THE ROLE OF FLEXIBLE BUDGETING IN BUSINESS OPERATIONS
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- NGN 3000
THE ROLE OF FLEXIBLE BUDGETING IN BUSINESS OPERATIONS
This study aims to: (1) explore the role of flexible budgeting in enhancing business operations, (2) identify the key benefits of flexible budgeting, and (3) assess the impact of flexible budgeting on operational adaptability. A survey design was employed to gather data from operational managers and financial planners. Using Taro Yamane's formula, a sample size of 378 participants from SMEs in Lagos was established, ensuring a representative sample. The SME sector was chosen for its need for adaptable budgeting practices. The reliability coefficient score of the survey was 0.86. Findings reveal that flexible budgeting significantly enhances business operations by allowing firms to adjust budgets in response to changing conditions, leading to improved operational adaptability and resource management. Recommendations include adopting flexible budgeting practices, training managers on the benefits of flexible budgeting, and continuously monitoring and adjusting budgets to respond to operational changes.
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