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Topic: Business
Number of pages / Number of words: 4 / 872
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Plant managers divide the plant budget down into various plant departments. The strategic control is established by a sales budget for the sales managers and production goals for each division. The plant budget for the production, based on the forecast is then broken down into budgets and objectives for each plant division...


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The goal is to keep performance as close to the budget as possible and examine any variance that takes place and fix responsibility for variances.

Operations and maintenance managers work to develop cost standards and cost-reduction targets for all departments. Budgeted cost reductions from productivity improvements, unfavorable variances, and facility-level costs are developed for each department, operation, and cost center in the plant...


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