Improving the Budget You Already Have
- October 9, 2018
You’ve done the challenging part of assembling a budget. You’ve done the introspection and soul-searching, looked at your venture from every angle, and tailored your budget to diligently aim your business to meet the goals you’ve set for it. It may not be perfect, but you’re confident that it will continue the operation down the path you’ve set for it. However, what about everyone else? Have you created buy-in and approval within your leadership team while creating your budget? Here are a few tips that will help you improve the budget you already have and more easily accomplish that potentially difficult task.
A very effective way to align your leadership team around your plan and get buy-in is to involve them in the budgeting process. When it comes to budgeting, your company’s leaders are the experts who have the understanding of the budget needs for their departments. Solicit their advice and input, and include it in your budget. Not only will that make the budget more accurate, it will also create a sense of ownership in those whose numbers you include. Perhaps the best and most effective way to encourage buy-in is to recognize the budgeting process for what it is – your company’s chance to come together and form a plan for success in the coming year. You and your leadership team are laying down a plan of attack for defeating the challenges and seizing the opportunities your company will likely face over the next twelve months. Remember, engagement and buy-in are major contributors to creating a successful budget. The success of your budget is directly related to the amount of buy-in you have in it.
At its heart, the purpose of every team is the accomplishment of a goal, which is impossible without a keen focus on the goal in question. Creating a shared focus for your budget fosters stronger stability and growth; helping to eliminate confusion and uncertainty. Aligning the budget with the goals of your leadership teams creates focus while also propelling the entire business forward.
Creating Team Alignment
Pulling your team into alignment is essential for the success of any of its endeavors, including building and implementing your budget. To accomplish this, make your budgeting process as transparent and accessible as possible to each member of your team. Team members’ familiarity and comfort with the budget generates trust and buy-in, and with that trust and buy-in galvanizes your team into a cohesive unit prepared to drive the business forward.
Although there are many ways to create and execute a successful budget, the methods above, have aided business clients of all sizes to assemble a robust foundation for building and implementing a successful budget.
About Traction Coach
Your greatest asset is your people. At Traction Coach, we believe people are inherently smart, motivated and arrive ready to do something great. We will guide your leadership team through the proven Entrepreneurial Operating System (EOS) to build a business foundation that ignites the innate tendency of your people to execute toward a shared vision and to maintain disciplined action; creating a cohesive, high-performing team who consistently delivers results.
Stability. Growth. Profitability.