Report on budget/financial plans for carrying out work tasks. If you need to negotiate further changes to the budget/plans, ensure this is done with the relevant person(s)? How would you support your team to perform their financial roles?

Ans: communication must be effective in the organization related to budget or financial plans that different personnel receive. Price changing and pricing policies must be effectively communicated to all members that make sure that they work on the same page and collectively work for the same target. Written communication is also very effective because people can refer to the content of the communication later, ensuring there is a record of communication and ensuring everyone gets the same message. On a vertical level al the communication take place through meeting between manager and employees. The purpose of effective communication is to consider the cultural differences, check the understanding and be clear and concise. When the budget and financial plan is develop then different team members has to get informed like establishment staff, managers, budget committee, the account department and senior management.   Senior management and accounts department want to get complete information through figures and get to know about complete plans of budget or finance. Budget committee monitor the income and revenue through projections. Managers take control of daily activities and establish a daily record. Establishment staff explain the general budgetary terms and establish the traditional situations to manage the issues. Also prepare the general statements about the expectations and budgets. Budget allocation must be informed through traditional methods that include paper based documentations that outlines the requirements, internal memos or email sent to staff, all staff meetings where a series of overhead projections and departmental meetings where information is deliver verbally and face to face.

1.  For your organisation’s financial planning requirements produce the following:

Ø  A flow chart to show how you review and evaluate financial management processes

This flow chart help to explain all the processes of the financial management and also review all the parts and evaluate them effectively. This process includes the reporting of different areas like wastage, stock, income, expenditures, equipment, consumables and assets.  This accounting cycle help to explain that what the parts important are in the financial plans and how to manage all the areas according to company’s requirement. Ledgers and financial statements, journals, and trail balance all the helping tools that helpful in making the budget of the company and also manage its all accounts in effective manner. There are also many effective portions that settle the budget or finance issues when the proper record keeping process occur using these elements.  To review and evaluate all the process of financial management, these elements are very supportive and create a space to manage all the transactions according to operations.

Ø  A mind map to outline the planning approaches for financial management.

A kind map include all the accounts, transactions and journals that must be prepare for the organization and maintain all the record of the organization in most effective manner. The source departments, the ledgers, accounts, trail balance and financial statements are determine to manage the budget of the organization and also give detail information about the organization and its budget/financial management processes.

2.       Provide information and evidence of monitoring processes that you use at your place or work, to ensure finances and budgets are meeting their targets?

Ans. In line with the requirements of the Australian Taxation Office, you must report on budget and expenditure. Reporting may include data from:

Ø  Bank statements

Ø  Credit card statements

Ø  Financial reports

Ø  Invoices and receipts

Ø  Ledgers and journals

Ø  Logs

Ø  Petty cash records

Ø  Spreadsheet-based records

The need for reports:Operational reports can be seen as providing:

Ø  A communication link between management and staff – in an organisation where, say, the business operates every hour of every day, no-one can be there all the time; so, these reports provide one way of making sure everyone gets vital information

Ø  A historical database which builds into a useful management tool that can help future predictions

Ø  Data to managers which can inform and assess operational performance against budgets

A typical report probably does not exist as their format and content varies widely, but reports will contain certain basic elements:

Ø  A statement of purpose – identifying the type of report and its intention so that readers are quite clear about what this specific report is all about

Ø  Subject topic – a note explaining the exact focus of the document

Ø  The nature of the contributory evidence – explanation or verification of sources, information and the period used as the basis for the report

Ø  A conclusion – a plan of action formulated from the evidence provided in the report

Ø  Identification as to who generated the report, together with its intended target audience (by individual names or positions/titles)

Ø  Authorisation – an indication as to who has authorised the report

Ø  Date of the report – reports can be regular in nature (every month) or they can be ad hoc to respond to a particular issue

Typical sources of information used to develop financial reports are:

Ø  Internal sales analysis figures from each department and/or revenue source – this will include dockets, cash register audit tapes, daily takings sheets, debtor accounts

Ø  Actual staff rosters for each revenue centre – these must be costed and, where a role extends across a more than one revenue centre, there must be a breakdown of wage allocation for each area/centre

Ø  Internal stock movement sheets on a revenue centre basis – this will require costed requisitions, purchases records, goods received books, interdepartmental transfer sheets

Ø  General and specific financial statistics and data – this embraces budgets in 'for the period', and 'year-to-date' formats together with comparisons with performance, say, last month, and 'same month last year'.

These reports should provide:

Ø  A snapshot of the current position – a financial and operational picture of the business showing where you are and how you're doing

Ø  A prompt for action – they should provide the basis on which to make some planning/action decisions

Ø  A reliable foundation for upcoming planning – by supplying data that shows trends

The reports should also be prepared to be:

Ø  Easy to read and interpret – the information and statistics contained shouldn’t clutter the main objectives

Ø  Well-timed – they must be distributed as soon as possible after the data they contain is captured

Ø  Truthful and precise – they must be double checked to ensure that the information they contain is accurate in all respects

Ø  Sufficient data relevant to the issue(s) under consideration – the points made in organisational statements should be covered by the reports so that there is a link from planning through to actual operation. For example, if a statement was made that you aimed to achieve 'X' per cent increase in sales in the 'Y' department by the end of the year, then this – and other similar figures and percentages – must be covered in the report

Ø  Similar in layout and style to all other reports – so that where people are promoted or transferred, they remain familiar with the format of the repor