"Budgets are time consuming and expensive. Despite the advent of powerful computer networks and multi-layered models, budgeting remains protracted and expensive. The average time consumed is between four and five months. It also involves many people and absorbs up to 20 to 30 percent of senior executives' and financial managers' time. Some organizations have attempted to place a cost on the whole planning and budgeting process. Ford Motor Company figured out this amounted to $1.2 billion per annum."
Reading this made me think of a couple of questions:
Question # 1
How much does the company you work for spend each year on planning and budgeting?
Question # 2
What is/are the most effective way(s) of reducing the costs spent on planning and budgeting and – at the same time – increasing the competitiveness of the company? Please be as concrete as you can.