A Great WSJ Article

An article titled “Companies Get budgets All Wrong” by Kenneth A Merchant was published in the Wall Street Journal. The article starts with “Almost all companies prepare a budget or annual operating plan. And almost all of them do it wrong.”

The author states that companies need to “Stop using budgets for strategic planning.” He goes on to say “Managers need to update their plans whenever something happens to change their business unit’s prospects in a material way.”

Click here to read the full article at Wall Street Journal online.