THE IMPACT OF INCREMENTAL BUDGETING ON ORGANIZATIONAL EFFICIENCY
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THE IMPACT OF INCREMENTAL BUDGETING ON ORGANIZATIONAL EFFICIENCY
The objectives of this research are to: (1) analyze the impact of incremental budgeting on organizational efficiency, (2) identify the key benefits of incremental budgeting, and (3) evaluate the challenges associated with incremental budgeting. A survey design was chosen to gather data from financial managers and operational leaders. Using Taro Yamane's formula, a sample size of 375 participants from retail firms in Uyo was determined, ensuring comprehensive insights. The retail sector was chosen for its structured financial processes and potential for budgeting impact. The reliability coefficient score of the survey was 0.87. Findings indicate that incremental budgeting significantly enhances organizational efficiency by providing structured financial frameworks for resource allocation, reducing unnecessary expenditures, and optimizing operational processes. Recommendations include adopting incremental budgeting practices, providing training on effective incremental budgeting techniques, and continuously monitoring and adjusting budgets to ensure optimal efficiency.
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