Unit 5 D1

Good Essays
In this task, I will be evaluating how managing resources and controlling budget costs can improve the performance of a business. I will also be exploring the strengths and limitations of managing resources and budgets.
This report will also include an explanation, with examples, of how managing resources can improve the performance of the business, an explanation, with examples, of how controlling budgets can improve the performance of the business and a recommendation of a few specific actions the business could take to improve performance.
Resource management is the efficient and effective distribution/allocation of an ASDA resources when and where they are needed. These resources may include financial resources, inventory, human resources,
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Budget controls are very time consuming, it is a process that requires a lot of time to understand and adopt into ASDA’s business plan. The time these employees invest into the budgeting process hinders them from carrying out their other assigned roles and responsibilities.
Resource management and budget control include errors and inaccuracies within ASDA’s financial statements and plans and it will always remain like that because it is very difficult to predict the future achievements of the organization. Unseen external events such as rising energy prices or the global recession may distort the already made plans for production digging into the reserved financial resources put aside by ASDA.
Budgets involve and affect the employees and the members of the deciding board, they may cause conflict. There may be difficult opinions on how limited funds are spent. Some departments e.g. production with tight budgets could feel self-conscious. This means decision will be slowed down and this can also slow down the production rate and this means ASDA would not be able to male as much in the given
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