Helen Auger Has Seen the Centicle Group,a Not-For-Profit,in-Home Health Care

question 128

Essay

Helen Auger has seen the Centicle Group,a not-for-profit,in-home health care organization,grow during the past ten years to a $500 million revenue,multi-state organization.Helen was promoted to her controller position six months ago,after serving capably in several financial accounting positions at the Centicle Group.
At a Budget Review Committee meeting last Friday,several committee members expressed frustration with the pace of the budget development.They described the newly introduced "bottom up" system of participative budgeting as "unwieldy," "slow-paced," and "repetitive." Helen's objective in introducing the participative approach was to involve to a much greater extent lower level supervisors and employees.Helen is meeting with the Budget Review Committee again tomorrow when she plans to explain the advantages of "bottom up" versus "top down" approaches to the budgeting process.
Required: Helen has asked you to help her prepare for tomorrow's meeting by preparing the following:
(a)A 40 -50 word description of participative budgeting,including some basic advantages of this approach to budgeting.
(b)A brief,one-paragraph explanation of the concept of "budget ownership," one of the values that participative ("bottom up")budgeting is said to have.

---

Definitions:

Competition Act

Legislation designed to promote or maintain market competition by regulating anti-competitive conduct among companies.

District Court

A type of court existing in various jurisdictions, typically with general jurisdiction over civil and criminal cases in a specific geographic area.

Province

A territorial division within a country, often with its own local government.

Competition Act

Legislation aimed at promoting healthy competition and preventing monopolies, anti-competitive practices within an economy.