![]() ![]() Budgeting and Business Planning are integrated in one single template.The time axis includes months, quarters and years.On the other hand, we have retained the following key elements: Including them can make a Budgeting tool in Excel cumbersome, even with few Cost Centres (10-20) and few accounts (100). We have excluded Cost Centres and Chart of Accounts.The template below is the result of a number of trade-offs, in particular: So you have to make multiple compromises, to keep your Excel Budgeting tool manageable. Unfortunately, Excel is neither a database, nor a multidimensional database. Integration of the Budgeting system with your ERP? With automatic data import as well?.Maybe multiple users of the budgeting system, with various roles (administrator, contributors etc)?.Chart of Account: anything between 1 accounts?.Cost Centres: anything between 30 and 200?.Mobile, Fixed, Broadcasting, Mobile Money etc)? Ideally, you want to capture the following: Each template can remain totally focused on the problem as stake, and doesn’t have to make compromise.Īnother big issue is that Budgeting is inherently a multidimensional exercice. Standalone Excel templates, for Budgeting on one hand, and Business Planning on the other hand, are always going to be better.As the saying goes: “It is more important to be approximately right rather than precisely wrong” Budgeting and Business Planning have conflicting objectives: in a Budgeting tool, you want to capture the near future with a lot of details in a Business Planning tool, capturing the the medium (3-5 years) and long term (7-10 years) view correctly is more important than being precise in the short term.Unfortunately, there is no perfect world, and what you gain on one side, you tend to lose on the other side: So rather than using 2 separate tools, having a combined tool covering both Budgeting and Business Planning can solve a lot of headache. The Budgeting tool needs to integrate with the Business Plan tool.The short-term Budget needs to be consistent with the long-term Plan.The Budgeting manager is often responsible for Business Planning as well.And that makes sense for a number of reasons: In many case, and in the ideal world, you would like to have an Excel template that covers both Budgeting (the short-term view) and Business Planning (the mid-to-long-term view).
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