How does budgeting contribute to strategic planning and decision-making within an organization?

  • Helps allocate resources effectively based on organizational priorities
  • Leads to siloed decision-making and lack of collaboration
  • Limits flexibility in adapting to changing market conditions
  • Provides a roadmap for achieving organizational goals and objectives
Budgeting contributes to strategic planning and decision-making by providing a roadmap for achieving organizational goals and objectives. It helps allocate resources effectively based on organizational priorities, allowing for informed decision-making. However, it may limit flexibility in adapting to changing market conditions and could lead to siloed decision-making and a lack of collaboration.
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