is then compiled in an easily updated format so that additional information and different scenarios can be discussed and visualized throughout the process until the finalized management approved budget is delivered. This process allows you as the owner/manager to dictate the inputs that are reflected in your budget so that it is catered to your business needs.

At KHA Management Consultants, we work with mid-market industry leaders to identify what makes the organization, its stakeholders, and its’ employees tick. We facilitate the Accounting Visibility process with your organization’s key constituents to ensure buy-in, ownership, and a new way of thinking about the organization and its stakeholders amongst all levels. From a resource perspective, we primarily use our unmatched experience but also tap into the top-level resources such as those made available by Harvard Business Review, relevant strategic management authors, and MentorPlus. Some of those materials, frameworks, and lessons have been used in authoring this series.

KHA Management Consultants, the consulting department of KHA Accountants, PLLC, based in Flower Mound, Texas, is always looking for opportunities to work with key clients ready to take their organization to the next level. If you have a desire to improve, take the first step toward success with the strategic management experts, and contact us at 972-221-2500.

Bakes Takes Volume 1, Issue 9

This month’s Bake’s Takes explores the science of persuasion, the art of selfless networking, and the journey to relishing networking. Learn how to use principles of persuasion, build an effective network, and find a higher purpose in your networking endeavors. This curated list of reads presents an invaluable opportunity for leaders aiming to refine their strategic approach and drive impactful results.

Bakes Takes Volume 1, Issue 8

This month’s Bake’s Takes presents three powerful reads that discuss overcoming anxiety in high achievers, traits of effective teams, and reasons why leadership teams fail. It provides actionable advice on how to avoid mental traps, foster healthy collaboration, and elevate mediocre teams to high performing ones. Dive in to gain a fresh perspective on leadership challenges and strategies.

Attestation Services: An Introductory Guide

In today’s business world, trust and transparency are non-negotiable. Discover how attestation services can enhance your company’s credibility by providing independent verification of your financial information. Read our essential guide to learn how these services can drive business success and foster stakeholder confidence.

What do You Want… Really?

How you plan for retirement today can significantly affect your future. This article explores the implications of current decisions on future outcomes, and how the KHA team can help align your actions with your aspirations. Let’s start shaping your future today.

Will your Business Last Beyond You?

Ensuring business longevity involves intentional succession planning. Explore how KHA’s Dynamic Business Advisory program helps you identify strategic gaps and build a lasting legacy. Are you ready to think generationally?

Bake’s Takes Volume 1, Issue 7

Dive into the world of strategic consulting with Jonny Baker’s “Bake’s Takes”, featuring a careful selection of insightful reads from the fields of team dynamics, conflict resolution, and decision-making. This edition explores the true meaning of teamwork, the importance of healthy conflict in management, and introduces the innovative “RAPID” decision-making method. A rich resource for leaders seeking to create vision, alignment, and execution.

Are you a CEO or a Firefighter?

Are you a business owner stuck in the firefighting mode, rushing from one crisis to another? Discover how KHA Strategic Consultants can help you transition from a reactive approach to proactive strategic planning.

Can You Attract Top Talent?

In the battle for top talent, 75% of companies struggle to fill positions, giving the onus to firms to differentiate themselves. This article outlines four key attributes successful firms possess.

Bakes Takes Volume 1, Issue 6

Explore the top three reads recommended by KHA Consulting’s Jonny Baker in this month’s Bake’s Takes. From understanding how new CEOs establish trust, to leveraging your strengths for greater impact, and spotting talent in the modern era, these articles offer essential insights for today’s leaders. Don’t miss out on these refreshing perspectives designed to push your thinking and enhance your leadership effectiveness.