Budgetary control systems. Business & Marketing Research Paper (Research Paper Sample)

Name of the Student
Institution Name
7th June 2018
Problems existing in Ferguson & Son Manufacturing Company budgetary control system and how they reduce the system effectiveness
The most important tool in controlling and planning of business activities in an organization is the budget control system. The budgetary control system effectiveness and the planning determine the performance of an organization. Ferguson & Son Manufacturing Company lacks comparative analysis of the actual figures and the budgeted figures. This has made the allocation of resources difficult, hence affecting negatively the budgetary control system of the Company (Albright, 2011).
Lack of common goal among the company's employees is a problem facing the company's budgetary control system. There is a dispute between Emory's goal of provision and maintenance of quality goods and the company's low-cost focus goal. This confusion affects the performance of the employees leading to reduced effectiveness of the organization's system.